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.