EUROCHAM vows to boost business cooperation

Tony Hotland, Jakarta

The newly established European Business Chamber of Commerce (EUROCHAM) in Indonesia plans to set up sectoral working groups in cooperation with the Indonesian business community to promote investment in various parts of the country.

Chamber chairman Jean-Francois Fischaux said on Monday that the pharmaceutical, finance, transportation, trade and distribution sectors would likely be priorities.

"It's only the beginning, considering that those sectors are the main core businesses of most of the chamber's founding companies. We expect, of course, that we'll have more sectors and working groups," he said in a press conference after being elected by directors from 30 founding companies and business associations.

EUROCHAM claims that it will endeavor to improve access for European businesses to the Indonesian market to stimulate investment as well as to promote a strong European business identity with the Indonesian authorities and business community and to foster business relationships between the two communities.

Launched on May 11, EUROCHAM in Indonesia is an association to represent the views of the business communities of the member states of the European Union in Indonesia.

Initiating parties of the chamber include PT Siemens Indonesia, PT Bayer Indonesia, and PT BASF Indonesia from Germany; PT Carrefour Indonesia, PT L'oreal Indonesia and investment bank BNP Paribas from France; UK's PriceWaterhouseCoopers and the Italian Business Association.

The parties elected on Monday an eight-member executive board whose term will run until the end of 2005.

Apart from drafting an annual program, the board is also to form a consultative board to provide overall guidance and review the annual program of EUROCHAM.

"We'll also make constant contacts and develop cooperation with the Indonesian Chamber of Commerce and Industry," said Fischaux.

Asked about conditions in Indonesia that deter foreign investors, Fischaux listed the unstable macroeconomic condition, the slow progress in banking reformation, and the lack of access for development.

"There are many potential locations in a country as big as Indonesia. The government must strive for total development, not only in big cities like Jakarta," he said.