Multi-sourcing urged for firms

Multi-sourcing urged for firms

JAKARTA (JP): Minister of Trade Satrio B. Joedono said
yesterday that domestic industrial firms should obtain their
materials from various sources to avoid the brunt of currency
swings such as the sharp appreciation of the yen.

"By multi-sourcing their components, they will not be hurt by
any sudden changes in the value of a particular currency,"
Joedono said when inducting five directors at state-owned
companies yesterday.

The new executives are Wahyu Hidayat as finance director and
Hardi Gianto as quality director at surveyor company PT
Sucofindo.

The other three directors are Hardjo Oetomo as president,
Supandi as finance director and Mathias Suhardjo as marketing
director of PT Bhanda Ghara Reksa warehousing company.

Joedono noted that the recent steep rise of the Japanese yen
against the U.S. dollar would affect local industries which still
depend on Japanese components.

He noted, however, that the yendaka (yen appreciation) also be
prove fortunate for Indonesia's exports, such as garments and
plywood which do not rely much on imported components or
materials.

"But again, the benefit of the strengthening yen depends on
how we seize the opportunity," Joedono said. (rid)