New growth era hailed for Bintan
BINTAN ISLAND, Riau (JP): An Indonesian-Singaporean resort and industrial venture inaugurated new primary projects in its tourism and industrial estates on Bintan Island, yesterday, marking a new era of economic development in the triangle growth area.
The inaugural ceremonies were dedicated at the start of operations at a new ferry terminal at Teluk Sebung and a ground- breaking ceremony for the new 181-hectare Club Mediterranee tourist resort, both at the northern part of the island. There were also ceremonies at the start of operations for the first garment factory within the industrial estate located at the northwestern tip.
The ceremonies were jointly opened here by Indonesia's six economic ministers; Coordinating Minister for trade and Industry Hartarto, Minister of Industry Tunky Ariwibowo, Minister of Trade Satrio Budiardjo Joedono, State Minister for Investment/Chairman of Investment Coordinating Board Sanyoto Sastrowardoyo, State Minister for Agrarian Affairs/Chairman of National Land Agency Soni Harsono, Minister of Public Works Radinal Moochtar; and a number of Singapore's high rank officials headed over by deputy prime minister Lee Hsien Loong.
"Good commitments showed by Indonesian and Singaporean governments to developing the triangle growth area are essential for the successful continuation of the Bintan projects," said Hartarto during the opening ceremonies.
The triangle growth area links the Indonesian province of Riau, Singapore and the Malaysian state of Johore.
Hartarto said that the operation of the Teluk Sebung ferry terminal is an essential part of the venture's efforts to launch the Bintan tourist resorts, covering the entire northern shoreline of Bintan Island, as Indonesia's new and most exciting tourist destination.
Approximately six million tourists from Singapore are expected to come to Indonesia through the Bintan tourist resorts, he said.
"For this purpose, a ministerial team of both neighbor countries have come to mark initial construction of the Club Med resort in the island," he said.
The resort will include a 300-room hotel, an 18-hole championship golf course, villas and condominiums. The resort, absorbing a S$$224 million investment, is expected to be operational by 1997.
The Indonesian-Singaporean governments last year set up a ground-breaking of the first resort, called Bintan Lagoon beach and golf resort, with a capacity of 400 rooms and 100 villas, which will be equipped with a 54-hole golf course. The S$280 million resort is expected to be operational early next year.
Tunky meanwhile said that another new resort, Banyan Tree Bintan, will be also set up next year with the investment of some S$116 million. "It will include a 200-room, five-star hotel with dozens of villas and a 27-hole golf course," he added.
Bintan Island, which has a population of over 100,000 people, is 120 hectares in size.
Industrial park
Tunky said that at least 13 foreign companies have now signed letters of intent to set up manufacturing operations in the Bintan industrial estate.
He said that 10 of the companies are from Singapore, two from Hong Kong and one from Japan.
Tunky yesterday joined the ministerial team to inaugurate the first company, Gimmill garment factory, which is producing knitwear, such as polo shirts, dresses and sweaters. Its annual target output will reach 240,000 dozen pieces next year.
The park, which is intended for producing garments, textiles, furniture, toys, food and printing goods, is owned by Salim Group, Singapore Jurong Environmental Engineering Ptd Ltd. and Singapore Technologies Industrial Corp.
Tunky told The Jakarta Post that Indonesian government is committed to realigning and deregulating its policies related to development of industrial activities on the island, if it is seen necessary in the future.
"We are always ready to deregulate policies as far as giving advantages to the industrial development." he said. He added that Indonesia feels that, so far, the current deregulatory measures are enough for the industrial development of the island.
He said that total investment planned in the Bintan resorts will reach US$2 billion and Bintan industrial estate US$350 million.
"In addition, investments for the Kampar water project located on a 37 hectare plot of land will cost some US$5 billion, and the Karimun petroleum complex and marine project on Karimun Kecil Island US$1.6 billion," he said.
He added that water projects, which will 50 percent be supplied to Singapore and another 50 percent to the resort and industrial estate, will have a capacity of 121 million gallons per day in its first stage of operations in 1997.(fhp)