New Business Network Establishes to Promote Billateral Trade Relation

Jakarta, 30 May 2010 - The Irish government launched the Irish-Indonesian Business Dialogue Network – a forum to facilitate and promote bilateral relations and trade connections between Ireland and Indonesia – in Shangri-La Hotel, Jakarta on May 26, 2010.

The meeting was chaired by HE Richard O'Brien, the Irish Ambassador to Singapore, Indonesia, the Philippines, Brunei Darussalam, and East Timor, and attended by key figures from Enterprise Ireland, other Irish business entities as well as their Indonesian counterparts.

According to O’Brien, the establishment of the network, which would later change into a division under the Enterprise Ireland, hinted more investment be made by Irish companies in Indonesia in the future.

The Jakarta Post reports quoted Ambassador Richard O’ Brien & Pat O’ Riordan of Enterprise Ireland in Singapore as having said that Irish companies operating in Indonesia had helped create between 2,500 and 3,000 jobs.

Existing Irish companies mostly operate in the fields of food and beverages (such as beer manufacturer Guinness), telecommunication, pharmaceuticals and media.

The report continued that Ireland’s global flavorings firm Kerry Group Plc has acquired PT Armita, a savory flavoring business in Jakarta, while Independent News and Media Plc has put major investment in PT Abdi Bangsa, which publishes Republika daily.

In the occasion, O’Brien also added that the Indonesian government needed to minimize obstacles for business development to boost foreign investment. “Investors need transparency and predictability on tax payment. An attractive and predictable tax regime is urged so that people will know what they have to pay,” O’Brien said.

His notion has brought the idea of a better investment policy that the government should simplify investment procedures by implementing a one-stop service for investment and business licenses.

Based on the Enterprise Ireland’s data, the trade balance between Indonesia and Ireland in 2009 was valued at 1.2 billion euros ($1.49 billion). This consisted of 650 million euros of Indonesian exports and 550 million euros of Indonesia’s imports from Ireland.

HD Asia Advisory has assisted Enterprise Ireland and the government of Ireland in preparing and organizing trade meetings, assisting them in knowing Indonesia’s economic and political dynamics better, and developing its network within the Indonesian business landscape. (dw/jp/jg)

 

*In the picture: CEO Bernardus Djonoputro (left) is accompanying Irish Ambassador HE Richard O’ Brien (right) during the Irish Business Network Establishment in Jakarta