Tag: international business

President Joko Widodo (Jokowi) today officially received the Agricola Medal award from the Food and Agriculture Organization (FAO). The award was given directly by the Director General of Fao Qu Dongyu. The award was received by Jokowi at the State Palace, Central Jakarta. According to him, this award is an honor for him. According to him, Indonesia realizes that food sovereignty and independence is a basic need that cannot be postponed.

“This is an honor for me. Indonesia is aware of food sovereignty and independence, because this is a basic human need that cannot be postponed,” Jokowi said in his remarks, Friday (8/30/2024).

Jokowi also presented this award to farmers and the people who had strengthened the agricultural sector and food security efforts in Indonesia.

“We offer this to farmers and people who strengthen the agricultural sector. Hopefully this will generate Indonesia’s collective energy to strengthen world food security,” Jokowi said.

In the statement of the National Food Agency (Bapanas), Agricola Medal was explained as a recognition of FAO of the contribution and commitment to figures or heads of state who were considered to have a great effort to improve the welfare of the community and extraordinary support for the fundamental objectives of the FAO in achieving universal food security.

Qu Dongyu said that under the leadership of President Jokowi, Indonesia showed a rapid development in the transformation of the agricultural system by implementing the principles of sustainable agricultural development, even when the world was facing various global challenges, such as Pandemi Covid-19. Furthermore, Qu Dongyu said the Agricola Medal award was proof of Indonesia’s efforts in realizing food security and better people’s lives, without any citizens who were ignored.

The last FAO award was given to Indonesia about 39 years ago. Agricola Medal at that time was received by President Soeharto. Bapanas said that Agricola Medal was given because Jokowi and his entire staff consistently fight hunger and poverty as well as strengthening food security and community nutrition.

For information, besides President Jokowi, FAO this year gave the Agricola Medal award for two other country leaders, namely Irish President Micheal D Higginis and Ethiopian Prime Minister Abiy Ahmed Ali.

August 30, 2024, detikFinance

(https://finance.detik.com/berita-ekonomi-bisnis/d-7516446/jokowi-raih-agricola-medal-fao-transformasi-pertanian-ri-berkembang-pesat)

(https://finance.detik.com/berita-ekonomi-bisnis/d-7516183/jokowi-terima-agricola-medal-penghargaan-tertinggi-dari-fao)

PT Kereta Api Indonesia (Persero), PT Industri Kereta Api (Persero) and CRRC Qingdao Sifang agreed to work together in order to develop railroad facilities in Indonesia. This was marked by the signing of the Memorandum of Understanding or Memorandum of Understanding (MoU) by the Director of Strategic Planning and Management of KAI Facility John Robertho, Director of Development of PT INKA (Persero) Roppiq Lutzfi Azhar and President CRRC Qingdao Sifang MA Lijun in Qingdao, China. This agenda was also witnessed by Deputy Minister of BUMN RI Kartika Wirjoatmodjo, President Director of KAI Didiek Hartantyo and CRRC chairman Qingdao Sifang Tian Xuehua.

“We express our deepest appreciation to the parties from China, especially CRRC Qingdao Sifang, for excellent support and cooperation in supporting the development of the railroad industry in Indonesia,” Kartika Wiroatmodjo said in a written statement, Thursday (29/8/ 2024).

He said the collaboration that had been established with CRRC Qingdao Sifang included various aspects, ranging from procurement for KAI in the form of KRL and KCIC and fast trains to maintenance and maintenance of trains. Not only that, CRRC Qingdao Sifang is also known to play a role in supporting transportation in the Capital City area (IKN) through the procurement of Autonomous Rail Transit (ART).

“This is a clear proof of a strong synergy between the railroad industry in Indonesia and CRRC Qingdao Sifang which is a global -scale company in meeting the increasing transportation needs in Indonesia,” Kartika added.

Meanwhile, Vice President of Public Relations KAI Anne Purba projects the procurement of railroad facilities will increase. This is in line with the increasing number of train customers in RI.

“The volume of train passengers in the first quarter of 2024 is 11,379,196 passengers, consisting of 9,778,231 long -distance train passengers and 1,600,965 local train passengers. This figure increased 11% compared to the first quarter of 2023 as many as 10,252,247 passengers,” said Anne.

He said he would continue to try to encourage the quality of services, safety and comfort of travel through various innovations consistently. But to accelerate it, he said, it needs global support.

According to Anne, the MoU between CRRC Qingdao Sifang and KAI is a good first step in creating new opportunities that will provide great benefits for various parties.

