Canadian premier to lead large mission
Canadian premier to lead large mission
JAKARTA (JP): Canadian Prime Minister Jean Chretien will lead hundreds of business executives in a mission called Team Canada during his Indonesian visit early next year, Canadian Minister for International Trade Roy MacLaren said here yesterday.
The prime minister will make Indonesia his main destination on his planned trip to South and Southeast Asia, said MacLaren, who ended his two-day visit here yesterday.
MacLaren, accompanied by 25 senior executives of international firms, met with host Minister of Trade Satrio B. Joedono and State Minister of Investment Sanyoto Sastrowardoyo during his visit here.
"The prime minister's Team Canada will represent the largest Canadian business delegation ever to travel to Indonesia," MacLaren told a breakfast meeting hosted by the Indonesia-Canada Chamber of Commerce at the Shangri-La hotel here.
Team Canada, said Maclaren, is a synchronization of efforts by business people and the Canadian government to focus on Indonesia and the Asia-Pacific region in preparation for the 21st century, which some observers have labeled the Pacific Century.
According to MacLaren, Team Canada will cement expanding economic ties by helping Indonesia accelerate its technological, natural and human resource development.
The prime minister is also slated to open the new Canadian Education Center here during his visit.
"The center, which will promote Canada as a destination for Indonesian students seeking post-secondary and tertiary education training abroad, will contribute further to expanding people-to- people linkages between our countries," said MacLaren.
Indonesia and Canada enjoy a strong bilateral trade and investment relationship. The two-way merchandise trade is estimated at C$1.1 billion (US$814.8 million) for this year, while the value of Canadian investment is C$5.0 billion.
Largest market
"In Southeast Asia, Indonesia is the largest market for Canadian merchandise exports; it accounts for well over C$100 million annually in service exports, as well as being the most important destination for direct foreign investment," said MacLaren.
He said that Canadian firms, having extensive expertise in harnessing natural gas resources for energy and petrochemical application, want to work with Indonesia in meeting the ever rising demand for energy, including conventional, coal-fired and hydro power.
"We are also looking for new sectoral investment opportunities," said MacLaren.
The minister also opened the new office of SNC-Lavalin, Canada's largest consulting engineering company, here on Monday.
According to the company's vice president, Pierre Dufour, SNC- Lavalin Groups has been active in Asian development for more than two decades with more than 200 contracts, including 50 in Indonesia.
SNC-Lavalin Group is a publicly listed company on the Montreal and Toronto stock exchanges with operations in engineering- construction and manufacturing in 26 countries.
There are at least one dozen Canadian engineering companies working in an array of sectors with local partners in Indonesia.
Canadian firms operating in Indonesia include large, internationally renowned corporations and small and medium-sized enterprises (SMEs) with unique expertise in emerging technologies and specialized services.
The Export Development Corporation (EDC) of Canada has expanded its lending programs to include not only government-to- government transactions but also support for private sector procurement.
The facility, which will support transactions with a value of C$100,000 or more, is of particular importance to Canadian and Indonesian SMEs which require export credit supports.
MacLaren said there are already a number of such transactions in the pipeline. They will add to the extensive EDC portfolio in Indonesia, which has accounted for over C$800 million in financing support since the 1970s.
Negotiations between both governments have begun towards the conclusion of a foreign investment protection agreement which will spur direct investment by Canadians in Indonesia.
"An air service agreement is to be negotiated next month to permit the establishment of a direct air link between the two countries," said MacLaren.
He said that Indonesia and Canada share a commitment to increase openness in the world trading system, as signatories to the World Trade Organization and proponents of accelerated global trade and investment liberalization.
Indonesia's ongoing privatization program, recent economic reform measures and the removal of impediments to increase trade and investment flows are regarded by MacLaren as visible demonstration of the country's commitment to ensure the success of the Asia-Pacific Economic Cooperation (APEC) forum and its objectives.
MacLaren will proceed to Osaka, Japan, where he will join APEC's ministerial meeting later this week.(kod)