RI is Canada's major investment destination

SEMARANG (JP): Canadian direct investments in Indonesia have exceeded US$9 billion this year, making Indonesia its largest investment destination in Southeast Asia, according to the Canadian ambassador Kenneth Sunquist.

The ambassador said that most of the investments were in the mining and the energy sector through ventures such as Inco's nickel mine in Sulawesi, and energy companies such as Gulf, Talisman, Equatorial and Husky.

He added that his country had also invested in financial services through Manulife.

"We also have over 50 companies investing their capital in many business areas, including shoe manufacturing, engineering and environmental services, electricity generation and oil field products manufacturing," Sunquist said in an address he delivered at a conference held in Semarang.

The conference, co-sponsored by the Canadian Embassy and the Central Java chapter of the Indonesian Chamber of Commerce, discussed business prospects in the province.

The ambassador said that Canada's exports to Indonesia, which showed a 30 percent increase last year, were expected to further increase this year.

Canada mainly exports wheat, pulp and paper, chemicals, and telecommunications products to Indonesia, while Indonesia exports electronics products, textiles and clothing, rubber, coffee, wood products and furniture.

The trade volume between two countries reached about $800 million last year, he added. (05/har)