The East Java Provincial Government Saitama - Japan, August 22Nd, 2013 EAST JAVA LOCATION
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The East Java Provincial Government Saitama - Japan, August 22nd, 2013 EAST JAVA LOCATION INDONESIA East Java - Distance Tokyo to Surabaya ± 5.551 km - Distance Surabaya – Jakarta ±700 km and Surabaya – Denpasar ± 300 km - 6 times/day flight frequencies, Tokyo-Surabaya Flight take 6-7 hours via Jakarta/Denpasar/ Singapore. - 2 hours time difference between East Java - Indonesia and Tokyo - Jepang; EAST JAVA PROVINCIAL GOVERNMENT 2 Pahlawan Street 110 Surabaya East Java Potency London Great Brittain Istanbul Singapore o Surabaya as Provincial Capital is The 2nd Biggest City in Land Area : Jakarta Indonesia. 2 47.154 km Banten Admistration Area : Largest in Java Island West 29 Regencies & 9 Cities Sea Area : Java Central Java Surabaya Biggest # in Indonesia 2 100.000 km Coastal Length : Yogyakarta Bali Population in 2012 : The Investment Coordinating Board of the Republic of Indonesia 38.05 million people 1.920 km The Government of East Java Province 3 East Java Province Istanbul – Turkey, April 25th, 2013 East Java Potency Strategic Location, Secure & Pleasant High Region Abundant Economic Natural Performance Resources Pro Investment Skillful Human Low ICOR I N D O N E S I A Resources East Java Great Potential Sufficient Energy Market /Electricity Good Infrastructures The East Java Provincial Government East Java Potency Banda Aceh EAST JAVA ROLE ON NATIONAL CONSELLATION Medan Tanjung Pinang Manado Pekanbaru Gorontalo Samarinda Sofifi Pontianak Padang Palu Manokwari Jambi Pangkal Pinang Palangkaraya Jayapura Palembang Mamuju Bengkulu Ambon Banjarmasin Kendari Bandar Lampung Makassar Serang Jakarta Semarang Bandung Surabaya Yogyakarta Mataram Main Economic Centre Denpasar Kupang Economic Centre Regional Economic Centre Source : MP3EI, 2011 Indonesia, only have 2 Main Economic Centre : DKI Jakarta & East Java Economic Corridor is set up from this two regions with different orientation role East Java Province is not only serving 37.78 million citizens of East Java, The East Java Provincial Government but also serves almost 120 million citizens of 19 Provinces in Eastern Indonesia East Java Potency Arterial / Toll Road North Route : Tuban-Sby-Bwangi Middle Route : Ngawi-Sby South Route : Pacitan-Bwangi Train Station Departure Station : 29 Stations Pelabuhan Internasional Bandara Internasional Railroad Lenght: 895.750 km 35 Juta TEUS power Kargo = 152 juta ton Pelabuhan Domestik Bandara Domestik Energi Seaport International Port : Electricity : + 3.500 MW Year 2012 Perak Cape, Surabaya + 4.245 MW Year 2013 (35 millions TEUS) Domestic Port : Industrial Estate Currently, East Java have a potency of 18.700 Ha Tembaga Cape - Probolinggo industrial area availability, as follows : Wangi Cape - Banyuwangi 1.PIER , Pasuruan And also 8 Commercial Port. 2.Ngoro Industrial Park Airport 3.North Mojokerto International Airport : 4.Sedayu Lawas, Gresik Juanda-Surabaya 5.Ploso Area, Jombang Cargo Capacity : 6.Wonorejo, Banyuwangi 152 millions ton 7.Tuban Industrial Estate Domestic : 