Chandigarh : India and Indonesia, two economic powerhouses, continue to strengthen their trade and investment ties, with Indonesia’s special focus on its Special Economic Zone (SEZ) Sei Mangkei. The bilateral trade between the two nations has reached an impressive USD 38.84 Billion, positioning Indonesia as India’s largest trading partner in Southeast Asia for the 2022-23 period.
This robust trade relationship is underpinned by the investments made by more than 40 Indian companies to date in various sectors such as Rubber, Plastics, Chemicals, Textiles, and FMCG within Indonesia.
At a session held on “Opportunities to Invest in Sei Mangkei” at the CII Northern Region Headquarters today, Ms Ina Hagniningtyas Krisnamurthi, Indonesia’s Ambassador to India, highlighted investments from Indian investors worth USD 198 million in the SEZ. MoUs were signed with Sheel Chand Agroils Pvt Ltd (USD 90 Million), Alliance World (USD 55 Million), and SGF Industries (USD 53 Million) during the session.
Ms Krisnamurthi expressed her country’s commitment to fostering stronger bilateral ties in trade and investment through the motto ‘Toward Golden Indonesia 2045 – realizing a sovereign, advanced, and sustainable nation through investment.’
She stated, “We’re ready to support and facilitate any inbound investment to Indonesia and outbound investment from India. This showcases the stronger bilateral commitment in investment, trade, and economy between our two great nations. Furthermore, SEZ Sei Mangkei stands out as one of the best investment destinations in Indonesia, and we encourage businesses to make full use of its potential.”
Mr Edward Samantha, Director, PT Kawasan Industri Nusantara (KINRA) in North Sumatra, Indonesia, emphasized Indonesia’s commitment to promoting Foreign Direct Investment (FDI) enhancement by establishing the Sei Mangkei SEZ. “With the SEZ capacity we have, abundant incentives will become the major booster for the industry’s development, thus unleashing the maximum potential of each industry,” he said.
Highlighting CII’s efforts to boost bilateral trade, Mr Vivek Gupta, Chairman – CII Chandigarh UT & Managing Director – NEC Packaging Ltd shared, “CII has been engaging with Indonesia across areas, assisting businesses from both countries to engage and collaborate.” As part of its initiative to facilitate members in their engagement with emerging economies, CII had opened its latest overseas office in Jakarta, Indonesia, on 5 September 2019. Inaugurated by Dr S Jaishankar, Ministry of External Affairs, Government of India, the office became functional in January 2020.
Mr Gupta further highlighted the potential for expanding trade in the areas of automotive components, agricultural commodities, engineering products, pharmaceuticals and biotechnology sectors, agriculture machinery, textile machinery etc. in the Sei Mangkei SEZ.
The session provided valuable insights into Indonesia as a prime investment destination, offering information on opportunities and policies within the country. Furthermore, it highlighted the facilities and services conducive to businesses, available in SEI Mangkei SEZ, located in North Sumatra, Indonesia.
- Sheel Chand Agroils Pvt Ltd or PT Sheel Oil Indonesia/ Oleochemical & Refinery/ Investment Est ± USD 90 Million
- Alliance World or PT Alliance Consumer Products Indonesia/ Soap Noodle Plant & Soap Bar Packaging/ Investment Est Est ± USD 55 Million
- SGF Industries or PT SGF Industri Asia/ Oleochemical/ Investment Est Est ± USD 53 Million