Focus

Focus (140)

07
October

Minister of Research, Technology and Higher Education,  Mohamad Nasir targets that the number of technology-based startups or ministry-assisted startups will reach 4,900 by 2024. In his remarks at the opening of “2019 Innovation Indonesia Expo (I3E) Exhibition” at the Jakarta Convention Center, Thursday, 3/10, Minister Mohammad Nasir said that from 2020 to 2024, the number of startups has to be triple. If there are 1,307 startups now, then in 2024 it will reach 4,900. To that end, the Ministry of Research, Technology and Higher Education provides at least budget worth Rp64 billion per year for three funding and coaching programs: Prospective Technology-Based Starter Companies (CPPBT), Starter-Based Technology Companies (PPBT), and Industrial Innovation.

The Indonesia Expo Innovation Expo (I3E) 2019 which took place  from 3 to 6 October 2019 featured 404 innovative products from technology-based startups (PPBT). Minister Muhammad Nasir also stated that Technology-Based Starter Companies (PPBT) or startups have also contributed to Indonesia's Gross Domestic Product (GDP). According to M. Nasir, in 2014, Indonesia ranked 17th among the G20 countries. Interestingly, in 2019 according to IMF data, it turns out that Indonesia ranks 7th; this is an extraordinary leap. He hopes that Indonesian startups will advance.

Meanwhile, Director General of Innovation Strengthening, Jumain Appe said that the 2019 I3E Exhibition featured as many as 404 innovation products consisting of 249 innovative products from the PPBT funding program, 132 innovation products from the technology-based startup candidate (CPPBT) funding program, and 23 innovation products from Industrial Innovation funding. All of which are Indonesians works.

The I3E 2019 Exhibition carried the theme "Startup Technology and Industrial Innovation Increases Nation's Competitiveness”. Innovative products displayed were also in line with the mandate of the medium-term development plan (RPJM) on which science and technology development will be aimed at 8 focus areas: food, energy, health and medicine, transportation , information and communication technology, defense and security, and advanced materials plus a maritime focus.

02
October

Indonesian Minister of Public Works and People Housing, Basuki Hadimuljono ensured that urbanization is not seen as burden or problem anymore with three requirements. They are excellent planning, proper regulation, and sufficient funding. That was conveyed by Minister Basuki Hadimuljono when opening High Level Roundtable on Fostering Growth and Inclusion in Asia’s Cities, held in Jakarta on Monday. According to Minister Basuki, the three requirements will affect the success of urbanization as growth machine.

The Minister added, government’s plan to relocate national capital city to East Kalimantan also adopts those three conditions. Therefore, capital city relocation is expected to be growth machine instead of problem. More overly, East Kalimantan is located precisely in the middle of Indonesia. Minister Basuki then exemplified Astana, the capital of Kazakhstan that is also in the middle of the country and become national growth machine.

Nevertheless, the Minister predicted the urbanization trend in Java Island will be more rapid in the next few years, along with the toll roads construction. Minister Basuki said, toll road network in Java will be complete, because in the next five years, there will be new corridors complementing the Trans Java corridor that has been connected from Merak in Banten, to Probolinggo in East Java. According to the  Minister, the toll road has at least can changed economic activity pattern.

The Minister further said that currently, Indonesian population living in cities is 137 million people or 54 percent of total population. He predicted that in 2025, population in cities will keep increasing up to 68 percent of the total population.

Meanwhile, Country Director Asian Development Bank for Indonesia Windfried F Wicklein in similar event explained that urbanization had become global trend, no exception in Indonesia. Wicklein even said, urbanization had happen in almost 55 percent of Indonesian population. That can be a challenge and an opportunity for Indonesian government to make the cities worth living.

30
September

Bali won the prestigious award as the "Destination of the Year" at the 2019 TTG Travel Awards that took place at Centara Grand & Bangkok Convention Center, Thailand on Thursday (September 26th). TTG or Travel Trade Gazette is a weekly tourism newspaper. The award was immediately handed over to the government of the Republic of Indonesia, which was represented by Deputy Marketing Development I at the Ministry of Tourism (Kemenpar), Rizki Handayani in Bangkok on Thursday. Rizki Handayani said that the award made the government confident and Bali is the best tourism destination and is able to generate foreign exchange. He also said that the award is an international belief and recognition. This means that Bali is one of the world's tourism destinations. Rizki also reminded that maintaining achievements and awards will be more difficult than obtaining them. Therefore in the future, according to Rizki, the Ministry of Tourism in addition to maintaining and maintaining Bali as a world tourism destination, the Ministry of Tourism also seeks and promotes other leading regions which are priority tourism programs.