“This cooperation is not only aimed at creating reliable mass transportation but also to increase public accessibility, save energy, reduce emissions, provide extensive benefits for the community, and in the long run can develop the Indonesian railroad ecosystem,” concluded Anne.

August 29, 2024, detikFinance

(https://finance.detik.com/berita-ekonomi-bisnis/d-7515134/kai-inka-crrc-qingdao-sifang-teken-mou-perkuat-sarana-perkeretaapian-ri)

The government is encouraging the expansion of non-traditional markets for Indonesian furniture products. This industrial sub-sector has high added value and actively provides a positive impact on the Indonesian economy. One of the efforts to open non-traditional markets is through active participation in the IndexPlus Delhi 2024 Exhibition, the leading and largest international platform in India, specifically for interiors, architecture and design which will take place on August 9-11, 2024.

“The value of business commitments successfully recorded from Indonesia’s participation in the exhibition is IDR 17 billion,” said the Director General of Agro Industry at the Ministry of Industry, Putu Juli Ardika, in a written statement, quoted on Thursday (8/15/2024).

In order to increase market control and respond to furniture industry trends, the government has developed a strategy that focuses on five things. First, facilitate the availability of raw materials. Second, facilitate the availability of skilled human resources. Third, facilitate market development and strengthen market reference research. Fourth, facilitate increased productivity, capacity, and product quality. Fifth, facilitating a conducive business climate and increasing investment

To create a conducive business climate for furniture industry players, the government has also issued a policy of providing tax incentive facilities in the form of tax allowances, as well as facilitating procedures for exporting downstream products and importing raw materials or auxiliary materials.

“All of these programs are a form of government support so that the domestic industry can be sovereign, advanced, and competitive,” explained Putu.

The gross domestic product (GDP) growth of the furniture industry in the first semester of 2024 was recorded at 0.50%. This is good news, considering that in the last 2 years this industry has contracted.

“In 2022, the growth of the furniture industry fell to 1.99%, then in 2023 it fell to 2.04%. However, in the first semester of 2024, there was a positive increase of 0.50%. Although prone to fluctuations, in 2021, the furniture industry managed to carve out growth of up to 8.16%,” said the Director General of Agro Industry.

In the first semester of 2024, furniture industry products including metal and plastic furniture contributed 1.1% to non-oil and gas GDP, with an export performance value reaching USD1.02 billion.

Based on Expert Market Research data, the global furniture market value in 2023 was recorded at US$629 billion, and in 2024 it is projected to grow by 5%. This condition opens up opportunities for the Indonesian furniture industry to penetrate the global market, one of which is India.

August 15, 2024, detikFinance

(https://finance.detik.com/industri/d-7492218/ri-bidik-pasar-mebel-di-india-siapkan-5-jurus-ini)

PT PLN (Persero) signed a Power Purchase Agreement (PPA) with a Saudi Arabian energy company, ACWA Power to develop the Saguling Floating Solar Power Plant (PLTS) project with a capacity of 92 Megawatt peak (MWp) in West Java.

The Saudi Arabian Ambassador to Indonesia, Faisal Bin Abdullah Al-Amudi, said that this EBT development cooperation is a bilateral relationship at a strategic level initiated by the leaders of Indonesia and Saudi Arabia. He assessed that this collaboration would improve the economies of both countries.

“The Kingdom of Saudi Arabia, as you know, is the largest economy in the Middle East and Indonesia is the largest economy in Southeast Asia. Both countries have great potential in terms of investment, on this occasion we also invite investors to increase investment in Saudi Arabia and Indonesia,” explained Faisal, in his statement, Thursday (15/8/2024).

PLN President Director Darmawan Prasodjo explained that this strategic step was taken by the company in its efforts to support increased utilization of new renewable energy (EBT) in line with the energy transition agenda in Indonesia.

“The earth is warming, and we are shifting from fossil fuel-based development to renewable energy-based development. The energy transition policy to renewable energy is underway and will be announced at COP29 in Azerbaijan with 75% of additional capacity coming from renewable energy,” said Darmawan.

Darmawan also said that with the large investment needs, of course PLN would not be able to do it alone. According to him, this is a global challenge that requires global solutions and global collaboration.

He said that the signing of this PPA is proof that the previously fragmented global community is now united.

“Global warming offers great challenges, but also provides extraordinary opportunities, opportunities to grow, opportunities to collaborate, both in strategy, technological innovation, and joint investment. We want to ensure that future generations have a better future than our generation. And it all starts through this extraordinary collaboration,” said Darmawan.

Darmawan said that later when the Saguling Floating PLTS, located in the Saguling Reservoir in West Java, operates, it has the potential to reduce carbon emissions by 120 thousand tons per year.

