Indonesian Political, Business & Finance News

RI wants more trade with African countries

| Source: JP

RI wants more trade with African countries

JAKARTA (JP): Indonesian businessmen believe that South Africa
and the Republic of Guinea-Bissau are promising places to expand
business.

A delegation of Indonesian business representatives explored
the possibilities of establishing cooperation in investment and
trade with African businesses, in a trade mission to the two
countries at the end of last month.

Head of the trade mission Tony Agus Ardie, who is also
Chairman of the Indokor group, said Indonesia expected to raise
its exports to both countries following the mission.

"Indonesia's investment in, and trade with, South Africa are
still small compared to its trade with other countries like
Malaysia, although we were very supportive of the anti-apartheid
movement before the country gained independence," Tony said.

He said bilateral trade between South Africa and Indonesia
increased yearly, but it was still in South Africa's favor.

Exports to South Africa consisted mainly of textiles, rubber,
paper, shoes, plastic, glass and household products, he said.

South Africa mostly exported forestry and mining products to
Indonesia, he said.

The other trade mission members were Sophian Syamsuddin from
the Tirtamas group, Malian U. Gani from the Bakrie group, Johan
Suryadarma from the Sekar Bumi group, and Ris Rizqullah from
state-owned Bank Negara Indonesia's London branch.

The mission visited Johannesburg and Cape Town in South Africa
to meet with the local chambers of commerce and industry.

Tony said the Indonesian and Johannesburg Chambers of Commerce
and Industry agreed at the meeting to act as agents for each
other's exports.

Indonesia would become the agent of South African products
here and in Southeast Asia and Australia, while South Africa
would become the agent for Indonesia's products there and in
neighboring countries, he said.

The mission also visited Cape Town to meet with the local
chamber of commerce and industry. Most members were businessmen
of Indonesian descent, he said.

About 80 percent of the chamber's members were small to middle
scale entrepreneurs in retail, furniture, spices and printing
businesses, he said

He said Indonesia could cooperate with local companies in
construction, pharmacy, and forwarding or shipping businesses, he
said.

South Africa has a population of 42.5 million people with per-
capita income of about US$3,000.

Most of its economy was still controlled by westerners, except
for small to medium businesses owned by ethnic blacks, Malays and
Indians, he said.

"We also met with other local business groups such as the
Malay Business Community and the Black Economy Empowerment during
it visit to Cape Town," Tony said.

The trade mission visited Guinea Bissau, a former Portuguese
colony on West Africa's Atlantic coast, to follow up recently
opened diplomatic ties between the two countries.

Tony said the delegation saw potential cooperation with
Guinea-Bissau in the trade of cashew nuts, cotton, and palm oil.

Guinea-Bissau, which gained independence in 1974, has a
population of 1.1 million people with per-capita income of
US$160.

Its economy is based primarily on agriculture and fisheries.
Its agricultural products include cashew nuts, oil palm, cotton
and rice, although the country still imports about 50,000 tons of
rice a year.

Tony said Guinea-Bissau needed assistance and investment to
develop its human resources and infrastructure.

"They asked for intermediate technology to develop their
agriculture. That, I think, is a reasonable request and something
which we can grant to help lift Guinea-Bissau out of the dire
poverty in which it was left by Portugal," Tony said. (das)

View JSON | Print