Tue, 01 Mar 2011

Anyer, Banten (ANTARA News) - The Ministry of Industry has set itself a target of U$80 billion foreign and domestic investment in the manufacturing sector for the coming the five years, a ministry official said.

"We are optimistic that the figure would be achieved owning to the fact there have been several large scale investment projects in this sector that haven been running well," Industry Ministry Secretary General Anshari Bukhari said here on Sunday.

He said that the U$80 billion investment target was expected to provide jobs for at least 3.2 million workers.

The senior official said that one of the big project was an integrated steel factory being built in cooperation between state-owned steel firm PT Krakatau Steel and South Korea`s POSCO. This project is estimated to need an investment of U$6 billion.

Besides that, the secretary general said, there is another large scale investment in the petrochemical and cement projects that would involved investment worth trillions of rupiah.

"If the the development of the oleo chemical project in Sei Mangke, Malloy is running well, the target of US$80 billion will be achieved," he said.

His said that his ministry had also set itself a target of providing jobs for at least 3.2 million workers in the manufacturing sector in the coming five years (from 2010 to 2014).

"If the 22 footwear factories realize their investment, they will be jobs that could absorb some 6,000 to 10,000 workers," he said.

In the meantime, France has expressed interest to expand investment and technology transfer to among others aircraft component manufacturing in Indonesia.

"The business delegation from France is interested in among others expanding investment in aircraft industry especially aircraft components," the director general of high technology-based prime industries of the ministry of industry, Budi Darmadi, said last week following the visit of 60 members of French business delegation to the office.

He said the AEDS aircraft component manufacturer and Thalles from France had expressed their interest in opening a two-way communication with the country`s aircraft industry.

That way the continuity of component manufacturing could be maintained, he said.

"We need to develop our aircraft industry for air connectivity in the country and improving our TKDN in the component industry," he said.