Stork Group to expand manufacturing services

JAKARTA (JP): The Stork Group of the Netherlands plans to expand its industrial activities near here next month to improve its manufacturing and engineering services in Indonesia.

A Stork director, Hans J.G. ten Kate, told reporters after a one-day seminar on energy at the Shangri-La Hotel yesterday, Stork's Indonesian subsidiary, PT Stork Engineering and Contracting Indonesia, operates a manufacturing factory in Cikarang, east of here, which deals with engineering services for the oil and gas sector.

John Strating, president of Stork's Engineering and Contracting Group, told The Jakarta Post his company will spend over US$200 million for the expansion of the industry.

The expansion, to be called a Stork manufacturing and engineering house, will produce various equipment and facilities for the energy fields, manufacturing industry as well as multidisciplinary engineering, Strating said.

"Stork, which has a turnover of 4 billion Dutch guilders (US$2.5 billion), is committed to transferring its technology and expertise to Indonesian partners," he said.

He added his company will export its industrial products to other members of the Association of the Southeast Asian Nations.

Stork so far marketed its printing facilities for textile, food producing equipment, diesel power generators, boilers for the sugar industry, pumps, and palm oil machinery on the domestic market.

Stork, in cooperation with Indomarine, a subsidiary of Astra International Inc., also manufactures palm oil plants. It recently exported a plant to the Dominican Republic.

According to the Investment Coordinating Board, the Netherlands' cumulative investments in Indonesia from 1967 up to July of this year reached US$6.80 billion. (fhp)