Riffrag Business & Finance Report

JAKARTA – Maritime and Fisheries Ministry will allocate funds amounting to Rp200 billion to build 28 Special Economic Zones (KEK), fisheries or minapolitan.

This was conveyed by Minister of Maritime Affairs and Fisheries Fadel Muhammad, the moment met reporters at the Ministry of Economic Affairs Office, Jakarta, Tuesday (22/06/2010).

According to him, in the development of KEK, should think about what kind of commodities that superior. This is so that failures in Integrated Economic Development Kawasab (Kapet) do not recur. “(Such) Patin and Morotai to center that works with overseas and Boyolali to center Lele,” he said.

For your information, the Ministry of Maritime Affairs and Fisheries plans to establish 48 points minapolitan fishing activities in 14 provinces in Indonesia that are targeted in this year.

Minapolitan is the development of a sustainable fishing industry for cottage industry. The idea is judged to increase the added value of fish production in Indonesia.

“The meaning of basic words minapolitan is politan mina for fish and for the city. Their thinking is simple, minapolitan city or fish-based economy,” said Fadel.

The reason for this, the fish caught from Indonesia can only be exported or consumed by the fishermen mentahan. Through minapolitan, Ministry of Marine aspires to build a shelter or medium-sized mini-mill. This plant can be various kinds.

Processing is done too, not only related to salted fish, dried or other simple technologies commonly used by the community. Pilot areas, that will like Pelabuhan Ratu, Boyolali, and part of the area mostly in East Indonesia. “We are eager to minapolitan, the area could be based on fish production,” he said

JAKARTA – PT Kereta Api (Persero) to propose a tariff increase in the electric train (KRL) to the Ministry of Transportation. The proposal, submitted by government policies that will raise the electricity basic tariff (TDL) in early July.

“This increase (tariffs KRL), to adjust the rise-related increase in TDL increase,” said Minister of Communications (Minister) Freddy Numberi in Jakarta, Monday (21/06/2010).

Freddy admit, until recently, it was still reviewing the proposal. However, Freddy promised to be careful in making decisions, and will not burden the users KRL. But Freddy was reluctant to mention the proposed tariff increase these quantities.

Meanwhile, Minister of State Owned Mustafa Abubakar admitted that his side had not yet received official notification about the proposed tariff increase KRL. “Formally, I have not received any such proposal,” said Mustafa

JAKARTA – Indonesia will develop five industrial estates CPO, to strengthen developing the industry from upstream to downstream, so that in the long term Indonesia became the largest producer of CPO and its derivatives in the world.

The fifth area of development of the CPO industry, namely northern coast of West Java, Riau, East Kalimantan, Eastern Sumatra, Papua and Food Estate.

It is said Coordinating Minister Hatta Rajasa, after the coordination meeting (coordination meeting) of KEK and the implementation of Presidential Instruction No. 1 on Governance, Coordinating Office, Jakarta, Tuesday (22/06/2010).

“Of the 48 who asked not everything on the take. We will build five industrial clusters that are now being prepared in the course of 100 days. The first one we called the corridor of the Special Economic Zone means Java coast, Sumatra East Coast Corridor, Corridor Kalimantan, Sulawesi and Corridor Corridor Merauke , “he said.

Hatta said the corridor will become a “food estate” which will be equipped with various infrastructure facilities, industrial estates, as well as incentives both fiscal and non-fiscal.

However, he could not explain in detail what kind of incentives will be provided by government, except the government’s commitment in making the 100-day program of infrastructure development as the main focus.

According to him, the concept of KEK will be stipulated in Government Regulation (PP). “With that pattern alone, there are already interested. Japan through Dubesnya already expressed interest in developing it,” he said.

He was convinced that if Indonesia-based integrated development pattern of existing resources, Indonesia will be able to improve the competitiveness of competitive or comparative.

A number of areas, which was preparing the region for the CPO industry, inter alia, in Kuala Enok Riau, East Kalimantan District Malloy, and North Sumatra in Mangke River region.

CPO industry was an industry that is important for Indonesia because of its high competitiveness and create many jobs. “Currently the sector involving approximately 3.5 million workers,” he said.

National CPO production in 2009 is expected to break the 20 million tons, an increase compared to last year reaching 19 million tons, with exports reaching 12.9 million tons.

