Australia expects $60m in contracts after exhibition

JAKARTA (JP): The Australian government expects direct contracts totaling more than A$80 million (about US$60 million) following the recent Australia Today Indonesia '94 promotion in Jakarta, an official said.

The minister assisting the Prime Minister on trade and economic development, David Hamill, said in a statement made available yesterday that there are several major deals under negotiation. These include possible contracts with cotton buyers, consulting services in environmental management, capital markets, engineering, marketing and fee-paying students in educational institutions.

"The contracts are expected to be closed in the next three years, but in the next 12 months we anticipate a minimum of A$20 million in new trade as a direct result of the recent trade mission," Hamill said.

The trade and cultural mission, held from June to July, was the largest promotion event ever undertaken in the region by Australia, costing some A$12 million with nearly 300 Australian companies taking part.

The promotion, commissioned by Australia's Department of Foreign Affairs and Trade, was officially opened by Prime Minister Paul Keating.

Hamill said he was optimistic that the trade mission would also result in additional foreign investment in Queensland, where Hamill has his base.

"Immediate results from the trade mission totaled A$7 million in new contracts including a A$5-million cotton deal between a Central Java buyer and Queensland Cotton," he said.

He added: "Indonesian businessmen could invest as much as A$100 million in Queensland, including two projects totaling A$26 million, which are likely to commence this year."

According to Hamill, the projects are a A$20-million technology distribution project for a large pharmaceutical company and a A$6 million project for ecotourism development. (09)