Indonesian Political, Business & Finance News

Airlangga: Indonesia's First Melamine Project a Milestone for National Downstream Industry

| Source: ANTARA_ID Translated from Indonesian | Energy
Airlangga: Indonesia's First Melamine Project a Milestone for National Downstream Industry
Image: ANTARA_ID

Jakarta (ANTARA) - Coordinating Minister for the Economy Airlangga Hartarto has described Indonesia’s first melamine project as an important milestone in the journey of developing the national industry, particularly in promoting downstream activities in the energy and chemicals sectors.

In a speech delivered via video at the project’s groundbreaking ceremony on Wednesday, Airlangga said the project will process natural gas into liquid ammonia, which will then be developed into derivative products such as urea, melamine, and ammonium nitrate.

He stated that the project is expected to support several strategic sectors such as agriculture, the chemicals industry, and manufacturing, while also opening up export opportunities and enhancing Indonesia’s competitiveness in the global market.

The project is located in the Gresik Special Economic Zone (SEZ) in East Java, with an investment value of around US$600 million invested by PT GEABH Joint Technology, a subsidiary of China’s Sichuan Golden Elephant Sincerity Chemical Co., Ltd.

Airlangga assessed that the project can help close the melamine supply gap in the domestic market.

Meanwhile, Chinese Ambassador to Indonesia Wang Lutong said that the energy and chemicals industry chain plays a strategic role in connecting energy resources with agricultural production.

According to him, increasing the supply capacity of main inputs such as energy and fertiliser, as well as coordinated development across the entire industry chain, is important to support food security and sustainable economic growth.

He added that the project is seen as capable of strengthening the energy and chemicals industry chain in Indonesia, increasing self-sufficiency in important products such as fertiliser, driving regional economic development, and contributing to national industrialisation, as quoted by Xinhua on Monday.

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