“Should Indonesia as the largest producer of CPO is also a price leader. We have started with the futures exchanges. So it was time and should begin,” he said

- Coordinating Minister Hatta Rajasa requested active participation of all parties to overcome the problems related to gas cylinder blast proliferation disturbing the public.

Besides emphasizing the need for supervision and socialization of PT Pertamina (Persero), Hatta was also urged to take an active part of society to report if there is suspicion of a gas tube problem.

“The public should also be alert to things like that (the tube that has not indicated SNI). Suppliers should be responsible. Then, Pertamina also has to monitor,” he explained at the office of Coordinating Minister for Economic Affairs, Jalan Banteng Square, Jakarta, Monday (21 / 6 / 2010) night.

To that end, he stressed the importance of supervision conducted by Pertamina and also how the right to disseminate to the public so that it can figure out how the use of gas stove properly.

“Indeed, I think, first people should be given to socialization. However, our society experienced a change of use to the gas and kerosene,” he said

The Indonesian government will form a negotiating team of PT Indonesia Asahan Aluminium (inalum) after the assessment is completed a business proposal. In fact, the proposal deadlines October 31, 2010.

Minister for State Owned Enterprises (SOEs) Mustafa Abubakar said it was completing a business proposal from Indonesia, which will decide what kind of a continuation of the cooperation contract that has been 30 years running and will end in 2013.

“It’s still in the stage of completion proposals. So we Completes proposals from each side and the Indonesian government must state on going a while, but I have not been able to determine when, will be coordinated with the Coordinating Minister for the Economy, “Mustafa said in Jakarta on Monday (6/21/2010).

Having completed a business proposal, he added, will form a new government negotiating team. “But clearly it will be finished before the deadline. Later when it’s finished, perhaps the Coordinating Minister of Economy will form negotiating teams, it’s only the technical team, “he explained.

Negotiating team later on, he said, would consist of cross-ministry. “Any of the Coordinating Minister for Economic Affairs, Minister of Industry, Minister of State,” he said.

Minister of Industry (Industry Minister) MS Hidayat had previously said it suggested there was the appointment of an independent consultant to make the assessment in terms of socio-political, technical, and financial.

“From the study it, then we will go forward to the talks, after the team decided perundingnya officially through the Presidential or Presidential Directive,” said Hidayat.

Hidayat explained, such as the composition of shareholders for any inalum management management, he said, must remain professional. “Everything can be discussed after the formal decision of the President,” he said.

In addition, proposals for cooperation from the Japanese extension must also be handled professionally. “If you want to negotiate, Japan provides a business proposal, later Indonesia, which counters the call,” he said.

Hidayat explained, if Indonesia chooses to take over inalum, then management must be able to make a good program to promote the company. Thus, he said, not to Indonesia did not prepare thoroughly planning. “If I can this year, October has been no concrete results,” he said.

Hidayat expressed, it is important to create and grow the industry and downstream processing of bauxite. “Because we’re increasing aluminum production for domestic needs. If so, then we export,” he said.

Similar disclosed by chairman of the Indonesian Employers Association (Apindo) Sofjan Wanandi. “We must not continue to export bauxite,” said Sofyan.

Sofjan said Indonesia should be able to take over and control a larger share of the Japanese inalum. “Indonesia should be able to take a majority position,” said Sofyan.

Sofjan added that the technology is not a major problem that must be feared. “We can buy technology and then pay the expert. Can not,” he said.

As is known, is a joint venture inalum shaped foreign investment (FDI) among the Japanese as a majority shareholder and the Indonesian government.

Currently, inalum produce 250,000 tons of aluminum ingots per year, from an installed capacity of 225 thousand tons. Production beyond the installed capacity is thanks to technological improvements made in 2008. As many as 40 percent of aluminum production is for domestic inalum, then the rest is exported to Japan.

Indonesia to import 150 thousand-200 thousand tons of aluminum per year, among which are from India, China, Japan, and Australia.

Inalum mentioned in the Master Agreement, shavings II Hydroelectric automatically become the property of Indonesia on November 1, 2013, by paying compensation at book value. Inalum has proposed the extension of cooperation. The proposal is still under review by the technical team of Ministry of Industry (Kemenperin)