Soeharto, Goh agree to boost ASEAN ties
Soeharto, Goh agree to boost ASEAN ties
JAKARTA (JP): President Soeharto and Singapore Prime Minister
Goh Chok Tong agreed yesterday to enhance economic cooperation
between the seven ASEAN nations.
The agreement came during a private meeting on Karimun Island,
Riau.
State Secretary Moerdiono was reported by Antara as saying
that the two leaders reiterated the importance of strengthening
ties between ASEAN nations, especially with the pending entry of
Cambodia, Laos and Myanmar.
"When ASEAN covers 10 countries, there will be a market of
more than 500 million people," Moerdiono quoted Soeharto as
saying.
ASEAN groups Brunei, Indonesia, Malaysia, Singapore, Thailand,
the Philippines and Vietnam.
Apart from discussing ASEAN issues, Soeharto and Goh launched
a giant marine and industrial complex.
The Karimun Marine and Industrial Complex is the third major
industrial project developed by the Singapore and Indonesian
private sectors.
Singapore and Indonesia already have industrial parks and
resort projects on Riau's Batam and Bintan islands.
Investment in the complex is expected to reach US$142.8
million over the next 10 years. About half of it is already in
place in the project's first phase which covers 155 hectares.
The complex is designed to be a marine and industrial hub for
heavy engineering, marine and petroleum-related industries with
integrated infrastructure support.
Soeharto and Goh also opened the PT Karimun Sembawang
Shipyard, a joint venture between Singapore's Sembawang Corp. and
Indonesia's Salim Group.
Soeharto said Singapore and Indonesia had their respective
potential and resources plus other complimentary advantages.
"And when they are appropriately harnessed, they become a big
boost for the economies of the two countries in particular, and
this region in general," he said.
Soeharto said cooperation with Indonesia would allow Singapore
to overcome its lack of land, natural resources and manpower.
Indonesia has 200 million people, while Singapore has just three
million.
He said industry was now the Indonesian economy's prime mover
and that maritime and offshore construction industries were
important to Indonesia's national shipping fleet and oil
exploration efforts.
Goh said Karimun island offered easy access via the Strait of
Malacca, deep waters capable of accommodating very big crude
carriers, cheapness and was close to Singapore, which is the
region's shipping hub.
Direct investment by Singaporean companies in Indonesia
reached S$4.03 billion (US$2.82 billion) in 1995, up from $2.36
billion in 1994. (pwn)
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