Tuesday, November 9, 2010

Take advantage of Obama's trip! For Business Today

The Indonesian government is optimistic plan for the arrival of U.S. President Barack Obama to Jakarta will enhance trade between the two countries more than U.S. $ 20 billion.

Hatta Rajasa, Coordinating Minister for Economic Affairs, said the arrival of number one in the land of Uncle Sam will be utilized completely by the government to improve cooperation and discuss a range of issues important to many things.

One is to discuss cooperation mitigation of climate change impacts by focusing on investments in renewable energy.


"We want a transfer of U.S. technology in the field of renewable energy. Both investment and energy efficiency, "he said after receiving the U.S. Ambassador Scot A. Marciel yesterday.

After several delays, Obama is scheduled to arrive in Indonesia today in his official visit, after a previous visit to India. Tomorrow, Obama will leave Indonesia and arrived in South Korea, and next to Japan to attend the APEC summit.

Hatta added that leaders of both countries also will discuss technology transfer in agriculture in line with the commitment to make climate change adaptation. Of course there is also a great desire to increase trade and investment that focuses on the development of manufacturing industry and downstream industries.

"Now the new U.S. trade between Indonesia and U.S. $ 20 billion, are still huge opportunities for improvement. To de-pan ka-mi want to improve it. If the United States and Malaysia could be U.S. $ 35 billion, we must be on top of that. "

Coordinating Minister said the meeting would discuss efforts to encourage U.S. companies in Indonesia to increase its investment. Business fields will also be expanded not only in the energy sector (oil and gas), but also transportation and heavy equipment.

"Talk before, there are several projects, such as General Electric, Caterpillar and others. U.S. is also concerned by train. We want the U.S. set up a company in Indonesia locomotives, GE and INKA (PT Industri Kereta Api), which had once been (working together) but had to stop. "

Secretary Ministry of Planning / Head of Bappenas Syahrial Secretary Loetan the U.S. president hoped the visit would boost the company's investments from that country.

Strategic Partners

During the meeting some time ago in Washington DC between representatives of the Government of Indonesia and the U.S. Government, he said, both countries agreed to establish a strategic partnership that will include cooperation between the government and the government and the government with NGOs.

Bappenas, he added, will continue to prepare the project completeness of public private partnership (PPP), which can be offered to investors.

Report USINDO-AS-RI organizations based in Washington, DC-US-Indonesian titled Comprehensive Partnership shows the input for Indonesia were invited to participate in negotiations TransPasifik Partnership (TPP).

TPP will create a free trade area. Currently, the TPP includes the U.S., Australia, Brunei Darussalam, Chile, New Zealand, Peru, Singapore and Vietnam.

"If the textile and apparel products covered by the agreement, will be very difficult for Indonesia to compete with Vietnam if RI is not included in the TPP," says the report received by Business.

Minister of Industry M.S. Hidayat said the focus of the theme of Obama's visit this time is a matter of economics, beyond the problem of Western and Islamic rapprochement.

According to him, Indonesia's economic growth in ASEAN is the highest and the only ASEAN country that are members of the G-20.

"In our macro pretty good, but the fact is, investing the United States compared with other countries, even in Asia was far below. Want my investment from the U.S. went bigger. "

However, he said, Indonesia can not expect too much considering the condition of the United States are still trying to recover its economy.

Deputy Trade Minister Mahendra Siregar said Indonesia's trade today is more directed to countries in Asia. Proximity to regional countries, he argued, would not reduce the U.S. strategic position.

Judging from the number of investment realization this year, the U.S. position remains the third largest source of investment that are important to Indonesia. The cooperation between the two countries will refer to the formula agreed in the Comprehensive Partnership Agreement.

International spotlight

GMU Economist Sri Adiningsih said Obama's arrival into Indonesia is not only the American public spotlight, but also into the international limelight.

If Obama is so come to Indonesia, he said, it does not cause excessive fear of the current condition of Indonesia, especially as related to natural disasters.

"Since the proof we are affected tourism and investment, even our exports may also be affected. If a negative perception, people want to import from Indonesia will also be afraid. "

Sri confirmed the arrival of Obama could be a means of promotion Indonesia indirectly. U.S. President plans to speak in public of Indonesia, the contents of the Indonesia-US partnership, democracy, development, pluralism and tolerance as well as outreach to the Muslim countries.

"If he's positive comments about Indonesia, including comments about the handling of natural disasters, it will greatly help to Indonesia," he said.

BNI economist Rosady T.A. Montol said the strain rate, especially between China and the U.S., Indonesia should be used to obtain a variety of incentives for RI products with the principle of reciprocal, so that bilateral trade relations with the United States increased.

Rosady assess the basis of trade relations and the U.S. Indonesia is located in the export and import. Current U.S. policy and fiscal stimulus needs that you could sustain exports to boost its production output.

On the other hand, Indonesia is one of the largest consumer market in the world, which is now controlled by China
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