EQUATOR

E Q U ATO R
I N D O N E S I A N N E W S - J A N U A R Y 2 0 1 1 , V O L . X I V/ 0 1
EMBASSY OF THE REPUBLIC OF INDONESIA
BELGRADE - SERBIA
33rd International Fair of Tourism
24 - 27 February 2011
Belgrade’s Fair
Best spots for your aqua
marine activities in
Indonesia
www.visit-indonesia.com
AQUA MARINE TOURISM
On 33rd International Fair of Tourism in Belgrade on the periode from February 24-27, 2011, the Embassy of
the Republic of Indonesia for the first time will present the best of ‘Aqua Marine Tourism’ in Indonesia. This will be
a good opportunity for diving lovers to enjoy the crystal clear sea with the most beautiful under sea world that
can be seen only in Indonesia.
Indonesia, the world’s largest archipelago contains 10 - 15 percent of the world’s coral reefs, to some of
the most idyllic islands, to the finest dive resorts available. Submerged, immaculate marine coliseums await
the avid diver, the myriad fish and invertebrates that shelters among and encrust the rugged surface provided
by the clumps, shelves and branches of coral are overwhelming in their numbers, shapes and colors, all are
reminder of a time when all the life on earth existed in shallow, tropical seas will make you feel stepping into time
machine.
Indonesia consists more than 17,000 islands and becomes the largest archipelago in the world with at least
80,000 kilometers of coastline. The special conditions of this strategic zone are the reasons for the fish population
to be extremely abundant here. About 4000 different species are found in the Indonesian waters (over 25% of
the planet’s fish species), in comparison to the 1000 found in the Red or the 400 from the Caribbean.
Apart from this, invertebrates proliferate throughout the hundreds of patch reefs, sheer walls and barriers
reefs Colourful nudi branch, pipe fishes and seahorses roam amongst the chrynoids, gorgonias and soft corals,
a whole rainbow hue covering the entire extension of the reef walls. Big fish pop up every now and then, offering
superb sights of big tunas, shoal or barracudas, manta rays and sharks galore.
Embassy of the Republic of Indonesia
- Information, Social & Culture Department 011/3635666, 3635633
kbri.beograd@eunet.rs, www.kemlu.go.id/belgrade
Ambassador’s Note
January 2011
Distinguished readers,
In the new year of 2011, we have started several good and enthusiastic events which
has marked month of January, which I sincerely hope, will be a good foundation for
many years of good opportunites for all of us, especially for the people of Indonesia and
Serbia.
First, I have presented my Letters of Credential to the President of the Republic of Serbia
His Excellency Mr. Boris Tadić on January 21, 2011, and as Indonesian Ambassador to the
Republic of Serbia, I am very happy to represent my beloved country in one of the most
historical country like Serbia, a part of former Yugoslavia, also known as one of the main
founder of Non Aligned Movement. This year, Indonesia and Serbia continue to share
common values, ideas and aspirations that our leaders have started then, by hosting the commemoration of the
50th Anniversary of the Non Aligned Movement in Jakarta on May 2011 and in Belgrade on September 2011.
Second, the month of January was also marked with very holy day to all Serbian institutions in the field of education
as well as to all students in Serbia - Saint Sava Day. I was honoured to be invited by the officials of the Serbian
Orthodox Church to attend the Divine Liturgy at Saint Sava Memorial Cathedral in Belgrade, served by Serbian
Patriarch His Holiness Irinej.
And the last but not least, our Embassy is participating at 33rd International Fair of Tourism in Belgrade on February
and we are very enthusiastic with this upcoming big event which has important role in increasing the number
of Serbian tourists visiting Indonesia. I am very happy that we have been granted the full support by the Ministry
of Tourism of the Republic of Indonesia and Indonesia’s national tour operator “Panorama” at this next Fair. The
Embassy is very enthusiast and with positive energy prepare the 33rd International Fair of Tourism in Belgrade
which will carries the theme of Aquamarine Tourism. We hope that this could promote a maximum respond to the
increase of tourist activities of both countries, as we planned and expected.
Dear readers, at the end, I wish you a great and fruitfull year of 2011 !
Semuel Samson
EDITORIAL BOARD
Highlights
RI to make sure ASEAN progressing
RI trying to forge defence with other ASEAN members
President: RI’s per capita income must reach US$ 10.000 by 2025
President calls for correction of global economic imbalance
North Sulawesi will host many international events in 2011
RI to hold “Sail Wakatobi-Belitong 2011”
04
05
08
11
12
15
Focus
Indonesian chairmanship’s role and ASEAN agenda
RI to encourage economic cooperation through WEF
Exploring sea floor to cement RI-US science cooperation
16
19
20
Business
Indonesia’s best export products: Cocoa
22
Travel
Raja Ampat
24
Embassy
Conference of Serbian Ambassadors in Belgrade
Meeting with JAT officials
Presenting Credentials to the President of the Republic of Serbia
Celebration of Saint Sava Day
Friendship football match between NAM students and Nusantara
Association
Indonesian School in Belgrade launched distance learning program
26
27
28
30
32
SUPERVISOR
H.E. Semuel Samson
EDITOR IN CHIEF
Ance Maylany
BOARD OF EDITORS
Zamardi
Eko Himawan
Col. Agoes Joesni
Indah Mekawati
Arso Soemantri
RESEARCHERS
Eni Diponegoro
Dono Legowo
Published by:
Social & Culture Section
Embassy of the Republic of
Indonesia
Bulevar Kneza Aleksandra
Karadjordjevića 18
11040 Belgrade
Serbia
Ph. 3674062, 3635666
Fax. 3672984, 3574239
kbri.beograd@eunet.rs
www.kemlu.go.id/belgrade
33
PHOTO ON THE COVER:
Raja Ampat, West Papua - One of the most visited diving areas in the world lies
in the eastern part of Indonesia. The highest marine diversity on the planet,
beautiful topside scenery and awesome underwater topography diving, Raja
Ampat is as close as you can get to underwater heaven.
EQUATOR is a compilation of news taken from National News Agency (ANTARA) and other news sources from Indonesia. The contents does
not reflect particular policy or position of the Embassy of the Republic Indonesia and its beholders. The Embassy of the Republic of Indonesia
takes the privilege to sort out news material taken from the above mentioned sources and presented in accordance with the coverage of the
materials (political & security, economy, social & culture and international relation issues).
Highlights
RI to make sure ASEAN progressing
Jakarta - Indonesia is to make sure
that ASEAN achieves significant and
concrete progress during 2011, the foreign minister said.
ASEAN`s significant progress towards the formation of an ASEAN Community 2015 was one of three priorities
set by Indonesia for its one-year leadership, Foreign Affairs Minister Marty
Natalegawa said at the handing over
ceremony of ASEAN Permanent Representative Head post at the ASEAN Secretariat on Januari 12, 2011.
It would begin with having a measurable scorecard needed to assess
achievements made by each ASEAN
member country in implementing
ASEAN policies politically, economically
and socio-culturally.
The ASEAN Secretariat would play
an important role in measuring all
achievements made by ASEAN member nations, he said.
The second priority will be the relations between ASEAN and other re-
gions, particularly concerning the East
Asia Summit (EAS) which consists of Japan, China, South Korea, New Zealand,
Australia, India, and two newly accepted members, the US and Russia.
The inclusion of the US and Russia in
EAS was proposed by Indonesia in order to achieve a dynamic equilibrium,
he said.
The third priority, according to Marty, is ASEAN should have a common
platform on global issues.
“Indonesia`s main task as the ASEAN
chairman is also to make sure that there
will be significant progress in the issues
of democracy and human rights,” he
said.
The priorities was discussed in a Senior Official Meeting (SOM) of ASEAN
held in Lombok, January 13-14, 2011.
Indonesia officially took over the
ASEAN Chairmanship from Viet Nam
on 1 January. Indonesia`s theme for its
Chairmanship, “ASEAN Community in a
Global Community of Nations”.
