U.S. investors show interest in agricultural industry

U.S. investors show interest in agricultural industry

JAKARTA (JP): U.S. investors have expressed interest in
Indonesia's agricultural sector, an executive of the Indonesian
Chamber of Commerce and Industry (Kadin) has said.

The head of Kadin's U.S. committee, Tony Agus Ardie, said
after a luncheon with 12 visiting U.S. businesspeople here
yesterday that they were drawn to Indonesia's agricultural sector
because it had all of the required resources.

"U.S. businesspeople are keen to invest in the agro-industry
sector provided they find suitable local partners and improved
legal certainty," Tony said.

"They want the government to ensure legal certainty because
they sometimes still find regulation inconsistencies which make
it difficult for them to make plans," he added.

Tony said the visit of U.S. agricultural investors in a time
of economic difficulty served as a moral support to the country's
agricultural industry.

He said the industry has been severely affected by the sharp
depreciation of the rupiah against the U.S. dollar, last year's
prolonged dry season and the difficulty of continuing normal
trading activities under the economic turmoil.

"That's why we welcome this mission to Indonesia at this time.
We know that by working together in a cooperative manner, we will
be able to find solutions to revitalize this important industry,"
he said.

U.S. companies have played an important part in developing
Indonesia's agricultural industry through technical assistance
and the transference of technology.

"They have trained our experts, technicians and farmers in
more efficient techniques and they have helped provide the
capital necessary to develop the industry," Tony said.

The U.S. agricultural mission, sponsored by the U.S.-ASEAN
Business Council, will remain here until Feb. 24.

During their visit, the businesspeople will meet with
executives of various associations, including those of poultry
breeders and feedmeal producers at PT Charoen Pokphand Indonesia,
PT Japfa Comfeed Indonesia, PT Ciomas Poultry Processing and PT
Sierad Feedmill.

Members of the U.S. mission represent the McDonald's
Corporation, Tricon, Texas A&M, Cargill, Pioneer-HiBred and Tyson
Foods.

Tony said some of the companies on the mission have provided
Indonesia with high-yielding seed varieties for feed, formulated
new mixes of feed using domestic inputs and made capital
investments in local production and distribution. (rid)