Meanwhile, Deputy Assistant for Marketing Development I Regional I of the Ministry of Tourism (Kemenpar), Dessy Ruhati in a press statement in Jakarta on Wednesday (9/25) said that the award won by Bali becomes evidence of international recognition of Indonesian tourism. Dessy Ruhati, who led the Indonesian delegation at the largest MICE exhibition and exchange in Asia-Pacific pointed out that the award given to the winners in the "30 th Annual TTG Travel Awards 2019" event was a series of exhibitions and international tourism incentives Travel & Convention exchanges. Asia Meeting (IT & CMA) 2019 which took place in the same place on September 24-26, 2019.


The Indonesian Pavilion offered a variety of superior MICE tourism products and tourism information services on 10-Priority Tourism Destinations, including five destinations; Lake Toba, Borobudur, Mandalika, Labuan Bajo, Likupang which were designated by President Joko Widido as a Super Priority Destination.

In the global MICE industry, Indonesia is represented by Bali, Jakarta, Lombok, Manado and several other destinations. The regions are a world-class MICE destination because they often host various international conventions.

23
September


Indonesian Investment Coordinating Board -BKPM seeks to increase investment flows from South Korea. One of them is through the signing of a Memorandum of Understanding with the Korea Overseas Infrastructure & Urban Development Corporation (KIND), a South Korean-owned entity for infrastructure cooperation and urban area development. The MoU was signed by BKPM Deputy for Investment Planning, Ikmal Lukman and KIND Executive Vice President, Han Kyu-lim at the Business Forum: Invest Indonesia event in Seoul on Friday (9/20).


Head of BKPM, Thomas Lembong, as released by Republika on Saturday, 21.9'19 explained that the memorandum of understanding is expected to facilitate investors who are interested in investing in Indonesia, especially in infrastructure. Indonesia can exchange information with KIND such as information about a list of potential projects and investment opportunities in infrastructure and urban development.


Deputy Ikmal Lukman explained that on the one hand, the scope of cooperation based on this Memorandum of Understanding includes the exchange of public information that is open to the public. On the other hand, there are promotion and facilitation of infrastructure projects / urban development in Indonesia. For information exchange, BKPM can also ask investors for recommendations from KIND and provide feasibility studies for these projects.


Ikmal also explained that the cooperation is also related to business meetings. At present, KIND is exploring 48 projects in Asia; 15 of them are in Indonesia. KIND projects in Indonesia are spread across several regions of Java, Sumatra, Sulawesi and Kalimantan. The sectors of interest are transportation, environment, logistics, power generation, urban area development, and water treatment plants.


Meanwhile, KIND Executive Vice President, Han Kyu-lim said that for South Korean construction companies, Indonesia has become one of the most important markets in the world. It always wants to establish a better partnership with the Government of Indonesia and private companies. The signing of the MoU between BKPM and KIND is considered very good by Han. Because, this will encourage more active communication and enable effective collaboration. Furthermore, KIND is committed to making the best efforts to increase the participation of South Korean companies in infrastructure projects and urban development in Indonesia in cooperation with BKPM. According to BKPM data, the total realization of South Korean investment in Indonesia from 2014 to the second quarter of this year reached US$7.5 billion dollars.

16
September

In commemorating the National Transportation Day, Indonesian Ministry of Transportation held ‘Indotrans Expo 2019. When opening the Indotrans Expo 2019 in JCC Senayan, Jakarta on Friday (13/9), Vice President, Jusuf Kalla affirmed that good management of transportation may help the government reduce the trade account deficit through less use of fuels in transportation sector.  If the personal motor vehicles are getting bigger, consumption of fuels is also getting bigger. As a result, air pollution cannot be avoided due to the emission of the motor vehicles. A good management of transportation is by building infrastructure of public fast and comfortable modes of transportation. Consequently, the people especially the commuters are expected to change their life style from using their personal motor vehicles to public transportation. Thus, the Ministry of Transportation has to carry out rapid transformation in managing transportation in land, sea and air transportations across Indonesia. With effective and efficient transportation system, the infrastructure development across Indonesia has been evenly mobilized. Of course, this connects among people and cargo inter-region. VP Jusuf Kalla asked for the Transportation Ministry to adjust with updated transportation technology that can reduce the traffic accident. More importantly, the human resources in the transportation sector must be improved to address the obstacles in the transportation sector such as modes of sea, land and air transportations. In the commemoration of National Transportation Day, Minister of Transportation, Budi Karya Sumadi hopes that his side can improve human resources in his ministry so that transportation becomes more convenient, safer and safer. Indotrans Expo 2019 was held from Friday (13/9) to Sunday (15/9) with the theme "Knitting the Archipelago Building the Nation, a Real Service for Transportation People for Excellent Indonesia, Advanced Indonesia." The aim of the exhibition was to provide information to the public about the development of infrastructure, facilities and human resources in the transportation sector in Indonesia.

