Defense expo pays off for embargoed Indonesia

Defense expo pays off for embargoed Indonesia

Tiarma Siboro, The Jakarta Post, Jakarta

A three-day exhibit, Indo Defense Expo 2004, showcasing defense
equipment, concluded on Saturday, providing Indonesia with
opportunities to replenish its defense equipment and technology
despite the embargo imposed by the United States and its allies.

"It's good that we may be able to find better partners in
developing our defense system. Although no deals have been
struck, the exhibition's objective of linking participants and
prospective buyers here has been achieved," said Ministry of
Defense's Director of Procurement Aqlani Maza said.

All deals will be made in January when Indonesia invites
potential arms suppliers to a roundtable discussion for talks on
the country's future defense system.

The discussion will take place on the resort island of Bali
and will be attended by military top brass, state officials and
experts who will exchange arguments and views on the country's
defense system. Also invited to the event are foreign arms
suppliers from Russia, the Czech Republic, Poland, Germany, the
Netherlands and South Korea.

The ministry's Director General of Defense Strategy Sudrajat
has said that Indonesia would definitely turn to Eastern European
countries as arms shopping destinations after the long-standing
military embargo imposed by Washington.

Some Eastern European countries have proposed various deals,
including the Czech Republic, which has offered a joint venture
to produce armored personnel carriers. The budget, however,
remains a major constraint, said Sudrajat.

For the 2005 fiscal year, the government has allocated Rp 21
trillion (US$2.3 billion) for defense expenditure. It accounts
for only 6 percent of the state budget.

The military has repeatedly blamed the state budget
restriction for its involvement in businesses to raise the money
it needs to cover its operational costs and improve the welfare
of personnel.

During the exhibition, the Army expressed interest in buying
four artillery cannons from Poland to replace similar weapons
which have not been operational since 2003. They will be placed
in several regions, including Lhokseumawe in Aceh and Bontang in
East Kalimantan, where security problem have threatened oil and
other natural resources exploitation there.

The National Police will buy Barracuda armored vehicles
produced by South Korea's Daewoo, while the Navy is considering
the purchase of rubber boats from the Netherlands.

For the next fiscal year, the Air Force has also proposed the
purchase of eight of Russia's Sukhoi jet fighters, to complete
the purchase of a squadron of new warplanes which was initiated
last year.

Indonesia bought four Sukhois and two MI-35 assault
helicopters from Russia in 2003. Further cooperation between the
two countries may materialize.

Indonesia has been seeking alternative arms suppliers after
the U.S. imposed a weapons embargo following the atrocities that
took place in East Timor in 1992. The embargo was reinforced in
1999 following the violence that occurred in the former
Indonesian province after people there voted for independence.

"Of course, we have to adjust the budget to cover the arms
purchase. But at least, the opportunities are close enough for us
to end our dependence on a sole country (as a supplier)," Aqlani
said.

No less than 240 companies producing defense technology and
military hardware participated in the exhibition.