President Joko Widodo and president of Japan Indonesia Association (Japinda) Fukuda Yasuo discussed 17 Japanese projects in Indonesia - Photo by President Office

JAKARTA (TheInsiderStories)  – President Joko Widodo and president of Japan Indonesia Association (Japinda) Fukuda Yasuo discussed 17 Japanese projects in Indonesia, ranging from trains, ports, energy, and electricity, said senior minister today (11/20). A number of major businessmen from Japan joint the meeting at the State Palace, such as Daihatsu Motor, Tokyo Gas, Toyota Tsusho Corp., Taisei. Corp and other companies.

Coordinating minister for economic affairs, Airlangga Hartarto asserted at the meeting, president said that Indonesia continues to strive a friendly and easier investment climate for the investors, including Japan. Widodo also described the preparation of the omnibus law, the bureaucratic problems, and new policies related to the negative list of investment.

“With this program he hopes that (Japanese) investment keep go on and the investment value continues to be improved,” he said in the president’ office in Jakarta.

One of projects has been discussed was the development of Masela project owned by Japanese oil company, INPEX Corporation. The oil and gas project its expecting start to develop in 2022 and will be completed in 2027.

Beside, the two parties also talked about the Patimban Port project, which involved Japanese contractors. The development is expected to reduce logistics costs and bring production centers closer to the port. For this reason, the president has ordered minister of public Works and public housing to follow up the planned.

“We expect that in June 2020 we will conduct soft operations of the car terminal. The next phase will be completed in 2022 and will continue to be built until 2028,” transportation minister Budi Karya Sumadi told media at the same place.

He added, for the first phase, Patimban port would have a capacity of around 2 million TEUs per year. Its estimated that the port, located in West Java, will have a maximum capacity of 7 million TEUs in the coming years, almost the same as the Tanjung Priok port capacity in North Jakarta.

For Patimban operators, according to the minister, the government will immediately conduct an auction, in which domestic private parties will be involved.

Other projects has been discussed is the continuation of the Mass Rapid Transit (MRT) project with the Hotel Indonesia route in Central Jakarta to Ancol in North Jakarta. This project, explained Sumadi, will begin intensive work in late 2020 and can be completed in 2024.

Then, he continued, the MRT line will be built from Cikarang in Bekasi to Balaraja, Tangerang along 78 kilometers which is planned to begin construction in 2022 and finish in 2026.

Then Toyota Tsusho Corp., Executive VP Yanase Hideki and Okudaira Soichiro, president director of Daihatsu Motor Corp., stated that both companies have produced more than 10 million cars in Indonesia. Around 200,000 units have been exported to 80 countries, they adds.

The numbers would be increased in the next few years including to build research and development and adding engineer graduates in Indonesia, said both. In addition, chairman of Taisei Corp., Yamauchi Takashi offered to participate in developing cities in Indonesia and handling floods in Jakarta.

Previously, Fukuda stated that the value of Japanese investment in Indonesia could be maintained at US$5 billion annually. Until third quarter of 2019, the country has invested $900 million, the third largest among the other countries.

by Linda Silaen, Email: linda.silaen@theinsiderstories.com