The new chairman of permanent
representatives to ASEAN is Indonesia`s
Permanent Representative to ASEAN
Ambassador I Gede Ngurah Swajaya.
RI President in New Delhi
New Delhi - Indonesian President
Susilo Bambang Yudhoyono arrived at
New Delhi`s Palam Military Airport accompanied by Mrs Ani Yudhoyono on
January 26, 2011, and the President was
welcomed by Indian Foreign Minister E.
Ahmad and Indonesian Ambassador to
India, Andi Ghalib.
The Indonesian head of state was on
a visit in India at the invitation of the Indian President. Yudhoyono was a guest
of honor at the India`s Republic Day celebration on January 26, 2011.
The Indian government every year
invites a head of state/government as
its guest of honor in observing its Republic Day anniversary. The guest of
honor at India`s Republic Day celebration in 1950 was Indonesia`s first President Soekarno.
Yudhoyono`s visit to India was also
intended to foster and increase bilateral
relations.
During his stay in India, the President was scheduled to hold bilateral
meetings with Indian Prime Minister
Manmohan Singh, Indian Vice President Mohammad Hamid Ansari, Chairman of the Indian opposition party
4 Equator - January 2011
Srimathi Sushma Swaraj and chairman
of the Indian Coalition Party Srimathi
Sonia Gandhi.
The Indonesian President and the
Indian Prime Minister has witnessed the
signing of 17 Government-to-Government Memorandums of Understanding
(MoU) in the field of politics, economy,
education, culture and technology.
Besides having a bilateral meeting,
the President also attended a business
forum. The forum which would be attended by 500 Indian and Indonesian
businesses aims to increase mutual
interactions among business makers
from both nations.
On the occasions, both parties will
also sign 15 Government-to-Government and Business-to-Business MoUs
in the fields of infrastructure, natural
resources, manufacture and services.
The presidential party included Minister/State Secretary Sudi Silalahi, Trade
Minister Mari Elka Pangestu, Industry
Minister MS Hidayat, Sports and Youth
Affairs Minister Andi Mallarangeng, Culture and Toursim Minister Jero Wacik
and Chief of the Investment Coordinating Board (BKPM) Gita Wirjawan.
Highlights
RI trying to forge defence with other
ASEAN members
Jakarta - Indonesia is trying to forge
its defence cooperation with other ASEAN member states by holding an ASEAN
Defence Ministers Meeting (ADMM) this
year, an official said.
Deputy Defence Minister Sjafrie
Sjamsoeddin made the statement on
January 26, 2011, in commenting on the
results of his working visit in Malaysia,
the Philippines and Brunei Darussalam.
During the visit, Sjafrie officially extended invitations to the three countries
to attend the 5th ADMM 2011 to be held
in Jakarta on May 18-20. Indonesia will
host the meeting in the capacity as chairman of the ASEAN Defence Forum 2011.
In Malaysia, Sjafrie met with Defence
Minister Dato` Seri Ahmad Zahid bin
Hamidi and his deputy Datok Abdul Latiff
Ahmad. At the closed-door meeting, Sjafrie informed the agenda of the ADMM
2011 aimed at intensifying defence cooperation between the two countries
and among ASEAN member states.
Sjafrie also disclosed the same agenda during his meeting with Philippine Defence Minister Voltaire T. Gazmin. At the
end of his meeting, Sjafrie presented an
assault rifle SS2-V1 made by Indonesia`s
state-owned arms manufacturer PT PINDAD, to Gazmin as a souvenir.
After visiting Malaysia and the Ph-
lippines, Sjafrie continued his journey
to Brunei Darussalam for the same purpose.
RI and Philippines agree to extend
patrolling areas
Manado, North Sulawesi - The
chairmen`s meeting between Indonesian
and Philippine Border Committee (RI-RPBC) agreed to extend patrolling areas.
Wirabuana Division commander Major General Amril Amir said on January 26,
2011, that during the meeting, ten items
had been agreed on.
“The ten items include extension of
patrolling areas, joint SAR exercises, intelligence information exchange, and border
crossing control,” Amril Amir said following the RI-RPBC meeting.
Amril Amir, who is also Indonesian chief
delegate, said in the discussion of the previous meeting in Davao, the Philippines,
discussions had been held very carefully to
get the agreement on extension of patrolling areas between the two sides.
“In the area extension there are areas
which had been agreed by two sides, area
which could be entered by the Philippine
navy by the Indonesian navy.
He said the cooperation between
the two countries in such a meeting had
already been held since 1980. “This is the
29th time, and in the process we improved
and made an evaluation on the cooperation,” he said.
East Mindanao commander Maj Gen
Arthur I Tabaquero said as a neighboring
country and ASEAN member country the
joint activity is very important.
Equator - January 2011 5
Highlights
Australia thanks Indonesia for
helping Queensland
Jakarta - Australian Prime Minister
Julia Gillard thanked Indonesia for donating one million US dollars to support reconstruction program in the aftermath of
deadly flash floods in Queensland, a president aide said.
“President received Prime Minister Julia Gillard`s call at 12.30 PM. She thanked
Indonesia for our commitment to helping
the reconstruction and rehabilitation programs in Queensland,” the head of state`s
aide for international relations Teuku
Faizasyah said on January 20, 2011.
President Yudhoyono was quoted as
saying that Indonesia`s commitment to
Australia was a form of solidarity to the
country which had often assisted Indonesia when natural disasters occurred.
In the phone talks, the Australian
leader also congratulated Indonesia on
its position as this year`s president of the
Association of Southeast Asian Nations
(ASEAN) and host of the ASEAN and East
Asia Summits, he said.
Gillard expected Indonesia to be able
to make breakthroughs during its ASEAN
chairmanship period. For this purpose,
Canberra was ready to assisting Indonesia, he said.
In connection with the state of
Queensland`s flood disaster, tens of thousands of people were affected, including
over 150 Indonesians who took refuge
to secure areas in St.Lucia suburb in Brisbane.
The flood waters that had previously
inundated many places in this city of two
million people, including St.Lucia suburb
as one of the clusters of the Indonesian
community in Queensland had receded
since last weekend.
This condition has enabled the city
and state governments as well as local
residents, including Indonesian citizens,
to conduct a massive clean-up and damage repair operation.
As reported by “ABC News”, Queensland Premier Anna Bligh had even met
with her cabinet members and related
government officials on Monday, January
17 for talks about the state`s recovery and
reconstruction programs.
Bligh voiced her government`s commitment to rebuilding Queensland and
making its people more resistant and better protected.
The recent flood disaster, which has
made Brisbane become like “a dead city”,
has recorded various heroic stories about
the power of struggle and the power of
solidarity and brotherhood of human beings.
The power of brotherhood of humanity, which disregards the socio-economic,
cultural, and other primordial differences,
has also been shown by Indonesian community members there.
In the flooding, which has brought
Queenslanders` memories back to the
1974 flood disaster, more than 120 Indonesians were also displaced and fled their
flat units and houses to higher areas in
St.Lucia.
They were then sheltered in 16 houses
and accommodation units that Indonesians rented in the suburb where the University of Queensland (UQ)`s main campus is located.
RI to open 21 Diplomatic relations in 2011
Jakarta - The Indonesian government
in 2011 will establish diplomatic relations
with 21 United Nations member countries, Minister Marty Natalegawa said.
“Needless to say that Indonesia already had a close cooperation with these
countries, especially multilaterally. The establishment of diplomatic relations with
the 21 countries will bring the number of
UN member countries with diplomatic relations with Indonesia to 192, with the exception of Israel,” the foreign minister said
in his annual press statement at his office
on 7 January 2011.
While not mentioning the names
of the 21 countries, he pointed out that
consolidation and bilateral relations with
many of these countries became a priority
of Indonesia`s foreign policy for 2011.
On the occasion he also said that in
2010, Indonesia opened 10 Indonesian
representative offices in some countries
and one Indonesian permanent representative for ASEAN in Jakarta.