09
September

President Joko Widodo inaugurated Esemka car factory in Kosambi District, Boyolali Regency, Central Java on Friday (6/9). The inauguration of the factory was also attended by Minister of Industry, Airlangga Hartarto and Minister of Transportation, Budi Karya Sumadi.The Esemka factory is managed by PT Solo Manufaktur Kreasi (SMK), which also acts as a brand holder. The factory facility has an area of 12,500 thousand square meters and was built on a land of 115 thousand square meters. In this factory, there are production processes such as vehicle assembly, painting, and testing. The investment value spent for this factory reaches Rp600 billion. The factory production capacity is estimated at 18 thousand units per year. That means 1,500 units per month or around 50 units per day.In his speech, President Joko Widodo said that the existence of the Esemka factory could have a positive impact on the Indonesian economy, especially in Boyolali. Therefore, he appealed to the Indonesian people to support it.On the same occasion, Minister of Industry, Airlangga Hartarto said that the presence of the Esemka car factory is a manifestation of the strength of the national automotive industry. The presence of the Esemka branded car factory will increase the absorption of domestic automotive components, especially those produced by Small and Medium Industries (IKM). At present, PT SMK has collaborated with more than 30 local automotive component industry suppliers and has made preparations for mass production. He ensured that the inauguration of the plant always has a double effect on the economy, such as opening new employment.Meanwhile, President Director of Solo Manufacturing Kreasi, Eddy Wirajaya said that the establishment of this factory is also an effort to increase Human Resources in Indonesia. Esemka routinely selects students of vocational high school who will assist the Esemka car production process. Thus, they become superior Human Resources through the empowerment of SMK graduates who are directly involved in the production process.Eddy also emphasized that all Solo Manufacturing Kreasi employees are happy and grateful for all the support and participation from various parties. In the end, they succeeded in building the factory and all Esemka facilities. In addition to inaugurating the factory, Eddy also introduced the first mass-produced model, a pickup called Bima.

06
September

Coordinating Minister for Maritime Affairs, Luhut Binsar Panjaitan, believes that it is the time for Indonesia to become electric vehicle producer, since various supporting materials are available in Indonesia. This was stated by Minister Luhut Binsar Panjaitan when opening the 2019 Indonesia Electric Motor Show (IEMS) in Jakarta, Wednesday (Sept4). Minister Luhut also said that around 70 to 80 percent of lithium battery manufacturing components as the essential part of manufaturing the electric vehicles , are found in Indonesia. In addition, various parties want to invest domestically, related to the production of various components supporting the manufacturing of electric vehicles. At present the air in various major cities such as Jakarta has been polluted, so it is important to replace fossil energy vehicles to turn into electric vehicles that are considered more environmentally friendly. On the same occasion, Presidential Chief of Staff Moeldoko said, various benefits related to the use of electric vehicles, including reducing oil and gas imports and creating a healthier environment for future generations. In addition, the use of electric vehicles can also help to make the State Electricity Company (PLN) healthy, because there will be more and more electric vehicles that use electric current from PLN to charge batteries. Moeldoko also believes that the Indonesian people will be able to buy the electric car, although the price is now relatively expensive.Indonesia is one of the countries that has the best raw materials in the world for producing lithium ion batteries, namely low grade nickel ore or commonly called limonite with a 0.8-1.5 percent nickel content.

02
September

The Agricultural Quarantine Agency (Barantan) at the Ministry of Agriculture guarantees the health and safety of processed wood products from Purworejo, Central Java Province, which will be exported.Head of the Center for Cooperation, Compliance, and Information of Barantan, Sujarwanto when reviewing a wood processing industry in Purworejo, Central Java on Thursday (29/8) said that forest origin products required by the destination country are guaranteed in terms of health and safety. He ensured that with the issuance of a Phitosanitary Certificate (PC), the product is ready to enter the global market.Sujarwanto further stated that with Purworejo's huge timber production potential, the acceleration of export business process services was crucial. He added that Purworejo has wood types such as Albasia or Sengon, Sonokeling, Mahogany, Teak and Pine. Purworejo Administration noted that currently, the total quantity of timber production in the area reaches 127.4 thousand cubic meters per year in a bid to meet domestic and international needs.Sujarwanto also  ensured that export products have high competitiveness in the export market. The Agricultural Quarantine Agency as the quarantine authority is the guarantor of health and safety. In accordance with international trade rules on commodity exports, wooden packaging such as wooden pallets, crates and boxes must be ensured to be free of insects and free of mold.Second Assistant of Purworejo Regency, Boedi Harjono, who was present and took part in releasing exports said that he appreciated the facilitation of agricultural quarantine for export agricultural products from his region. He hopes that the Ministry of Agriculture also provides assistance of technical requirements of agricultural exports for beginning businesspeople. So,  there is more potential for new exports, for example exports of Ketapang leaves.On the occasion, the release of agricultural exports from other regions in Central Java was also carried out, such as Albasia wood 357 thousand metric tons to Japan and China, 25 tons of ant crystal sugar to Sri Lanka and 7 kg of Ketapang leaves to South Korea and the United States. Head of the Agriculture Quarantine of Cilacap, Puji Harto said that the performance of agricultural exports has increased significantly in the province of Central Java.

