EU to establish information center

EU to establish information center

JAKARTA (JP): The European Union (EU) will establish an
information center here later this year to promote investment and
trade relations between Indonesia and the Union's 12 members.

EU ambassador to Indonesia Klaus Peter Schmallenbach said
during a business luncheon hosted by the World Trade Center
yesterday that the European-Indonesian investment and business
information center will provide information services particularly
to small- and medium-scale businesses which usually have no
representative offices overseas.

The planned center will provide information on government
policies and business opportunities in Indonesia for European
business people, as well as information on policies and business
opportunities in Europe for Indonesian executives, he said.

He added that the planned center, in providing information,
will cooperate with various institutions, including the
Indonesian Chamber of Commerce and Industry (Kadin) and the World
Trade Center.

Schmallenbach said the EU, which will gradually reduce its
import tariffs from an average of 6.8 percent at present to 4.1
percent in the coming years, and provide a GSP (Generalized
System of Preferences) facility, is offering wide business
opportunities to Indonesian exporters.

EU countries are also expected to increase their investments
in Indonesia, he said.

Indonesia's exports to the EU steadily increased from 3.57
billion European Currency Units (ECUs) (US$4.43 billion) in 1991
to 4.34 billion ECUs in 1992 and to 5.03 billion ECUs last year,
while its imports from the union rose from 3.2 billion ECUs to
4.05 billion ECUs and to 4.06 billion ECUs in the same years.

The EU's investment commitments approved by the Investment
Coordinating Board (BKPM) for non-oil and non-financial
businesses in Indonesia increased from $843.5 million in 1991 to
$1.35 billion in 1992 before falling back to $905.5 million last
year. During the first six months of this year, the EU's
investment commitments approved reached $675.5 million. (riz)