City gets new export processing bonded zone

JAKARTA (JP): State Minister of Investment and State Enterprises Development Laksamana Sukardi inaugurated on Wednesday the city's third bonded zone in Marunda subdistrict, North Jakarta.

At the inauguration, Laksamana said that he expected that the 410-hectare bonded zone would absorb at least 80,000 skilled unemployed city residents.

"The important thing for the new bonded zone is that it can absorb our labor force," he said.

The minister said his office would provide incentives for foreign firms investing in the export processing zone, such as smooth and easy document processing and tax breaks.

He called on his subordinates and other officers in the export-import bureaucracy to support the foreign investors and avoid treating investment and export-import documents as a "commodity". He did not elaborate on the subject.

The construction of the Marunda bonded zone started early this years with a total investment of Rp 500 billion (US$71 million). The zone will be managed by state bonded zone operator PT Kawasan Berikat Nusantara (KBN), which also operates the city's two other bonded zones in Cakung and Tanjung Priok subdistricts, both in North Jakarta.

KBN president Marsono Siswohardjono shared Laksamana's opinion that the Marunda industrial zone would employ 80,000 workers when it was completed in 2003.

He said the zone offered a one-stop service for export-import documents processing, a medical and sport center, banks and a 24- hour security protection system.

Marsono said the investors, especially the foreign companies, should build export-oriented factories in the bonded zone.

"Two foreign investors from Hong Kong and Taiwan are committed to investing here," he said without mentioning the names of the two investors.

Meanwhile, North Jakarta Mayor Subagyo said he expected the zone would absorb most of North Jakarta's 140,000 unemployed people.

"Don't be reluctant to invest here. We'll support the security system in the bonded zone," Subagyo said. (jun)