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MOS Teo Ser Luck Leads 25 Singapore Companies on IE Singapore-SBF Mission to Indonesia

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MOS Teo Ser Luck Leads 25 Singapore Companies on IE Singapore-SBF Mission to Indonesia J OI N T M E DI A RELEASE EMBARGOED UNTIL 23 NOVEMBER 2014, 1500HRS MOS Teo Ser Luck leads 25 Singapore Companies on IE Singapore-SBF Mission to Indonesia MR No.: 048/14 Singapore, Saturday, 22 November 2014 1. Minister of State (MOS) for Trade and Industry Mr Teo Ser Luck will lead 25 companies, including small and medium-sized enterprises (SMEs), on a business mission to Jakarta and Semarang, Indonesia from 24 – 27 November 2014. Co- organised by International Enterprise (IE) Singapore and the Singapore Business Federation (SBF), in partnership with the Association of Small and Medium Enterprises (ASME) and Singapore Manufacturing Federation (SMF), the mission aims to support Singapore companies, including SMEs, growing business interests in Indonesia. Also joining the trip are Mr Teo Eng Cheong, Chief Executive Officer (CEO) of IE Singapore and Mr Douglas Foo, President of SMF and SBF Council member. 2. Following Prime Minister Lee Hsien Loong’s official visit to Indonesia in October 2014 for the inauguration of Indonesian President Joko Widodo, this mission will connect Singapore businesses with the local government authorities and business community, and help them better understand the market opportunities. 3. Mr Teo Ser Luck said, “Indonesia continues to be a key economic partner for Singapore. Its promising long-term growth prospects, large market size, young labour force, and rising affluence of the middle class make Indonesia an attractive investment destination. Through this business mission, I hope more Singapore SMEs will seize these growth opportunities to build on existing ties and forge new partnerships with Indonesian businesses. We also look forward to working closely with the new Indonesian Administration to strengthen our economic engagement in mutually beneficial areas.” International Enterprise Singapore is the government agency driving Singapore’s external economy. IE-SBF Joint Media Release 22 Nov 14 4. Indonesia remains among the top three most common countries where Singapore SMEs are doing business in, and ranks second among destinations they intend to venture into1 . In the past decade, Singapore has been among Indonesia’s largest investors. Singapore was the top investor in Indonesia in the first nine months of 2014, with US$4.9 billion in investments2. 5. Said Mr Teo Eng Cheong, CEO of IE Singapore, “IE Singapore is co-organising this business mission with SBF to meet the new Indonesia Administration and explore ways to enhance our partnership. In line with the priorities of the new administration, we see potential to partner them in industrial manufacturing and urban development. We have three trade associations and chambers on such a joint mission for the first time as we want to reach out to more SMEs. Through this mission, we hope to help them better assess Indonesia’s market environment, open more doors and introduce the right business partners to them.” Connecting SMEs to key government officials and business partners 6. During the mission, the delegation will meet senior government officials and local business associations/groups to network and find out the latest developments. These include Indonesia’s Trade Minister Mr Rahmat Gobel, Jakarta’s Governor Mr Basuki Tjahaja Purnama, Central Java Governor, Mr Ganjar Pranowo, as well as representatives from Indonesia’s Investment Coordinating Board (BKPM), the Central Java Board of Investment, Indonesian Chamber of Commerce and Industry (KADIN), Indonesian Young Entrepreneurs Association (HIPMI), Young Entrepreneur Council (YEC) and the Singapore Chamber of Commerce Indonesia (SingCham). 7. Mr Douglas Foo said “This business delegation of 25 SMEs signals a good interest in the business opportunities offered by Indonesia. With the new administration and leadership of President Mr Joko Widodo, this mission is timely as our delegates can understand more about the latest developments in Indonesia and explore business opportunities. SBF and SMF will continue to play a significant role in creating inroads for Singapore companies to enter Indonesia.” Opportunities in manufacturing 8. Manufacturing is the largest contributor to Indonesia’s economic growth, taking up close to 24% of its GDP last year. It also accounts for over half of Indonesia’s foreign direct investments. Multinational companies including Toyota, Samsung Electronics 1 SME Development survey 2014 by DP Information Group 2 Indonesia Investment Coordinating Board (BKPM) Page 2 of 4 IE-SBF Joint Media Release 22 Nov 14 and Sanofi Aventis have established manufacturing operations to tap into Indonesia’s large domestic market and ready workforce. There are opportunities for Singapore to work together with the new Indonesian Administration in manufacturing, contributing to their focus on industrialisation and creating employment. 