Medan, North Sumatra (ANTARA News) - The government is determined to take over the management of PT Indonesia Asahan Aluminium (Inalum) in 2013, Industry Minister MS Hidayat said here on Friday.

"With this decision, North Sumatra will be able to become the biggest aluminum cluster," he said.

He made the statement in reply to a question from a Regional Representatives Council (DPD) member from North Sumatra regarding the government`s stance on the issue as the plant had been managed by Japan for the past 30 years.

The minister admitted that Japan still wished and had also made a relevant proposal to continue operating and managing the aluminium plant.

"The government however is determined to take over Inalum in connection with the ban on export of raw materials to be issued by the government in 2014," he said.

He said there would be a negotiating team to discuss the matter with the Japanese.

The minister however could not yet disclose more details on the government`s preparations for the planned takeover, especially with regard to the new management system or the company that would eventually run the enterprise.

"I cannot yet give more details on the planned Inalum takeover but I can assure you that the government will take it over," he said.

He said the country, including North Sumatra province where the aluminium production facilities were located, would obtain more benefit from their existence if they were taken over by the government.

Indonesia would enjoy a higher added value from the Inalum production activity which was now limited to the export of aluminium.

The DPD member, Parlindungan Purba, said the government and the people of North Sumatra province hoped Inalum could be managed by Indonesia because they had not benefited much from it as long as it was under Japanese management.

"I am posing questions about Inalum because the government and the people of North Sumatra wish to get an assurance regarding the government`s stance on Inalum with the contract with the Japanese expiring in 2013," he said.
(Uu.H-YH/HAJM/S012)

Editor: Priyambodo RH
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