Astra expands partnership programs
Astra expands partnership programs
CEPER, C. Java (JP): The business partnership program that PT
Astra International launched in 1991 to develop small casting
firms has now expanded to the point of attracting foreign
attention.
The Japan Indonesian Association for Economic Cooperation and
Kawaguchi, the largest foundry center in Japan, signed here on
Saturday a cooperation agreement with the Metallurgical Institute
owned jointly by the local casting firms.
"We are committed to helping develop Ceper into the best
foundry center in Indonesia," noted Kenichi Masuda, Chairman of
the Kawaguchi Foundry Technical Exchange Cooperative Association.
Masuda said his organization was now preparing a pilot project
of a modern foundry plant to help improve the quality of local
metal goods.
The signing of the cooperation agreement, which was also
witnessed by Minister of Finance Mar'ie Muhammad and Minister of
Cooperatives and Small Business Development Soebiakto
Tjakrawerdaja, coincided with the launching of several other
development programs for local companies.
On the occasion, PT Astra Mitra Ventura and state-owned PT
Bahana Artha Venture-- both venture capital companies-- put up Rp
800 million (US$360,000) in equity capital in PT Baja Kurnia, a
local metal goods company.
Bank Universal, an Astra financial subsidiary, provided Rp 200
million in loan funds also to Baja Kurnia, one of the small firms
assisted under the Astra Business Partnership program which has
now become a medium-scale enterprise.
Help
"It has always been our commitment to help raise the
capability of small and medium-scale enterprises," noted Rini
M.S. Soewandi, the chair of the Dharma Bhakti Astra
Foundation--the Astra arm for community and small business
development.
Rini said at the ceremony that the foundation, in cooperation
with Astra subsidiaries, has been conducting various forms of
cooperation with small and medium-scale firms in a bid to
increase their capabilities.
In addition to equity and loan funds, the Astra subsidiaries
have been providing technical, management and marketing
assistance as well as apprenticeships to small businessmen in
various provinces, added Rini who is also Astra's financial
director.
Palgunadi T.Setyawan, President of PT Astra Mitra Ventura,
explained that the small business development program in Ceper is
part of the Astra Business Partnership Program which was launched
in 1980.
"We have been assisting small firms in Jakarta, West, Central
and East Java and many of them have now become vendors or sub-
contractors for Astra subsidiaries," Palgunadi said.
Rini added the Astra foundation was now preparing financing
aid packages for 2,000 oil palm smallholders in South Sumatra and
700 small businessmen at Jombang, East Java.
Astra's Chairman A.R. Ramly said the Astra program should not
be seen as a charity activity but as a concerted effort to
strengthen small and medium firms.
"We really expect many of the small and medium-scale firms we
help develop to eventually become equal business partners for
Astra subsidiaries," Ramly noted.
Palgunadi added that PT Astra Mitra Ventura and PT Bahana
Artha Ventura had earlier tied up to provide Rp 3 billion in
equity capital to 12 small and medium-scale enterprises in
Jakarta and West Java. (vin)