8.Brondong, Lamongan Abdurrahman Saleh – Malang Trunojoyo – Sumenep Minak Jinggo - Banyuwangi East Java Potency OIL & GAS Central Java 489 MM ScFD 925 Barel / Day * Million Metric Standard Cubic Feet per Day AGRICULTURE Corn 5,73 Juta Ton/Tahun Bali Sugar 385 Juta Ton/Tahun Coffee 97,940 Ton/Tahun Chocolate MINING FISHERY 1,211 Ton/Tahun DOLOMITE & MARMER & GOLD, SILVER Cakalang FIsh GEOTHERMAL IRON SAND ONYX & COPPER 5,158 Ton 11 Location 1.7 Billion ton 543 Million ton 8 Million ton Shrimp 1,863 Ton Red Snapper Fish Geothermal 1,498 Ton Potential 1.350 MW Tuna Fish 3,337 Ton 193 Million ton 8 East Java Economic Performance Graphs of Economic Growth in East Java and the National (c to c) 5,05% - Finance, Leasing & Services Company 8,35% - Other Services % 15,42% Agriculture C to Mining& Quarrying C 27,11% - Processing 30,40% Industry 2,08% Transportation & Transportation THR - Communications 5,70% 5,70% 1,35% - Electricity, Gas & Water Supply 4,55% - Construction Inflasi (y o y) Sept 2012 : 3,55 % Inflation 2009 2010 2011 2012 % 3,62 6,96 4,09 4,50 The increasing economic growth followed by decreasing inflation value indicated The Growth Potentially increasing social welfare Source : BRS Peb 2013 East Java Economic Performance 2010 2011 2012 Growth on 2012 Performance (Million US$) (Million US$) (Million US$) (%) Export Goods & Service 39.492,25 46.312,85 55121,96 11,55 . Foreign 17.834,04 21.105,29 23.386,37 3,53 . Inter-region 21.658,21 25.207,56 31.735,59 19,54 Import Goods & Service 35.804,23 42.673,17 49.811,25 9,82 . Foreign 16.391,24 20.699,03 24.691,96 12,62 . Inter-region 19.412,99 21.974,14 25.119,29 7,23 Surplus/Minus +3.688,02 +3.639,68 +5.310,72 Source : BPS February 2013 Trade in Goods & Services Foreign : Export (23,39 B) – Import (24,69 B) = - 1,31 B (MINUS) National : Export (31,74 B) – Import (25,12 B) = 6,62 B (SURPLUS) 5,31 B (SURPLUS) Import Structure Consumer Goods : 6.93% 1 USD = 9.500 Raw Materials: 85.74% Capital Goods : 7.33% 11 East Java Economic Performance Principal License Investment Realization 9 16 8 14 7 12 6 10 5 8 4 6 3 4 2 Billion US Dollar 2 Billion US Dollar 1 - 2008 2009 2010 2011 2012 - 2008 2009 2010 2011 2012 Reg. Invest. 2.86 4.08 5.92 7.37 8.37 DDI 2.10 2.67 4.32 2.76 4.87 DDI 0.29 0.45 1.01 2.14 3.02 FDI 2.44 1.48 1.94 4.70 3.20 FDI 0.43 0.40 1.76 2.11 2.64 TOTAL 4.54 4.15 6.26 7.46 8.07 TOTAL 3.58 4.93 8.69 11.62 14.03 * US$ 1 = Rp. 9.500 o Trends of FDI Realization steadily increased, on 2012 increased 25,11 %. o Trends of FDI interest based on Principal License : FDI is decreased 31,91% in 2011. East Java Economic Performance A A 15% K K 22% 41% B 38% 13% B 11% C C D 6% I H G 5% J D 6% 2% 3% 3% 4% J G F E I 5% 4% 1% H 4% F E 4% 2% 3% 4% 4% A. Singapore G. Saudi Arabia A. Food Processing G. Motor Vehicle & other B. Netherland H. China B. Chemical & Pharmacy Transport C. Japan I. Malaysia C. Metal, Machinery, & H. Non-Metal Minerals D. Switzerland J. USA Electronic Industry E. United Kingdom K. Others D. Transport, Logistic & I. Wood Ind. F. Australia Communic J. Textile Ind. E. Trade & Repair K. Others F. Construction The Government of East Java Province