Protection for new ventures defended<\/p>\n
JAKARTA (JP): The government yesterday defended its decision
\nto offer selective protection against imports to new industrial
\nventures.<\/p>\n
\"The basic protection policy stresses the importance of
\nprotecting the new industrial ventures,\" Coordinating Minister
\nfor Economy and Finance Saleh Afiff said here yesterday.<\/p>\n
Saleh said this to clarify the tariff protection promised on
\nThursday by State Minister of Investment\/Chairman of the
\nInvestment Planning Board (BKPM) Sanyoto Sastrowardoyo for the
\nolefins to be produced by PT Chandra Asri in Serang, West Java.<\/p>\n
Sanyoto's promise comes in the wake of the government's June
\n27 deregulation package, which ruled out any protection for new
\nindustrial projects. New projects, according to the measures,
\nshould comply with the going rates as stipulated in the
\nIndonesian Import Tariff Book.<\/p>\n
Sanyoto said during his visit to Chandra Asri's project on
\nThursday that the government is committed to protecting its
\nproducts against imports on the grounds that the project has
\nabsorbed large amounts of investment, in addition to its
\nstrategic role as a foreign exchange generator.<\/p>\n
He estimated that the project, when operational next April,
\nwill be able to save some US$1.6 billion per annum in foreign
\nexchange.<\/p>\n
\"When Chandra Asri is able to compete against imports, the
\ngovernment will terminate the protection facility,\" he said.<\/p>\n
The project, billed as the biggest olefin center in Southeast
\nAsia, is being set up by timber baron Prajogo Pangestu in close
\ncooperation with Bambang Trihatmodjo, one of President Soeharto's
\nsons, Henry Pribadi and Peter Gontha. (fhp)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/protection-for-new-ventures-defended-1447893297",
"image": ""
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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