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)