Export agency to organize fair trips for SMEs

JAKARTA (JP): The National Agency for Export Development (BPEN) plans to organize trips this year for between 300 and 350 small and medium enterprises (SMEs) to participate in 46 trade fairs worldwide.

"We are allocating Rp 5 billion ($526,000) for all the year's international fairs," BPEN Chairman Gusmardi Bustami told The Jakarta Post by phone on Thursday.

The money would be utilized to support exporters in renting space for the exhibitions, Gusmardi said, noting that average rental is around $300 per square meter.

The agency usually rented 100 square meters to set up an Indonesian pavilion that could accommodate up to 12 exporters with their products, he said.

"We can only assist in paying the rent. All other costs must be borne by the participants," he said.

The 46 trade fairs to which BPEN has subscribed to this year are in Asia, Africa, Europe, United States, Australia, New Zealand and Middle East, Gusmardi said.

In at least 26 of these trade fairs, Indonesian participants would be encouraged to open their own stands, while in the other 20 fairs, they could take part by sending their products to be displayed at the Indonesian pavilion.

Last year, BPEN led Indonesia's delegation in 28 international trade fairs, with participation from 219 SMEs. The larger ones included the International Spring Fair and International Autumn Fair, both in Birmingham, England and the World Exhibition EXPO 2000 in Hanover, Germany.

Gusmardi said exporters must be able to take full advantage of their participations in these trade fairs in view of the huge sums of money they would spend.

"The fairs give them opportunity to meet with potential buyers and to gather information on market trends," he said.

BPEN is organizing trips mainly for SMEs because larger companies were capable of organizing trips for themselves, he said. (03)