"A contract has been signed between Multistrada Indonesia and a Kazakhstan-based company to build a tire factory. Another memorandum of understanding has been signed between Indonesian food producer PT Indofood and a Kazakh company to open an instant noodle factory," Ashkat Orazbay said here on Monday.
He remarked that technical, financial, and marketing aspects were being discussed by the two parties.
Although negotiations are going on regarding the construction of factories, Askhat expressed hope that the plan will be realized as soon as possible.
When asked about the value of an agreed contract, Askhat noted it was still under discussion.
"We (Kazakhstan) are the third largest wheat producer in the world. We have the best wheat quality and an abundant supply," he remarked.
Indonesia needs wheat and crude oil from Kazakhstan. However, logistics is a problem because of the distance between the two countries.
"We are working on logistical aspects. We are building a railway line from Kazakhstan to Iran so that we can access Indonesia by sea. This is an alternative. We will build transport facilities on the east coast of China. We will connect China through the railway line and take our commodities to the Chinese port (Yan Yung Jeng) and from the port will send the goods to Indonesia by sea. This will be more economical, "he explained.
According to Akshat, the two countries have agreed to open direct flight services on the Denpasar-Almaty route, and vice versa.
"The airlines will be Indonesian flag-carrier Garuda or Kazakhstans Air Astana. We will also discuss the possibility of other routes such as Kuala Lumpur-Bali or Jakarta. Air Astana already has flight services from Almaty to Kuala Lumpur and Bangkok as well as from Almaty to Beijing. Almaty is the largest city in Kazakhstan, which is famous for its tourism and industrial centers," he added.(*)
Editor: Heru Purwanto
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