Many Chinese businessmen wish to invest in Indonesia: Ambassador

Many Chinese businessmen wish to invest in Indonesia: Ambassador

Imron Cotan (FOTO ANTARA/R. Sukendi)

Many Chinese investors have so far invested in the mining sector. According to the Investment Coordinating Board in 2007-2012 investment in the sector reached US$153.99 billion mostly from China.
Jakarta (ANTARA News) - Many Chinese businessmen are interested to invest in Indonesia`s manufacturing industries especially textile industry, Indonesian Ambassador to China Imron Cotan said.

"Many Chinese businessmen wish to relocate their industries and develop their investments in Indonesia such as in the textile sector in view of the country`s and region`s potentials," he said presenting China`s economic growth at an Indonesia-China Association meeting here on Monday.

Many Chinese investors have so far invested in the mining sector. According to the Investment Coordinating Board in 2007-2012 investment in the sector reached US$153.99 billion mostly from China.

Other sectors attracting Chinese investors were food and beverage, basic metal, iron goods, machinery and electronics.

Cotan said Chinese investors are shifting to manufacturing industries especially the textile industry for production cost and competitiveness.

He said the Chinese businessmen saw the labor wage in the country was more competitive than in China and that was one of the potentials for investment.

Besides that the country`s and region`s 600 million population also also offers a potential market, he said.

"Indonesia meanwhile also has up to 100 million middle-class members while its market reaches 250 million population," he added.

Imron said he had conducted consultations with the Chinese businessmen who are interested in the textile sector but the talks were still about locations of factories which are mostly still centered in Bandung, West Java.

"We are still directing them to Bandung for the industry," he said but declined the names of prospective investors.

He said "a Chinese company has offered to invest US$150 million in Indonesia.

Imron said many Chinese investors also target agriculture and animal husbandry.

The Chinese Ambassador to Indonesia, Jiancha, meanwhile said that the textile sector would become the target of Chinese investors for the next two to five years.

He however also emphasized the Chinese companies` commitment to investing in the infrastructure sector.

"China and Indonesia are studying the potentials together. We will always continue to study any potential available," he said.

China`s investment in Indonesia rose to US$141 million in 2012 from US$128 million in 2011.

Realization of Chinese investment in Indonesia in the first quarter this year was recorded at US$60.2 million in 99 projects.(*)

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