The 11 representative offices are the
Indonesian embassy in Baku (Azerbaijan),
6 Equator - January 2011
Manama (Bahrain), Sarajevo (Bosnia and
Herzegovina), Quito (Equador), Astana
(Kazakhstan), Zagreb (Kroatia), Muskat
(Oman), Panama City (Panama), Maputo
(Mozambique), Tawau (Malaysia), and the
ASEAN permanent representative office
in Jakarta.
With the additional 11 representative
offices, Indonesia now has 130 such offices overseas, he added.
The foreign ministry, he said, will start
implementing a foreign policy in 2011
identifying new opportunities, to overcome challenges and creating opportunities.
“Diplomacy will promote principal approaches, visionary but pragmatic, for a
contribution to defending national interests, Indonesian security and welfare,” he
said.
Therefore, he added, in 2011 the foreign ministry will consolidate and deepen
bilateral relations with various countries,
with the main focus on efforts of increasing relations between the people and
sharpen economic diplomacy.
Present when the foreign minister was
making his annual press statement were
Dr. Alwi Shibab (foreign minister 19992001), Dr. N. Hassan Wirajuda (2001-2009),
Joop Ave (Tourim, Post and Telecommunications Minister 1993-1998), Agus Gumiwang (Deputy Chairman of the House
Commission I) and Sidharto Danusubroto
(Deputy Chairman of the House`s BKSAP)
and at least 340 invitees from the media,
diplomatic corps, academicians, government institutions including from the foreign ministry.
Highlights
Al Gore hopes RI to popularize
climate change handling
Jakarta - 2007 Nobel peace laureate Al Gore hoped that more and more
people in Asia and the Pacific, particularly in Indonesia, would popularize
climate change and its handling to the
public.
“Education on climate change is
something very important for the
people in the Asia Pacific region. Many
people will face high risks in the coming several decades so that they would
be forced to leave their places,” he said
on 9 January 2011.
He said that The Climate Project presenters were expected to help provide
knowledge and information for the
people so that they would play active
roles in their respective communities in
seeking for solutions to climate change
problems.
The former US vice president made
the remarks in front of about 350 volunteers of The Climate Project (TCP),
who were well-known as TCP presenters. They came from 21 countries and
are being trained in The Climate Project Asia-Pacific Summit” program held
from January 8 to 10, 2011.
The Oscar winner through his film
“An Inconvenient Truth” made a presentation on climate change and climatechange related natural disasters.
The 350 presenters will be trained
how to reduce pollution and to act in
the transition period towards clean energy solutions.
The summit marks the first time
Gore has discussed climate change
with audiences in Indonesia and the
Asia Pacific region. Previously, Gore has
spoken in Melbourne, Beijing and New
Delhi.
The 350 training participants were
chosen from 1,200 candidates in the
region.
According to Chief Executive Officer
of Alliance for Climate Protection, Maggie L Fox, the presenters will return to
their respective community and lead
efforts of handling climate change.
He said that throughout the world
there were about 3,600 presenters from
56 countries, where 900 of them came
from the Asia Pacific region and were
directly trained by Al Gore.
Former US Vice President Al Gore
praised Indonesian President Susilo
Bambang Yudhoyono`s leadership and
courage on his commitment to tackling
climate change nationally and globally.
Speaking at the opening of “The Climate Project Asia Pacific Summit”, the
2007 Nobel Peace Prize laureate said he
was grateful to President Yudhoyono
for his dream, courage and leadership
on global warming issue.
The summit marks the first time
Gore has discussed climate change
with audiences in Indonesia and
the Asia Pacific region. Previously,
Gore has spoken in Melbourne,
Beijing and New Delhi
Al
Gore
praised
President
Yudhoyono`s courage when there was
no initiative from the G-77 countries
in various international negotiations
about the climate change issue.
President Yudhoyono spoke when
there were no G-77 leaders who were
willing to appear to take any initiative
and assisting them to break the prolonged and frustrating deadlock of several issues said the producer of a documentary film titled “An Inconvenient
Truth” that led him to receiving the Nobel Prize in 2007.
President Yudhoyono had success-
fully brought at least a little progress
in climate change negotiations with his
leadership.
Therefore, he said he respected and
admired him, his leadership and also
his target that he had pledged in Copenhagen.
Al Gore hoped that President Yudhoyono would be able to continue his
leadership and bring Indonesia and the
world`s future to a better direction.
He said that the world was vulnerable to the climate change impacts and
many things could be done as a solution to climate change.
The climate change had recently
shown its impacts on agricultural and
fisheries sectors that affected economy.
In his three-day visit to Indonesia,
Al Gore has been scheduled to give a
training on handling climate change
issues, participated in by 350 people
from 21 countries.
The participants were expected to
be presenters of the Climate Project
in which they shared their knowledge
about environment to their communities.
Al Gore had also directly trained
some 3,600 Climate Project presenters
from 56 countries. A total of 900 of them
came from the Asia Pacific region.
Equator - January 2011 7
Highlights
President: RI’s per capita income
must reach US$ 10.000 by 2025
Jakarta - President Susilo Bambang
Yudhoyono said Indonesia’s per capita
income should be 10,000 US dollars by
2025.
“Let us strive to achieve a per capita income of 10,000 (US dollars) ,” said
President Yudhoyono in his speech at
the 2011 inaugural trading at Indonesia
Stock Exchange on January 3,2011.
The the figure was set based on rational calculations, he said adding that
he was optimistic the target would be
met as the Indonesian people had doubled their per capita income within the
last five years.
According to the Head of State, the
struggle to increase Indonesia’s per
capita income that of the whole Indonesian people from all walks of life. “We
will struggle for this goal in a fair way
for all Indonesians,” he said.
The president said the target of
achieving the 10,000 US dollars per
capita income was in line with the tar-
get to make Indonesia a new power in
the world.
“U
nder the Indonesia 2025 vision, we will by then be an emerging
nation,” the President Yudhoyono.
Toward achieving the target, he
called on the Indonesian people to
close their ranks so that the target could
be achieved in 15 years` time.
“In 15 years` time, we hope we can
obtain a level of welfare and prosperity
that would be much better than now,”
he said.
Yudhoyono also expressed a hope
that in the effort to achieve the target
within 15 years` time Indonesian could
do their best every year.
In that regard, President Yudhoyono
expected that all elements of the public could together realize the targets
of 2011, among other a 6.4 economic
growth, unemployment reduction up
to 7.0 percent and poverty reduction
up to 11.5 percent.
Indonesia is a big country whose
development must be carried out in
comprehensive and sustainable ways,
said President Yudhoyono.
China interested in building ports in
Papua
Jakarta - China has been reported to
become interested in making an investment in ports in Papua.
“On January 5, 2011, a Chinese representative mission meet the Papua administration in Jayapura,” Transportation Minister Freddy Numberi told the
press prior to an economic evaluation
meeting at the economic coordinating
ministry January 3, 2011.
Freddy said China was interested in
port projects in Papua and West Papua.
He said the meeting discussed Chinese investment opportunities in Papua and West Papua. Besides the Papua
governor also brief the Chinese mission
on the potentials in Papua.
Freddy said cooperation with China
is covered by a government’s plan to
promote public private partnership
(PPP).
Freddy said the meeting attended
by nine companies to witness the potentials in Papua.
Besides companies having to do
8 Equator - January 2011
with ports, he added, those engaged
in cement and mining had also become
interested in the meeting. He said China was also interested in developing
airports there. “The airports in Manokwari, Jayapura, Sorong, and Biak will be
revived like in Mimika,” he said.
He added that Papua will have new
ports in Jayapura, Sorong and Biak. “The
three areas are being prepared to have
new international ports,” he said.
He did not mention in detail the areas being prepared for the ports, but
they will be large-capacity ports, because they will also accommodate containers.
Right now, he said, the construction of basic infrastructure has already
started. He said the coastal area will be
reclaimed with funds from the State
Budget.