In this project, PLN Indonesia Power as a subholding of PT PLN (Persero) controls 51% of the shares and the rest will be owned by ACWA Power.

“We greatly appreciate ACWA Power for signing the PPA. This is just the beginning and is a symbol that opens up opportunities for much greater cooperation between Saudi Arabia and Indonesia,” continued Darmawan.

Meanwhile, Chief Executive Office of ACWA Power, Marco Arcelli said that Indonesia is a country with abundant green energy potential. As the largest private water desalination company in the world, ACWA Power emphasized its readiness to work with PLN to develop green energy in Indonesia.

“In countries with high population density, floating solar PV or ‘floatovoltaics’ serve as the best solution to utilize solar energy. Indonesia’s vast seascape and abundant sunlight present great potential for this project. We look forward to working with our partner, PLN, to contribute to the country’s vision of increasing renewable energy capacity,” explained Marco. ACWA Power is expanding its presence in Indonesia through strategic investments that contribute to economic growth and realize a sustainable future.

August 15, 2024, detikFinance

(https://finance.detik.com/energi/d-7491670/pln-gandeng-perusahaan-arab-saudi-kembangkan-plts-terapung-saguling)

The anode battery material factory in Kendal, Central Java, has just been inaugurated by President Joko Widodo (Jokowi). The factory was built directly by a Chinese company, PT BTR New Energy Material.

The factory that was inaugurated is the first phase of construction with a production of 80 thousand tons of anode material per year. The investment itself reached US$ 478 million or around IDR 7.72 trillion. With this factory, the downstream ecosystem of electric vehicles in Indonesia is claimed to have begun to materialize.

“So, what we dream of is a large ecosystem of strong and integrated electric vehicles one by one, starting to appear,” said Jokowi when inaugurating the battery material factory in Kendal, broadcast virtually, Wednesday (7/8/2024).

Here are 3 advantages of the anode factory:

1. Built in Only 10 Months

According to Jokowi, BTR from China was able to build the factory in a very short time. It was only 10 months ago that the investment commitment was signed in Beijing, but now the factory has been successfully built in Indonesia. Jokowi said that the speed of this development is proof of Indonesia’s progress. According to him, a fast country will currently beat a slow country.

“I really appreciate the speed of this factory’s construction. It was only 10 months ago that we signed in Beijing, and suddenly the factory was finished,” said Jokowi.

According to Coordinating Minister for the Economy Airlangga Hartarto, who was also present at the inauguration of the factory, in China alone there is no factory that can be built in 10 months. This shows Indonesia’s speed in making industrial progress.

2. Use High-Value Waste

Although currently there are still many goods imported for the manufacture of battery anodes in Kendal, he is sure that this factory can be a leap for industry in Indonesia. Jokowi explained that the natural graphite used in this factory is still imported from Africa, but artificial graphite can already be produced from the Pertamina refinery in Riau. These two materials can be used as anode materials to make batteries.

The anode material itself is the main component of the formation of lithium batteries. The anode material acts as the negative axis in a battery, while the positive axis is the cathode. The cathode itself can be produced from nickel processing that has been carried out in Indonesia.

With the existence of a factory that produces anodes, if Indonesia wants to make a battery, it currently only lacks lithium. Lithium material itself can be imported from Australia. Then Indonesia also already has nickel that can be used as a cathode and precursor.

For information, artificial graphite is obtained from the processing of petroleum coke, which is a by-product of crude oil processing, you could say that petroleum coke is waste that has high value. Petroleum coke that is converted into artificial graphite is obtained directly from petroleum processing at the Pertamina Dumai Refinery, Riau.

3. Could Be 1.5 Million Electric Cars

According to Jokowi, the production of 80 thousand tons of anodes per year can be converted into around 1.5 million electric cars. If the PT BTR factory can operate fully, its production can reach 160 thousand tons of anodes, meaning that Indonesia can convert 3 million electric cars per year.   

August 8, 2024, detikFinance

(https://finance.detik.com/industri/d-7478657/3-kelebihan-pabrik-anoda-china-di-kendal-yang-diresmikan-jokowi)

Coordinating Minister for Economic Affairs Airlangga Hartarto revealed that the investment flow into the Kendal Special Economic Zone (SEZ) has reached IDR 205.2 trillion and the absorption of workers has reached 132,777 people.

“From the SEZ there are 12 industrial SEZs including the Kendal SEZ and yesterday the president’s direction was that we will create a SEZ in Batang,” said Airlangga, Wednesday (7/8/2024).