9. In West Java, the companies will visit the Lippo Cikarang Delta Silicon Industrial Estate in Bekasi, which houses more than 800 light, medium and automotive industries. They will also visit and hear from Cellini Design Center, an integrated Singapore manufacturer and retailer of conceptualised lifestyle furniture that has set up its factory in this industrial estate. 10. In Central Java, the delegation will visit Kendal Industrial Park (KIP), a new integrated township jointly developed by Sembcorp Development and Indonesia’s Jababeka. The 2,700-hectare property offers prepared land and ready-built factories for manufacturing activities, as well as commercial and residential land plots for third party development. They will also visit YCH Group’s factory in Candi Industrial Park. Singapore SMEs make headway in Indonesia 11. On 27 November, MOS Teo will witness a Memorandum of Understanding (MOU) signing between Singapore’s Cyclect Energy Pte Ltd 3 (Cyclect) and PT. Berkat Manunggal Jaya 4 (BMJ). With this, the two companies will leverage each other’s networks to achieve greater global market reach. Cyclect will tap BMJ’s OEM expertise to enhance its heat recovery solutions, which will allow them to develop more efficient cogeneration and heat recovery products, and packaged generator set solutions. IE Singapore is also working with Cyclect to help the company strengthen its foothold in regional markets like Myanmar, the Philippines and Thailand. 12. In addition, two Singapore companies, Tat Wai Enterprise and Triton Investment Group, will explore investing in furniture and food additives manufacturing plants respectively in the KIP. ---End--- 3 Cyclect is a specialist developer of cogeneration and trigeneration plants, and solutions provider for waste heat recovery solutions, energy efficiency and renewable energy implementations. It also packages solutions to convert waste heat into other resources, such as cooling, heating, distilled water and electricity. 4 BMJ is a one of Indonesia’s leading companies in the power business. Established in 1987, BMJ is a major player in Indonesia’s Independent Power Plant (IPP) and power generation market, and the sole distributor for Mitsubishi OEM packager in Indonesia. Page 3 of 4 IE-SBF Joint Media Release 22 Nov 14 Note to Editor Please use ‘IE Singapore’ or ‘IE’ if an acronym for ‘International Enterprise Singapore’ is required. In addition, unless otherwise stated, the use of statistics cited in our media releases, website or Statlink, should be attributed to IE Singapore. For media enquiries, please contact: IE Singapore Ms Lynn Ong Manager, Corporate Communications Group DID : + 65 6433 4851 Email : [email protected] SBF Lixia Liew Manager, Corporate Communications DID : + 65 6827 6864 Email : [email protected] Rachelle Lee Senior Executive, Corporate Communications DID : + 65 6827 6806 Email : [email protected] ________________________________________________________________________ About International Enterprise Singapore International Enterprise (IE) Singapore is the government agency driving Singapore’s external economy. We promote international trade and spearhead the overseas growth of Singapore-based companies to grow Globally Competitive Companies. IE Singapore attracts global commodities traders to establish their home base in Singapore. Today, Singapore is a thriving trading hub for the energy, agri-commodities and metals & minerals trading clusters. Through our Global Company Partnership and Market Readiness Assistance, we work with Singapore-based companies to customise total solutions in capability building, market access and financing for their internationalisation. Our global network of overseas centres in over 35 locations provides the necessary connections in many developed and emerging markets. Visit www.iesingapore.com for more information. About Singapore Business Federation As the apex business chamber, the Singapore Business Federation (SBF) champions the interests of the business community in Singapore in trade, investment and industrial relations. Nationally, SBF acts as the bridge between businesses and government in Singapore to create a conducive business environment. Internationally, SBF represents the business community in bilateral, regional and multilateral fora for the purpose of trade expansion and business networking. For more information, please visit www.sbf.org.sg Page 4 of 4 .
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