“And we was hoping China would
take part in the development of the region,” he said.
Highlights
Government to offer 50 oil, gas
blocks in 2011
Jakarta - The government is to offer 50 oil and gas blocks in Indonesia
to interested parties in two auctioning
rounds in 2011, a spokesperson said.
Evita Legowo, director general of oil
and gas affairs at the Energy and Mineral Resources Ministry, said on January
3, 2011, 39 of the 50 oil and gas blocks
would be offered through a regular
tender mechanism.
“The other 11 blocks will be offered
through a direct approach system,” she
said.
The government would this year
also offer 10 coal bed methane (CBM)
blocks as part of its effort to improve
the performance of the country’s oil
and gas sub sector over the next few
years.
Besides, the government would also
improve the quality of the geophysics
and geological data on the blocks to
be offered to strengthen its bargaining
position toward interested investors,
The government also facilitate the
construction of six gas refueling sta-
tions and one gas-fueled vehicle workshop, she said.
In 2011, the government would also
add some 3,200 field supervisors for the
recently converted kerosene-LPG guidance dissemination and subsidized fuel
policy implementation arrangements.
Last year, the government had targeted the auctioning of 43 oil and gas
blocks but only 21 were taken. One of
the reasons, the auctioning target was
not reached was the provision of not
enough geophysics and geological
data on the offered blocks, Evita said.
The 43 working areas were offered in
two phases, 18 blocks in the first phase
and 24 blocks in the second phase,
whereas in the first phase six were offered directly and 12 offered through
regular tenders.
The total exploration and investment commitments on these blocks
in 2010 only reached 265.34 US million
dollars and the government obtained a
signature bonus of 37.8 million US dollars.
State companies control 26% stock
market capital
Jakarta - Seventeen state-owned
companies listed at the Jakarta Stock
Exchange (BEI) control 26 percent of the
market`s total capital, State Enterprises
Minister Mustafa Abubakar said.
“Until December 29, 2010, the total value of the market capital reached
Rp3100 trillion and Rp819 trillion of it
or 26 percent was controlled by stateowned companies,” he said at a yearend press conference at his office. He
said communication operator Telkom
held the biggest share in the stock
market`s capital at Rp161.2 billion, followed by Bank Mandiri (Rp137.1 billion),
Bank Rakyat Indonesia (Rp129.4 billion),
Perusahaan Gas Negara (Rp106 billion),
Bank BNI (Rp71 billion), Semen Gresik
(Rp56.6 billion) and Bukit Asam coal
mining company (Rp52 billion).
Most of the 17 state-owned companies recorded positive share movements in the past year with construction
company Adhi Karya recording a price
growth of 122 percent, Wijaya Karya
(112.3 percent) and Bank BNI (103.1 percent).
Only two state-owned companies
that recorded negative share price
growth in the past year, namely telecommunication company PT Telkom at
15.3 percent and pharmaceutical company Indo Farma minus 3.6 percent.
Mustafa said the price of Telkom
shares dropped because the company
was also listed in New York and therefore the price of the company’s shares
was also affected when the crisis hit
capital markets in Europe and the US.
Mustafa considered the control of
26 percent of the stock market’s capital
by the state-owned companies as very
good in view of the fact that the number of state-owned companies in the
market comprised only four percent of
the total number of companies listed at
the BEI (421).
In addition, he said, seven of the
state-owned companies were among
the 20 listed companies with the greatest amounts of capital.
“We are grateful because BEI has
performed very well and become one
of the best performing stock markets in
the world,” he said.
Equator - January 2011 9
Highlights
British investors interested in South
Sumatra
Palembang, South Sumatra - A number
of British investors have started to become
interested in investment opportunities in
South Sumatra, especially in Palembang,
because they saw Indonesia as one of the
17 countries with the potential to development business in many sectors.
“We have come here to explore and
see from close quarters opportunities for
investment especially in infrastructure,
oil and gas, because the province has rich
natural resources like coal, oil and gas,”
said Debbie Clarke, director of the United
Kingdom Trade and Investment (UKTI)
for Indonesia when received by mayor of
Palembang on January 28, 2011.
He said her visit to the city was for the
widest information in investment opportunities in various sectors of cooperation
with a number of British investors.
He said that upon his return from
Palembang to Britain she will meet investors there and compile a book on business
in the region, in the hope the investors in
her country would decide and at the same
time follow up investment opportunities
in the South Sumatra capital city.
She said that the trade relations between the UK and Indonesia are very good
and will be increased constantly, and many
investors of that country have conducted
investment business in Indonesia.
She hoped to receive many inputs
from the relevant government officials
10 Equator - January 2011
for building cooperation with the British
investors.
In the meantime, Palembang mayor
represented by regional secretary H.
Husni Thamrin on the occasion not only
explained business opportunities in that
city, but also promised facilities for the
British investors interested in making an
investment.
She said Palembang has many business opportunities which could be used
by the investors from several other countries, including the UK, like tourism, transportation, infrastructure and coal, oil and
gas, as well as palm oil and rubber processing industries.
In tourism, the city has a great potential for building star-rated hotels on the
side of Musi River, because right now several investors have become interested in
the sector.
Then other infrastructure sectors, like
building Tanjung Api-Api seaport with an
industrial area near the port.
The seaport is only some 68 kilometers
from Palembang, in which the provincial
and city administration has a plan to build
a railway from the coal mine`s entrance in
Tanjung Enim, Muara Enim regency, to the
port with a road for going there.
Upon completion of the project, coal
production could be increased, because
right now PT Batubara Bukit Asam (PTBA)
has a production capacity of only 10 to 11
million tons of coal per year.
Whereas the potential of coal in South
Sumatra reached 22.24 billion tons, if production could be raised, it cannot be finished in the next ten years, Governor H.
Alex Neordin said.
Alex Noerdin said that the port,coal
production could be raised to 100 million
tons per year in stages.
It has been rather difficult to increase
coal production because the only means
of transportation from the mine`s entrance to the collection points in Kertapati
(Palembang) and Tarahan (Lampung) is
the coal train with a limited capacity.
“So, the building of a two-lane railway
track from the mine`s entrance to the port
will increase the transportation of the
commodity to meet the needs of power
plants (PLTU) in Suralaya and for exports,”
the governor said.
He also said that right now an Indian
investor has expressed interest in building
an alumunium plant in the area of the seaport by using coal energy.
In the meantime, the seaport and a
number of investors with their projects
there are expected at least to provide
employment to more than 100,000 new
workers, and at the same time providing
an opportunity to the local population for
doing business to increase their welfare,
he said.
Highlights
President calls for correction of
global economic imbalance
Davos - President Susilo Bambang
Yudhoyono has called for international
cooperation to correct global economic
imbalances and accelerate reforms in
the financial sector and international financial institutions.
He made the appeal in his speech
before the World Economic Forum in
Davos, Switzerland, on January 27, 2011.
“Certainly like what has been discussed in the G-20, we must cooperate
to overcome global imbalances. There is
also the need to accelerate progress in
the financial sector and international financial institutions before another crisis
may possibly happen again,” he said.
He said it was very important for
countries grouped in the G-20 to implement the commitment that they had
made during the meetings in the forum.
He also emphasized the importance of a global financial safety net as
a second-tier defense so that the world
would be able to anticipate and resilient
towards possible economic crisis in the
future.
He said the best way that every country should have taken to deal with the
problem was developing an inclusive
economic growth like what Indonesia
has done in its long-term development
plan.
“This means we have to pay more attention to our economic and social pol-
icy which is not focused only on growth
but also distribution that would help
create just and prosperous community.
This is the main philosophy of the Indonesian development efforts,” he said.
In view of that, he said the Indonesian development efforts would only be
successful if the government was clean
and free of corruption.
On the occasion, President Yudhoyono also spoke about a change in
the world constellation following the
presence of new centers of growth in
Asia.