26
August

The Ministry of Agriculture through the Agricultural Quarantine Agency (Barantan) as a facilitator of trade in agricultural products guarantees the health and safety of agricultural products sent to trading partner countries. Head of Barantan, Ali Jamil in a press release received in Jakarta on Sunday ensured that the service is fast, precise and in accordance with the technical requirements of the destination country. That was conveyed by Ali Jamil when reviewing the palm shell industry and releasing 22.8 thousand tons of palm oil derivative products from West Sumatra. Palm oil derivative products of each form of Refined Bleached & Deodorized (RBD) consisted of 4 thousand tons, CPO of 7.8 thousand tons sent to China and Japan.According to Ali Jamil, quarantine inspection treatment is carried out in accordance with international standards and requirements of each destination country. Strengthening the quarantine system is to maintain not only the preservation of living natural resources, but also the performance of agricultural exports. The implementation of online certification or e-Cert has been done by Barantan to guarantee the acceptance of agricultural products in export destination countries.The data exchange enables checking of technical requirements to be fulfilled before the product arrives. So if there is a discrepancy, it can be anticipated that the treatment will be immediately dealt with. This digital service provides sustainable solutions. He also pointed out that currently there are only four countries: Australia, New Zealand, the Netherlands and Vietnam to cooperate with. He added that his side has instructed if possible, all countries may establish cooperation.Meanwhile, Head of Agricultural Quarantine in Padang, West Sumatra, Eka Darnida Yanto said that besides palm oil derivative products, other agricultural products from West Sumatra are also exported.The economic value reached Rp212.8 billion, consisting of 604.8 tons of rubber plate, 18 tons of coffee beans, 95 tons of cinnamon and coconut derivative products consisting of 83.8 tons of coconut milk, 25 tons of grated coconut and 71.2 tons of coconut water.The export destinations include the Netherlands, Spain, Norway, China, Bangladesh and Germany. Eka also explained that the export of palm shells from the quarantined automation system data, Indonesian Quarantine Full Automation System (IQFAST) underwent an increase of 28 percent. Total exports in 2018 were 404.8 thousand tons while by the second week of August 2019, the exports of palm shells had reached 344.4 thousand tons.

23
August

The Indonesian Export Financing Agency (LPEI) or Indonesia Eximbank will provide the best financing and guarantee schemes for all forms of export activities, especially to African countries. This was revealed by Executive Director of the Indonesian Export Financing Institution, Sinthya Roesli before a number of delegations from African countries and representatives of several State-Owned Enterprises -BUMN at 'Breakfast Business Dialogue' of the Indonesia - Africa Infrastructure Dialogue (IAID) 2019 event in Nusa Dua, Bali on Wednesday (8/21).Sinthya also explained that to support infrastructure development abroad through a number of experienced State-Owned Enterprises -SOEs, LPEI could run a number of financing schemes. One of them is buyer’s credit or financing to buyers of Indonesian products or services abroad. In this case, LPEI can provide facilities to African governments as project owners and business entities in the country concerned. In addition, Sinthya Roesli added that her side also provides overseas investment financing and working capital financing to SOEs working on overseas construction sector projects. She added that Indonesia has also implemented a semi-concessional loan facility, namely the National Interest Account (NIA) or the Special Export Assignment (PKE). Africa is also one of the main destination regions of this program.National Interest Account is a soft loan provided by LPEI specifically in the form of export financing for transactions or projects that are commercially difficult to implement, but are deemed necessary to support national export policies or programs. Through this scheme, LPEI has provided financing facilities to strategic SOEs for a number of projects in Africa. One of them has been given to PT Dirgantara Indonesia for the purchase of CN 235 aircraft by Senegal, worth Rp147 billion. In addition, this facility was given to PT Wijaya Karya for the construction of housing in Algeria, worth Rp187 billion.The Indonesian Export Financing Institution which has assets reaching Rp118.4 trillion as of June 2019 will provide the best financing and guarantee schemes for all forms of export activities, particularly to African countries.

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