PT Kaltim to produce vital military equipment: Mahfud

JAKARTA (JP): From fertilizer to armored vehicles. Such is the immediate future for fertilizer producer PT Pupuk Kaltim.

Minister of Defense Mahfud MD said the state-owned company based in East Kalimantan would be one of the local companies that would be utilized to furnish badly needed equipment for the military.

"Thus far we've purchased military equipment from other countries, but in fact we already own companies that are able to produce the equipment," Mahfud said, citing weapons and munitions producer PT Pindad, explosives producer PT Dahana and ship manufacturer PT Pal.

Mahfud said PT Pupuk Kaltim, in cooperation with PT Pindad, has already begun producing armored vehicles and weaponry, but declined to go into detail, saying it would be more appropriate for the Indonesian Military Headquarters to discuss the matter.

"We are now discussing the budget that will be allocated for the project," he said.

The military is in desperate need of equipment due to the embargo imposed by the United States and European states following the violence in East Timor in 1999.

The European countries lifted their embargo last year while Washington has slowly relaxed its restrictions by allowing the sale of noncombat equipment such as transport aircraft and cargo ships.

In a related development, the Indonesian Navy will receive some 26 new aircraft, including 16 helicopters and 10 small airplanes, Navy spokesman First Admiral Franky Kayhatu said.

In a statement on Wednesday, the Navy said it would receive the aircraft beginning next month.

The aircraft include two Mi-17s and eight Mi-2 Russian-made helicopters, three Bolkow-105 helicopters from Indonesia's PT Dirgantara Indonesia and three French Collibri helicopters.

The airplanes will consist of six Cassa NC-212 made by PT Dirgantara Indonesia and four Nomad N-22/N-24 airplanes from Australia.(dja/02)