He said Asia has so far recorded
strong and fastest economic growth including not only China, India and Japan
but also Indonesia.
“When we think of Asia we also think
of Indonesia and ASEAN. Indonesia is
the world`s third largest democracy and
also the largest economy in Southeast
Asia and is also the key area of the world
economic growth and we will soon become the most productive manpower
in Asia. Indonesia will play a key role in
the Asian rising,” he said.
President Yudhoyono also emphasized the importance of regional cooperation to settle various economic problems in the countries in the region and
as a world economic growth block.
He also underlined the importance
of global cooperation in the 21st century that prioritizes mutually beneficial
cooperation through friendly and diplomatic relations strength.
RI’s Exim Bank to issue Rp 3 trillion
worth of bonds
Jakarta - Indonesia`s Exim Bank plans
to issue rupiah-denominated bonds
worth Rp2.5 trillion to Rp3 trillion this
year to support export financing business.
Exim Bank was likely to issue the
bonds after the audit of its 2010 financial statement had been completed,
probably in May, Exim Bank Executive
Director, I Made Gde Erata said on January 28, 2011.
Earlier, Exim Bank also issued bonds
for the same purpose.
Exim Bank is a government-owned
special financial institution set up under Law No. 2 of 2009 on Indonesia Export Financing. The institution, formerly
known as PT Bank Ekspor Indonesia
(BEI) officially began operating on September 1, 2009.
As per December 31, 2010, Exim
Bank`s total assets stood at Rp20.95 trillion, a 61.52 percent increase compared
to Rp 12.97 trillion the year before.
Last year, Exim Bank posted an
after-tax net profit of Rp341.86 billion
compared to an unaudited net profit of
Rp127.50 billion in 2009.
Exim Bank`s capital adequacy ratio
last year reached 40.49 percent compared to 43.40 percent in 2009 and its
net non-performing loans fell to 3.22
percent from 5.77 percent previously.
Meanwhile, its return on asset (ROA)
rose to 3.20 percent in 2010 from 1.62
percent a year earlier, with return on
equity (ROE) ratio increasing to 7.41 percent from 2.93 percent and net interest
margin falling to 3.79 percent from 5.05
percent.
Equator - January 2011 11
Highlights
North Sulawesi will host many
international events in 2011
Manado, N Sulawesi - North Sulawesi
has a few international programs planned in
2011.
“International events which will be organized in North Sulawesi, will become a
momentum to make this region more progressive and competitive,” Vice Governor of
North Sulawesi Djauhari Kansil said on January 3, 2011.
The planned international events will include ASEAN Tourism Forum (ATF), ASEAN
Regional Forum`s Disaster Relief Exercise (ARF
DIREX), and Biennial Association of Asian Social Research Council (AASSREC).
There will also be a congress of Asia-Pacific/East Asia female officials, a meeting of
Indonesian female legislators, and a meeting
of ASEAN coordinating ministers.
ASEAN Regional Forum`s Disaster Relief
Exercise (ARF DIREX) will be organized in
Manado in March 2011 and participated in
by 27 countries from Asia, the Pacific and the
European Union.
President Susilo Bambang Yudhoyono is
expected to officially open the Forum to be
co-hosted by Japan.
Last August 2010, the Indonesian government in cooperation with the Japanese
government had organized an Initial Planning Conference/Site Surveys (IPC/SS) for the
holding of an ASEAN Regional Forum Disaster Relief Exercise (ARF DiREx), in Manado.
The conference was attended by representatives of 15 member countries of the
ASEAN Regional Forum and the European
Union, which are training planners and decision makers in the disaster mitigation field.
The ASEAN Regional Forum (ARF) is the
principal forum for security dialogue in Asia.
It draws together 27 countries which have a
bearing on the security of the Asia Pacific region.
Established in 1994, the ARF comprises
27 countries, namely the 10 ASEAN member
states - Brunei, Burma, Cambodia, Indonesia,
Laos, Malaysia, Philippines, Singapore, Thailand and Vietnam; the 10 ASEAN dialogue
partners - Australia, Canada, China, the EU,
India, Japan, New Zealand, ROK, Russia and
the United States; and one ASEAN observer PNG, as well as the DPRK, Mongolia, Pakistan,
East Timor, Bangladesh and Sri Lanka.
The ARF DIREX is aimed at improving coordination between civilian and military personnel in disaster handling, and coordination
between the disaster-hit country and donor
nations.
RI-US expedition finds new
79 species in Indonesian waters
Jakarta - Chairman of the Agency for Assessment and Application of Technology
(BPPT) Marzan A. Iskandar said a number of
new marine species were discovered in East
Indonesian waters recently.
“Some 79 new species were found in East
Indonesian waters in an expedition conducted by Index Satal last July-August,” said Marzan during a video conference on the US - Indonesia science and technology partnership,
highlighting a 2010 joint oceanic exploration
project.
Marzan said the marine biota were found
at a depth of 6,000 meters under the sea level
with sophisticated instruments by Indonesian
and US scientists during the expedition with
the US ship, the Okeanos, he added.
“We would not have been able to do this
expedition alone, the more so as the exploratory activity took place 6.000 meters below
sea level. That`s why we needed to cooperate with the US National Oceanic and Atmospheric Administration (NOAA) in conducting
this exploration,” he said.
He added the Okeanos had sophisticated
and complete facilities that enabled the researchers to see underwater life in the ocean.
“The equipment to support the research
was too expensive for Indonesia and it is not
12 Equator - January 2011
easy to enable people to work 6,000 meters
below sea level under a pressure of 600 atmospheres,” he added.
The BPPT chief also said other advantages
of the Okeanos included the application of
the real-time method whereby video images
taken at a depth of thousands of meters below the sea ace were directly transmitted to
scientists on board the Okeanos.
“Besides taking pictures and video footage of sea biota on the bottom of the sea,
the ship`s equipement can send the pictures
and video images to expedition members
on land. So we can see what the scientists see
under the sea directly. It was extraordinary.”
he said.
In relation to the contribution of RI`s Baruna Jaya ship in the expedition, Marzan said
the ship took part in taking sample of sea biota at a depth of 1.000 meters below the sea
surface. The expedition lasted 30 days and
was participated in by 32 scientists and engineers, two of them were NOAA researchers.
Meanwhile, Ridwan Djamaluddin, a BPPT
deputy chairman, said the process to name
the new-found species would take time in order to avoid naming errors.
“Taxonomy needs time which is not short,
lest we give the wrong names to them. So
they are still researching in Bandung Institute
of Technology (ITB) and Marine and Fisheries
Research Board (BRKP). I hope they can be
published before May,” he said.
Besides the sea biota expedition, it was
also conducted a research on the presence of
volcano under the sea and found that there
was no photosynthesis process in 200 meters
above the sea bottom because the sunshine
couldn`t reach it, he added.
Highlights
Jazz to express togetherness of
Javanese people in Ngayojazz 2011
Yogyakarta - Annual music performance Ngayogjazz will be held on Saturday (January 15, 2011) rising a theme
expressing the togetherness of the Javanese people, an actor and music artist
Djaduk Ferianto, said.
“Finally the event, Ngayogjazz, was
on Saturday after being postponed because of Mt. Merapi`s eruption. It should
have been presented in November 30,
2010,” Djaduk said as the Event`s Director.
According to him, a theme taken
for the event was “(no matter whether
there is something) to eat or not to eat,
the most important is jazz” inspired by
the eruption of Mt. Merapi where people in Yogyakarta gathered and helped
refugees by making meals wrapped in
paper after the disaster.
“In expressing the spirit of togetherness and cooperation, the Javanese
people have a phrase: eating or not, the
important thing is being together. And
this phrase became the theme for Ngayogjazz 2011, where solidarity can be realized without boundaries or material
matter (eating),” said the son of senior
choreographer Bagong Kusudiardja.
He said in the fourth event of Ngayogjazz, some jazz musicians and local
artists will perform.
