Saudis plan for close business ties

JAKARTA (JP): A Saudi business delegation led by Minister of Industry and Electricity Hashem Abdullah Yamani ended its three- day mission here yesterday with a commitment to increasing two- way trade and investment with Indonesia.

Minister Yamani told journalists at the Saudi Embassy compound that his mission was aimed to sound out bilateral business opportunities and learn about Indonesia's investment conditions and rulings as well as export-oriented industry.

"Indonesia and Saudi Arabia have forged very close relations in terms of brotherhood and Islam. However, their industrial relations are very inferior," Yamani said.

Yamani brought with him 17 officials and 10 business leaders, including Chairman of the Saudi Chamber of Commerce and Industry Abdulrahman Ali Al-Jeraisy.

Yamani said his entourage of business leaders is expected to encourage Saudi businesspeople to start looking to the east, especially to the Southeast Asian region which has been enjoying high economic growth.

"Economically, we have been closely linked to Europe and the United States. And only recently have we paid closer attention to economies in this region, including Indonesia," Yamani said.

During their visit here, Yamani and his delegation met with Indonesian Minister of Industry and Trade Tunky Ariwibowo, Minister of Research and Technology B.J. Habibie, Minister of Mines and Energy Ida Bagus Sudjana and Chairman of the Indonesian Chamber of Commerce and Industry Aburizal Bakrie.

When asked about his meeting with Habibie, Yamani said, "We really appreciate Indonesia's entrance into the high-tech industry, which only a few developing countries have entered. However, we have no intention to buy one of Indonesia's high-tech products yet."

Yamani said his mission was not to find any specific business deal but to pave the way for the private sectors of both countries to initiate business cooperation.

Meanwhile, Al-Jeraisy said Saudi Arabia's and Indonesia's chambers of commerce and industry would soon form a Saudi- Indonesian business council to facilitate trade and investment relations between businesspeople in the two countries.

According to data at the Central Bureau of Statistics, two-way trade between Indonesia and Saudi Arabia last year totaled US$1.39 billion, up from $1.09 billion in 1994. In bilateral trade, Saudi enjoyed surpluses of $494.4 million last year and $267 million in 1994. (rid)