Thu, 28 Nov 2002

Teams aplenty, but no quick fix for economy

The Jakarta Post, Jakarta

After already having establishing several teams to seek solutions to the country's economic woes, the government is now planning to set up even more teams next year for similar purposes.

The plan was unveiled on Wednesday by Coordinating Minister for Economic Affairs Dorodjatun Kuntjoro-Jakti during a hearing with the House of Representatives' Commission V for industry, investment and trade.

"The decision to set up the new teams was made during the Cabinet meeting on Monday," Dorodjatun said.

He was accompanied by finance minister Boediono, agriculture minister Bungaran Saragih, Minister of Trade and Industry Rini M. Soewandi, Minister of Energy and Mineral Resources Purnomo Yusgiantoro, Investment Coordinating Board (BKPM) chairman Theo F. Toemion and top officials from the labor ministry and maritime and fisheries ministry.

The new teams would include a National Investment Team and a National Exports Promotion Team.

"The establishment of these teams is aimed at helping boost the country's exports and providing protection for investment here," Dorodjatun explained.

The interdepartmental teams, which will be accountable to the President, will comprise all Cabinet members with Dorodjatun acting as coordinator.

"This is line with the government's plan to declare 2003 as Indonesian Investment Year," Dorodjatun said.

Besides these two new teams, the government would also set up a special team to study the possibility of providing tax incentives, including tax holidays, for investors.

In addition, the government would set up a Pre-shipment Inspection Team tasked with studying the possibility of implementing the pre-shipment inspection of imported goods.

So far this year, the government has formed at least two interministerial teams to handle various problems in the economic sector.

Last February, it set up an antismuggling team, chaired by Dorodjatun, comprising several ministers, the police chief and the military commander, to crack down on the rampant smuggling that has hurt local industry and caused massive financial losses for the government.

But, thus far, the results of the team's work remain unclear.

Last July, the government established another team to handle the sand mining in Riau that has been inflicting severe damage on the environment. This team, which is chaired by Minister of Maritime Affairs and Fisheries Rokhmin Dahuri, has managed to force sand mining companies in the province to suspend their operations.