“We will present Syaira Syaharani,
Glenn Fredly, Iga Mawarni, Simak Dialog (guitarist Tohpati, Risha Arshad and
friends) and Chaseiro,” he said.
Besides, local musician Sujud Kend-
hang and some traditional art performances would be presented in the
Ngayogjazz 2011.
“We also invited the Jazz Community in Jogja, Bali and Semarang to join
the event,” Djaduk added.
He said there would be an album
launching of Sesarengan from Jogjakarta Jazz Community and Jazz Photo
Festival in the musical performance.
“Jazz is a means to enjoy music in a
cool way, spontaneously, interactively,
expressively and almost without boundaries. And it`s for whoever, whenever,
whatever the music instruments and
even in any condition, because jazz was
born in a social condition which was responded to by music play,” Djaduk explained.
Garuda to buy 11 new planes this year
Surabaya, East Java - National flag
carrier Garuda Indonesia plans to buy
11 new planes this year with the first
delivery expected in February or March
2011.
The planes consisted of nine Boeing
737-800s and two Airbus 330-200s, Garuda Indonesia Technical Director Hadinoto Soedigno said on January 13, 2011.
The nine Boeing 737-800s would be
delivered in stages starting February
or March, and the two Airbus 330-200s
would be delivered in April and October,
he said on the sidelines of a roadshow
for the airline`s initial public offering.
Garuda put orders for the 11 planes
two years ago, he said.
He said Garuda which currently has
a fleet of 87 planes expects to operate
130-150 planes in the next five years.
With the targeted fleet of 130-150
planes in 2015, Garuda would buy a minimum of 10 planes in each of the next
five years, he said.
Garuda is expected to list its shares
with the Indonesia Stock Exchange on
February 11. The company`s chief financial officer Elisa Lumbantoruan said
on Wednesday about 80 percent of the
proceeds of the IPO would be spent on
expanding the airline`s fleet and 20 percent to finance its capital expenditure.
Hadinoto said Garuda would operate its Boeing planes to serve its domestic flights such as Jakarta-Gorontalo via
Surabaya and Makassar, Surabaya-Balikpapan, and Surabaya-Ampenan.
Meanwhile, the Airbus planes would
be used to serve its regional routes
which would be opened soon, including Jakarta-Manila and Jakarta-Taiwan,
he said.
Equator - January 2011 13
Highlights
ASEAN adopts 2011-2015 tourism
strategic plan
Jakarta - ASEAN tourism ministers
have agreed to adopt an ASEAN Tourism
Strategic Plan (ATSP) 2011-2015 to serve
as reference for national tourism organizations in carrying out tourism programs in the Southeast Asian region.
The use of the ASEAN Tourism Strategic Plan is a follow up to a roadmap
for integration of tourism sector which
ended in 2010, according to the results
of the ASEAN Tourism Forum (ATF)
which is taking place in Phnom Penh.
The draft of the ASEAN Tourism Strategic Plan was earlier discussed and finalized by the ASEAN tourism special
working group in Solo, Central Java, in
August last year.
The ASEAN tourism forum was preceded by the 33rd meeting of ASEAN national tourism organizations in Phnom
Penh on January 14, 2011. The meeting
among others elected chief of working
group in the new organizational structure according to the ASEAN Tourism
Strategic Plan 2011-2015.
Thailand has been appointed to lead
the working group for marketing and
communication with Vietnam as deputy
chairman. The working group for product development is led by Malaysia with
Myanmar as deputy chairman.
The Philippines was appointed to
chair the working group for tourism
quality with Singapore as deputy chairman. Brunei Darussalam was elected to
lead the working group for integration
and budget committee with Cambodia
as deputy chairman.
Meanwhile, Indonesia was appointed chairman of the ASEAN Tourism Professional Monitoring Committee with
Laos as deputy chairman.
At the Phnom Penh meeting, Indonesian Tourism and Culture Minister
Jero Wacik once again came up with
the idea of encouraging tourist arrivals
among ASEAN member states.
International Youth Forum in South
Sulawesi
Makassar, South Sulawesi - Youths
from 120 countries are scheduled to
arrive in South Sulawesi to attend the
International Youth Forum on Climate
Change (IYFCC) from February 23-25,
2011.
“At least 120 youths representing
their countries will attend the forum
and to date around 40 representatives
have confirmed participation,” South
Sulawesi branch of the Indonesian National Youth Committee (KNPI) spokesman Jamaluddin Syamsir said.
He said that the event, facilitated by
KNPI, would take place in two locations
in South Sulawesi, namely Takabonerate
in Selayar island and Maros Water Park
in Maros district.
The Maros Water Park (MWP) will
soon be operated to enrich the natural
tourism objects in the province.
MWP operator PT Aquana Timpuseng Mineral marketing manager
Fahmy Mochtar said that the park covers 2.8 hectares with an investment of
Rp24 billion.
According to Jamaluddin, President
Susilo Bambang Yudhoyono would
open the international youth forum
from Jakarta in the presence of participants from various countries the two
14 Equator - January 2011
locations in South Sulawesi.
Meanwhile, Indonesian National
Youth Committee chairman Ahmad Doli
Indra Kurnia said at a meeting on preparations for the forum at the Bidakara
Hotel in Jakarta that the participants
were grouped in the World Assembly of
Youth (WAY).
Ahmad Doli, who is concurrently
vice president of the World Assembly of
Youth, said Indonesia had been elected
to host the IYFCC in 2011.
He said the organization of the In-
ternational Youth Forum on Climate
Change 2011 would be an honor for the
Indonesian National Youth Committee.
“We hope this international event on
climate change can motivate both Indonesian as well as the international community to be more concerned about climate change issues,” Ahmad Doli said.
He explained that efforts to build
awareness of the youth as pioneers in
addressing climate change would be
discussed in that international forum.
Highlights
RI-US oceanic expedition benefited
both sides
Jakarta - Marine Resources and Fisheries Minister Fadel Muhammad said a joint
oceanic expedition carried out by the US
and Indonesia not long ago had yielded
results of benefit to both countries.
“In the beginning, there was criticism
against the project. I had to explain it to the
public,” Minister Fadel said in a teleconference and discussion on the Indonesia-US
Oceanic Expedition in Washington DC on
January 6, 2011.
He said the critics claimed the joint
deep-see exploration program would
mean revealing Indonesia`s ocean data
and contents to the US.
However, Fadel said, the criticism was
incorrect because the expedition was
purely for scientific research purposes.
The joint expedition involved Indonesian scientists and the results did not only
belong to one party, in fact they were dis-
seminated to enrich the world`s scientific
knowledge, he added.
Indonesia had gained much benefit
from the expedition because now it did
not have to start from “zero” when exploring its waters.
Fadel said he now even wanted to establish further cooperation in the research
field with the US as his ministry had allocated an adequate budget for research
activities.
US Ambassador to Indonesia Scot Marciel, when speaking in the discussion, said
the Indonesia-US oceanic expedition was
a project under the new comprehensive
partnership agreement signed by President Susilo Bambang Yudhoyono and
President Barack Obama.
The agreement was implemented in
the joint exploration between Indonesia
and the US in Sulawesi waters to discover
new marine species, to map the ocean
floor and to boost cooperation between
the two countries.
The live broadcast teleconference also
presented Indonesian Ambassador to the
US Dino Patti Djalal and NOAA Administrator Dr Jane Lubchenko in Washington DC,
the USA, as speakers in the discussion.
Ambassador Dino Patti Djalal said the
scientific collaboration between Indonesia
and the US needed to be intensified as it
would bring many benefits to the world.
He added the future of Indonesia was
in the hands of those with scientific literacy.
Dr Jane Lubchenka, meanwhile said,
the joint exploration carried out in the
June-August 2010 period was conducted
to explore an uncharted part of the Pacific
Ocean with combined capacities of two
countries.
