Sibalec to set up plant

Sibalec to set up plant

JAKARTA (JP): PT Sibalec, a lamp producer, signed a joint
venture agreement yesterday with two Japanese companies --
Toshiba and Kanematsu -- to establish a glass component plant
with an investment of Rp 25 billion (US$10.8 million).

Sibalec's president, Soepono, said that Sibalec will take 30
percent of the plant's total equity, Toshiba 55 percent and
Kanematsu 15 percent.

"The planned plant will become the first in the country to
produce glass components for bulb and tube lamps," he said.

Soepono, who is also the chairman of the Indonesian lamp
producer association, said that the plant's operations will help
reduce the prices of glass components on the domestic market by
20 percent.

He said that at present 21 companies are recorded as lamp
producers in Indonesia, three of which are foreign investment
companies.

"This glass component plant has strategic and bright prospects
in Indonesia because the raw materials -- quartz and natural gas
-- are available domestically, in addition to low cost manpower,"
he added.

Soepono didn't mention the capacity of the plant but said that
part of its production will be sold to Toshiba's customers in
Japan, Taiwan and South Korea. (08)