CHAMBER OF COMMERCE INDONESIA AND INDIA AGREE 4 KEY SECTORS OF BUSINESS PARTNERSHIP

company
Nov 14, 2018
2339

JAKARTA - Chairman of the Indonesian Chamber of Commerce and Industry (Kadin) and Chairman of the Confederation Industry of India (CII) agreed on four key sectors of Indonesia-India business partnership.

On Wednesday (30/5), Kadin Chairman Rosan P. Roeslani said it would report to President Joko Widodo and Prime Minister Narendra Modi on the results of the CEO of Indonesia-India Forum conducted the day before.

The CEO of this Forum is the second meeting after it was held in 2016 and as a follow up of the strategic partnership of both countries.

"We agreed to focus on four sectors to improve business partnerships from the previous 6 sectors. The focus of agreed business cooperation namely manufacturing, mining, pharmaceutical, and infrastructure "explained Rosan in a press release on Wednesday (30/05/2018).

He revealed, in connection with mining for example, India is the main export destination for coal. "And with their increasing domestic industry needs, our coal export portion can still be added and they are also reluctant to invest in Indonesia for this sector," he said.

In contrast to pharmaceuticals, with high import tariffs, one way is to invest there. But the challenge is finding the right business partner.

Therefore, this dialogue acknowledged it is important to equate perceptions of the various challenges that still exist. Indonesia is India's second largest coal exporter after Australia and its annual growth is quite high.

Quoting International Trade Center, imports of coal from Indonesia HS2701 (coal, briquette, ovoid and solid fuel made from coal), amounted to US $ 3.3 billion in 2016. This amount rose to US $ 4.7 billion in 2017.

As for pharmaceuticals, this product is subject to a high enough import tariff of about 40% resulting in our drugs are not competitive for sale there.

Thus, Roslan revealed the CEO of this Forum as the only institutionalized business forum to have a very important role in improving the strategic economic relations of both countries.