RI to hold “Sail Wakatobi-Belitong 2011”
Jakarta - Indonesia will hold “Sail
Wakatobi-Belitong (SWB) 2011”, an annual
international maritime event, to promote
investment and tourism in Wakatobi and
Belitong in particular.
“The international maritime event will
contribute positively to national economic
development, and the economy in the
regions particularly,” Marine Affairs and
Fisheries Minister Fadel Muhammad said
on January 20, 2011..
The “Sail Wakatobi-Belitong (SWB)
2011”`s theme will be “Clean the Ocean for
Future Live”. Wakatobi is located in Southeast Sulawesi Province, on Sulawesi Island,
while Belitong is located in Bangka Belitung Province, on Sumatra Island.
The choice of the theme is a response
to the climate change which has triggered
the temperature of the ocean surface to
rise.
The ministry`s director general of marine and fishery resources surveillance said
the SWB 2011 would consist of six main activities, namely a yacht rally, a Bhakti Surya
Bhaskara Jaya civic mission, national and
international seminars on marine and fishery resources management, a youth marine event, and marine and fishery product
exhibition.
President Susilo Bambang Yudhoyono
is expected to attend the peak event.
The six-week SBW 2011 will be organized from the second week of July to the
fourth week of August.
The yacht rally will start from Darwin
Australia, on July 23. The rally`s participants
will pass 21 districts/cities in Indonesia and
will finish in Singapore.
The Bhakti Surya Baskara Jaya civic
mission will be held in Riau Island Province, Bangka Belitung Province, West Ka-
limantan Province, Gorontalo Province,
Southeast Sulawesi Province, and South
Sulawesi Province.
Indonesia earlier organized “Sail Bunaken 2009” in North Sulawesi and “Sail
Banda 2010” in Maluku Province. Sail
Banda 2010 kicked off on July 24, 2010 at
Darwin`s Cullen Bay where Indonesian Coordinating Minister for People`s Welfare
Agung Laksono flagged off 49 of 106 foreign yachts to mark the start of the international yacht rallies.
Equator - January 2011 15
Focus
Indonesian chairmanship’s role and
ASEAN agenda by Ageng Wibowo
Jakarta - Since it was funded by the
Association of Southast Asian Nations
(ASEAN), Indonesia has played an important role for the regional forum uniting all its ten member countries.
With its motto “One vision, One
identity, One community”, ASEAN was
formed on August 8, 1967 by Indonesia,
Malaysia, the Philippines, Singapore and
Thailand which then expanded with five
other countries, namely Brunei, Burma
(Myanmar), Cambodia, Laos, and Vietnam.
Indonesia`s 2011 chairmanship in
ASEAN shall be maximized in order to create a cohesive community that is in accordance with the
ASEAN motto “One vision, One
identity, One community”
ASEAN aimed at accelerating the
region`s economic growth, social progress, cultural development among its
members, the protection of peace and
stability of the region, and provide opportunities for member countries to discuss differences peacefully.
At its ninth Summit in October 2003
the Association of South East Asian Nations announced its intention to create an ASEAN Community based upon
three pillars: Security, Economic and
Socio-Cultural Communities.
According to Indonesia Foreign Minister Marty Natalegawa, in 2003 Indonesia came up with the ASEAN Community
concept.
The concept was actually set to establish the community by 2020, but
it was made earlier to 2015, and now,
ASEAN only have four more years to go
in establishing its people centered community,
With the Indonesian chairmanship in
2011, Indonesia hopes to create ASEAN
cooperation to a higher level by upholding the current forum`s theme, ASEAN
Community in the Global Community.
“Since the beginning, Indonesia has
always been a country that shows its
leadership, not its chairmanship, because its all two different meanings,”
Foreign Minister Marty Natalegawa said
16 Equator - January 2011
on the a sidelines of the ASEAN Ministerial Meeting Retreat that was held in
Lombok West Nusa Tenggara on January 15-17, 2011.
Indonesia`s main focus is to create
reach progress in achieving the ASEAN
Community in 2015 with four more years
to come, to ensure that ASEAN and its
region to “drive” the Asia Pacific summit and to create a dynamic equilibrium
according to the recent theme ASEAN
Community in the Global Community.
The ASEAN Community
With four years remaining, the
ASEAN Community is not aimed to be
formed within this year, but at least Indonesian chairmanship will contribute
to a significant progress.
ASEAN vision post in 2015 a community establishment is that ASEAN can
perform cohesively in handling world`s
issues.
“I think this is a prevalent, planned
and arranged step as in 2003 Indonesia
held the chairmanship we proposed the
formation of an ASEAN Community,”
Marty said.
Based on three ASEAN pillars consisting of Economy, Socio-Culture and
Politic Security, each pillar has provided
its own cooperation blueprints to create
integrity.
“In the economic sector, ASEAN
aimed to create an integrated trade
area, which is also shown by two other
sectors,” said Marty.
But in the end, the ASEAN community wanted a mutual togetherness,
love and ownership that cannot be
turned into a law by any decree or regulation it must grow by itself within the
community`s members.
“Therefore, ASEAN is offering a People Centered ASEAN to create the togetherness feeling, and mainly we must
ensure these steps can provide real benefits to the community,” Marty said.
If with the Indonesian 2011 chairmanship a significant progress achieved
for the ASEAN Community, then Indonesia will be able to upgrade the efforts
beyond its implementation by the 2020
when the chairmanship returns to Indonesia.
“We have created a foundation for
2015, the ASEAN Community, and another foundation of the `ASEAN Community in the Global Community,` which
we have placed from now,” Marty said.
All the ASEAN member countries
must not see the world as it is today, but
also look further in 2020 and beyond, to
be ready to compete with other world
organizations such as the European
Union and the African Union.
“If we didn`t make the move in 2003,
we only become an `association` of
Southeast Asian countries that will be
left behind,” Marty said.
Because, according to Marty, the regional organization will be the world`s
actor, not a single country, therefore we
will need an organization that not only
talks for each country`s interest, but as
one identity, ASEAN.
Indonesia`s 2011 chairmanship in
ASEAN shall be maximized in order to
create a cohesive community that is in
accordance with the ASEAN motto “One
vision, One identity, One community”.
Focus
Will Timor Leste be the eleventh
ASEAN member ? by Ageng Wibowo
Jakarta - Timor Leste, used to be
known as East Timor, has recently expressed interest in joining ASEAN (Association of South East Asian Nations) as
its eleventh member country by 2012.
Indonesian Foreign Minister Marty
Natalegawa at the ASEAN Ministerial
Meeting (AMM) Retreat held in Lombok,
West Nusa Tenggara, said that Indonesia openly supported Timor Leste`s proposal to join ASEAN, by submitting an
official admission letter and meet the
requirements.
“For a new member, ASEAN has 10
member countries, we heard that Timor
Leste is requesting to join, which we
openly support,” Marty Natalegawa
said in the event in January 15-17, 2011,
attended by eight ASEAN Foreign Ministers and two undersecretaries from
Vietnam and the Philippines representing their countries.
Marty has yet to confirm as to when
Timor Leste will become ASEAN`s 11th
member, because the relatively young
country had yet to submit an official admission letter.
“Earlier, Timor Leste has openly expressed intention to join ASEAN, and
also has initiated the process within this
year (2011). Its membership would not
be approved too soon, as it also realized
the phases to become an ASEAN member,” Marty said.
Indonesia has also been assisting
Timor Leste`s official capacity building
by assisting its human and institutional
resources in the past four years, Indonesian ambassador to ASEAN, Ngurah
Swajaya, said.
Under the ASEAN rules on admission
of new members, if a country has submitted an official admission letter, an
assessment phase and meeting among
the ASEAN members including an exploratory phase.
“When the initial phase is passed ,
there will be a consensus to determine
if the requesting country is welcomed,
not to mention the need of every ASEAN member to approve the new membership,” Ngurah said.
As for the initial process, Timor Leste
has also prepared itself to host the ASEAN Regional Forum expected to be held
in the beginning of this year.