With the presence of the Kendal SEZ, Airlangga said that growth in Kendal has reached 42% and per capita income there has reached 52 million per year with a growth of 8%.

Today, Wednesday (7/7/2024), Indonesian President Joko Widodo (Jokowi) inaugurated the lithium battery anode material factory owned by PT Indonesia BTR New Energy Material, in Kendal, East Java.

The existence of this factory will make Indonesia the largest anode producer in the world. Coordinating Minister for Maritime Affairs and Investment Luhut Binsar Pandjaitan said that the investment of PT Indonesia BTR New Energy material is able to make Indonesia the largest Anode producer in the world.

“The capacity of 80 thousand tons is capable, enough to produce 1.5 million electric cars, they will make phase II which is targeted to be completed in March 2025, so that the total production is 160 thousand tons,” he said.

“With this capacity, Indonesia will become the second largest (producer) in the world, the factory in Japan has a capacity of 10 thousand tons, South Korea 40 thousand tons, the largest in China 100 thousand tons, so we will pass China in the future,” said Luhut.

August 7, 2024, CNBC Indonesia

(https://www.cnbcindonesia.com/news/20240807122432-4-561086/SEZ-kendal-serap-investasi-rp-205-triliun-di-semester-i-2024)

Minister of Trade Zulkifli Hasan alias Zulhas together with Secretary General of the Gulf Cooperation Council (GCC) Jasem Mohamed AI Budaiwi officially launched the Indonesia-Gulf Cooperation Council Free Trade Agreement (I-GCC FTA) Negotiations. The launch of these negotiations was marked by the signing of the Joint Statement on The Launching of The Negotiation on The Free Trade Agreement between The Republic of Indonesia and The Gulf Cooperation Council at the Ministry of Trade Office on Wednesday, (31/7/2024).

“I am very happy today, even though we have not succeeded (in completing the agreement) but we have started (negotiations). I once again express my highest appreciation for the arrival of His Excellency the Secretary General of the GCC,” said Zulhas in his remarks.

“From the bottom of my heart, I sincerely invite us together, there are Ambassadors (of GCC countries) and His Excellency (Secretary General of the GCC), to immediately complete one that can increase our trade in this agreement,” he explained again.

Zulhas said that so far Indonesia and the Arab countries that are members of the GCC have had a long historical relationship, but minimal cooperation. Therefore, this agreement is considered to be a new step for both parties to be closer.

“We have a long historical relationship, but the trade relationship is minimal. During my two years as Minister of Trade, I have been to Saudi Arabia 5-6 times, 5 times to the UAE, 2 times to Qatar, Oman and Bahrain have not, Kuwait has not. But I really want us to strengthen and expand our trade relations,” he said.

He said that this cooperation could later have a good impact on both parties, because both Indonesia and the GCC have very large economies.

In line with that, Jasem Mohamed AI Budaiwi said that the newly signed I-GCC FTA agreement could have a positive economic impact on both parties.

“This is a very historic day for Indonesia and the Gulf countries (GCC), where we have signed a trade agreement between the two countries. Your Excellency, the Minister, with this agreement, it can bring goodness to both countries, especially in the economic sector,” he said.

“(Through this negotiation agreement) We from the GCC and Indonesia will discuss important matters together. There are several things that we want to convey, including trade in goods, trade in services, customs, Islamic economics. We want to underline that this trade agreement emphasizes Islamic economics,” explained the GCC Secretary General again.

For information, the GCC is an economic and political cooperation alliance consisting of six countries, namely Saudi Arabia, the United Arab Emirates, Kuwait, Bahrain, Oman, and Qatar.

Meanwhile, in the January-May 2024 period, total trade between Indonesia and the GCC had reached US$ 6.2 billion. Of that amount, Indonesia’s exports to the GCC were recorded at US$ 2.7 billion, while Indonesia’s imports from the GCC reached US$ 3.5 billion. In 2023, total trade between Indonesia and the GCC reached US$ 15.7 billion. Of that amount, Indonesia’s export value was recorded at US$ 6.1 billion, where Indonesia’s main export commodities include cars and motor vehicles, palm oil, jewelry, lightships, paper, and uncoated cardboard. Indonesia’s imports were recorded at US$ 9.6 billion, with the main non-oil and gas import commodities including semi-finished products from iron or non-alloy steel, acyclic alcohol, sulfur, polymers from ethylene, and unwrought aluminum.

July 31, 2024, detikFinance

(https://finance.detik.com/berita-ekonomi-bisnis/d-7466802/sah-ri-teken-perjanjian-kerja-sama-dagang-dengan-6-negara-arab)