Vice President Gibran meets Laos Deputy PM to discuss Indonesian fertiliser plant investment
Vice President Gibran Rakabuming Raka held a bilateral meeting with Deputy Prime Minister and Foreign Minister of Laos Thongsavan Phomvihane to discuss economic cooperation, including investment in building a fertiliser plant by PT Pupuk Indonesia.
Deputy Foreign Minister Anis Matta, who accompanied Vice President Gibran at the meeting in the Vice Presidential Palace, Jakarta, on Tuesday, said the planned investment to build a fertiliser plant in Laos is driven by Indonesia’s high imports of potash for domestic fertiliser raw material needs.
“Because we import potash from Laos for our fertiliser needs here, the government intends to invest in Laos through PT Pupuk (Indonesia) for cooperation in this industrial sector,” said Anis Matta.
Anis explained that the value of trade between Indonesia and Laos reaches $83.8 million per year.
This amount is still relatively small compared to Indonesia’s trade with other ASEAN member countries. In addition, Indonesia’s trade with Laos shows a deficit of $57 million.
On the same occasion, Deputy Head of the SOE Ministry Aminuddin Ma’ruf explained that the exploration of investment cooperation for the fertiliser plant and its downstreaming will be carried out by PT Pupuk Indonesia (Persero).
Aminuddin explained that potash is a commodity imported by Indonesia from Laos that dominates nearly 100% of the scale of trade between the two countries.
“Vice President conveyed and asked us at the SOE Ministry and Danantara to explore investment opportunities regarding downstreaming in the fertiliser sector to enhance cooperation, realise the President’s vision, namely food sovereignty and security that not only focuses on Indonesia, but also food security on a regional scale, namely Southeast Asia,” he said.
Vice President Gibran Rakabuming Raka received a working visit from Deputy Prime Minister and Foreign Minister of the Republic of Laos Thongsavan Phomvihane at the Vice Presidential Palace in Jakarta to discuss strengthening bilateral partnerships ahead of the 70th anniversary of diplomatic relations between the two countries in 2027.
Vice President Gibran was accompanied by deputy ministers of the Red and White Cabinet, including Deputy Foreign Minister Anis Matta and Deputy Head of the SOE Ministry Aminuddin Ma’ruf.
Meanwhile, the Laotian delegation present included the Ambassador of the Lao People’s Democratic Republic to Indonesia Khamfeuang Phanthaxay, Director General of the Asia-Pacific and Africa Department Bounthanongsack Chanthalath, and Director General of the ASEAN Department Sengdavanh Vongsay.