London-England,July 15th-18th, 2013 B A K C F I G E D H J A. Gresik Regency : 17 % G. Mojokerto Reg : 4 % B. Tuban Regency : 14 % H. Situbondo Reg : 3 % C. Surabaya City : 13 % I. Jombang Reg : 2 % D. Probolinggo Reg : 11 % J. Banyuwangi Reg : 2 % E. Pasuruan Reg : 10% K. Others : 19 % F. Sidoarjo Reg : 5 % The Government of East Java Province London-England,July 15th-18th, 2013 East Java Economic Performance DDI FDI I. East Java Others Others I. West Java 42,4% 23,3% 37,5% 17,1% II. DKI Jakarta 16,7% II. West Java V. Cetral Java 12,3% 6,3% III. Banten 11,1% IV. East Kalimantan III. DKI Jakarta V. East Kalimantan IV. East Java 6,4% 9,3% 8,2% 9,4% East Java Economic Performance KJRI SWISS Tianjin - RRT Gyeong Nam – Korea Selatan East Java Showcase Senior Advisor & Representative Senior Advisor : Mr. Liem Taek Son Exchange Center : Mr. Jasper Ho KJRI BELGIA Shanghai - RRT East Java Showcase Senior Advisor : Mr. Chong Osaka - Jepang Senior Advisor : Mr. Kinoshita Fujian - RRT Senior Advisor : Mr. He Chuan Zu East Java Economic Performance 3,7 3,59 3,5 3,3 Year of 2011 3,3 3,09 3,1 2,92 One Stop License provide easy, 2,9 quick & cheap service 2,7 Availability of skillful, productive & democratic labour 2,5 Facilitation of land provision 2009 2010 2011 2012 Maintaining sufficiency of electricity capacity Decrease : - 0,67 % (effort Performance) Data Source : BPS East Java Province, 2012 Remaks : * ) Corrected Figures , **) Preliminary Figures The Government of East Java Province London-England,July 15th-18th, 2013 East Java Economic Performance Investors intending to invest should go through step-by-step procedure in accordance with the prevailing laws and regulations in Indonesia. The Procedure includes legal entity establishment, licenses, recomendations and facilities. The Procedure for investing and doing business in the jurisdictionof Indonesia consist of three steps : East Java Economic Performance TAX HOLIDAY Refers to Regulation of The Financial Minister, PMK No. 13/0/PMK/011/2011, issued on August 15th 2011. TAX ALLOWANCE Refers to Government Regulation No. 52 Year 2011 regarding income tax facility on investment in certain business field or certain region . INCOME TAX Refers to The Legislation no. 36 Year 2008 REDUCING OF INCOME TAX RATE Refers to Government Regulation No. 81 Year 2007 regarding Income Tax Rate Reducing for Domestic Agency Taxpayer in form of Opened Company. OTHER INCENTIVE Refers to Governement Regulation No. 45 Year 2008 regarding Guide of incentive and facility awarding on Regional Investment. CAPITAL GOODS IMPORT Refers to Regulation of The Financial Minister No. 76/PMK.011/2012 regarding The Regulation of Financial Minister Amandement No. 176/PMK.011/2009 regarding Allowance of Import duties of Machine , Goods and Material for industral development in order of Investment. 11 20 INVESTMENT PROJECTS OPPORTUNITY LOCATION: Malang (89 km*), Kediri (123 km*), Lamongan (45 km*), Bojonegoro (108 km*), Tuban (103 Km*), Probolinggo (90 km*), Situbondo (194 km*), Jember (197 km*), Blitar (167 km*), Bangkalan (28 km*), Sumenep (175 km*), Sampang (90 km*), Bondowoso (191 km*), and Tulungagung (154 km*).