Chief economic minister Hatta Rajasa, after a limited cabinet meeting here on Wednesday, said the President also called for the consolidating to be done in stages involving only companies that are prepared for it.
"It must be done carefully and in stages," he said.
Hatta said consolidating could be carried out through various mechanisms, such as mergers or acquisitions. "We can choose what is the best for it," he said.
He noted that the number of state-owned companies would be reduced, though he did not mention how many would be targeted.
The meeting, which was led by the President and also attended by Vice President Boediono and ministers concerned with economic affairs, also discussed efforts to optimize state-owned companies` assets and plans to set up a holding company to accommodate state-owned plantations.
"Setting up a holding company for PT Perkebunan (plantation companies) is considered very important, as it would provide good corporate governance and a favorable impact on management," he said.
He added that it was also believed the setting up of a holding company for the plantation companies would increase productivity and profits.
Hatta said the meeting also discussed plans to set up a state-owned food company to develop new rice fields using intensive methods.
He said through creation of the company it was hoped that up to 100,000 hectares of new rice fields could be created, with productivity reaching six tons per hectare.
State enterprises minister Dahlan Iskan, meanwhile, emphasized the importance of cutting logistical costs.
In view of that, he said the state-owned company that manages most ports in the country must immediately reform themselves to reduce costs and speed up the movement of goods.
He further said all ports, especially those located in the eastern regions, will be allowed to make new investments to modernize equipment and existing facilities.(*)
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Editor: Jafar M Sidik
Copyright © ANTARA 2012