According to ASEAN Secretary General Surin Pitsuwan, Timor Leste has expressed its readiness by the year 2012,
but it has not yet been a formal agenda
for the ASEAN foreign ministers` consideration.
Indonesian Foreign Minister Marty Natalegawa at the ASEAN Ministerial Meeting (AMM) Retreat
held in Lombok, West Nusa Tenggara, said that Indonesia openly
supported Timor Leste`s proposal
to join ASEAN, by submitting an
official admission letter and meet
the requirements
“I don`t know when that is going to
happen, but few ministers have been
visiting Dili (the country`s capital), and
we know that Indonesia has been helpful in the preparation of East Timor
(Timor Leste) to engage more actively in
ASEAN,” he said.
Wether it is going to be a formal admission for a new member to increasingly engage in ASEAN more in barrier
sectors that remains to be decided by
the foreign ministers.
Surin said that the ASEAN foreign
Ministers have taken a note on Timor
Leste`s desire by 2012 as their target
date, and it will be a collective decision
of the ASEAN member states.
“We certainly welcome any interest
in ASEAN is a sure confidence, in the
way of which ASEAN has been cooperating and has achieved our integration
and the confidence that we have won
from the international community,” Surin said.
The official admission letter is now
being studied, even on Timor Leste`s
part, it`s their own desire, it is good for
them to have a target for themselves,
but on the side of ASEAN is has not yet
been a formal agenda.
Now, the question is, when will ASEAN approve Timor Leste`s intention to
be its eleventh member after Indonesia,
Malaysia, the Philippines, Singapore,
Thailand, Brunei, Myanmar, Cambodia,
Laos, and Vietnam ?
Equator - January 2011 17
Focus
Climate change begins changing
food production pattern by Vicky Febrianto
Jakarta - Climate change is now no
longer a potenial threat to Indonesia`s
food production but a phenomenon
that has already begun to affect it.
This fact is being reflected in how serious the government views the reality.
Two presidential instructions are to be
issued at the end of this month on measures to safeguard food resilience in Indonesia due to extreme climate change,
as Coordinating Economic Minister Hatta
Rajasa has said.
“We expect it in January, and in fact
we`ve set the target on the third or the
fourth week according to the schedule.
We`ll mull them with all (the economic
ministers) tomorrow,” said Minister Rajasa at his office in Jakarta.
Rajasa explained that the aim of the
presidential instructions (Inpres) among
other is to provide flexibility for the agricultural minister in responding to the extreme climate change that have brought
about changes on planting seasons, pest
attacks or climate-related destruction of
agricultural land.
“Flexibility is certainly needed by the
agricultural minister for taking emergency steps as there should be response for
that,” Minister Rajasa pointed out.
Meanwhile the other Inpres will be
for providing flexibility to the state logistics company Bulog in supplying or purchasing the rice produced by farmers, for
all varieties of rice, not just some certain
varieties, he added.
When the two Inpres have already
been issued, according to the minister,
then the government will re-formulate the Inpres on anticipating climate
change.
“This really is exceptional, the meteorology and geophysics agency has
predicted (the seasons) would continue
to be wet, something we need to anticipate,” he said, emphasizing the need for
a policy response as there would be no
alternatives but taking maximum efforts
on tackling the impacts from climate
change on food production.
The Indonesian government has allocated a contingency fund of 3.0 trillion
rupiahs for stabilizing food production in
the anticipation of impacts from pest attacks or extreme weather.
18 Equator - January 2011
Rice Production
As of January 2010, according to Food
and Agriculture Organization (FAO), global planting of paddy crops was already
well advanced in southern hemisphere
countries. In South America, however, the
season opened negatively due to drought
or excessive rainfall that has delayed sowing of the main crops.
Climate change has changed precipitation patterns in Indonesia upside down, according to a result of
a recent study by World Wide Fund
for Nature (WWF), titled “Climate
Change in Indonesia, Implication
for Humans and Nature.”
It is also feared that drought related to
El Nino may decrease rice production in
Indonesia, the UN agricultural body emphasizes in a recent statement.
There has been a major decline in
world rice production since late 2007 due
to many reasons including climatic conditions in many top rice producing countries
as well as policy decision regarding rice
export by the governments of countries
with considerable rice production.
Reason for low world rice production
in 2009 global rice price started increasing
in November 2009 after months of steadily
declining since reaching an all time high in
May 2008. Problems related to price supply in two major rice producing countries
- India and the Philippines - have been the
primary reason for low world production
of rice and the reversal of price trend.
Indonesia was at the third place after
China and India as the world top producers of rice. China in 2010 produced 166.4
million tons of rice, India produced 132
million tons, and Indonesia produced 52
million tons. However, these three countries are also the world`s largest by population.
Upside down
Climate change has changed precipitation patterns in Indonesia upside down,
according to a result of a recent study by
World Wide Fund for Nature (WWF), titled
“Climate Change in Indonesia, Implication
for Humans and Nature.”
Precipitation patterns have changed
as there has been a decline in annual
rainfall in the southern regions of Indonesia and an increase in precipitation in
the northern regions. The seasonality of
precipitation (wet and dry seasons) has
changed were wet season rainfall in the
southern region has increased while dry
season rainfall in the northern region has
decreased.
The climate is warming from 0.2 to
0.3 centigrade per decade in Indonesia,
resulting in the increase in annual precipitation across the majority of the Indonesian islands, except in southern Indonesia
where is it projected to decline by up to
15 percent.
The seasonality of precipitation has
also changed where parts of Sumatra and
Sulawesi may become 10 to 30 percent
wetter by the 2080`s during DecemberFebruary, the months known as wet seasons for Indonesia.
There has also been a shift in the
seasonality of precipitation (wet and
dry seasons); in the southern region of
Indonesia the wet season rainfall has increased while the dry season rainfall has
decreased, whereas the opposite pattern
was observed in the northern region of
Indonesia, it notes.
Increased frequency and severity of
El Nino events and fires will impact food
production and the ability of natural
systems to provide ecosystem services,
whereas arming ocean temperatures,
sea-level rise, and increased storms will
impact coastal systems by increasing
coral bleaching events, changes in fish
availability, inundation of coast lines and
mangroves.
The El Nino-induced droughts of 19971998 caused massive crop failures, water
storage, and forest fires in parts of Indonesia and if climate model projections of
stronger, more frequent El Nino events
materialize, Indonesia may experience
even more adverse impacts, including less
food production and increased hunger.
The study concludes that the challenge for Indonesia is to create appropriate and effective adaptation strategies to
address climate change and its impacts
by building resilience and resistance. Action needs to take place at all levels; from
international, to national, local and community-based efforts.
Focus
RI to encourage economic
cooperation through WEF by Andi Abdussalam
Jakarta - Indonesia is expected to
promote its economic achievements at
the World Economic Forum in Davos,
Switzerland, later this month, where top
business executives, international political leaders and selected intellectuals are
to discuss and shape agendas of global
and regional industries.
Indonesia whose economy was relatively strong in the face of global financial crisis in the past several years will
send to the forum a delegation to be directly led by President Susilo Bambang
Yudhoyono.
“The presence of the president in
the WEF when world economic players
meet there will give Indonesia a chance
to introduce various progresses it has
made, including justice-based economic development,” Teuku Faizasyah, the
presidential special staff for international relations, said over the weekend.
The president who will be accompanied Mrs Ani Yudhoyono and several
ministers such as Chief Economic Minister Hatta Radjasa, Finance Minister Agus
Martowardojo, Foreign Affairs Minister Marty Natalegawa and Investment
Board chief Gita Wirjawan will speak at
a number of forums during the 41st WEF
meeting which will take place on January 26-31, 2011.
During the forum, Indonesia hopes
that it would be able to conclude cooperation with other countries.
“Indonesia will use this year`s WEF
to increase cooperation between Indonesia and other countries. We will also
make use of the meeting to attract more
investors to Indonesia,” Trade Minister
Mari Elka Pangestu said.
She said President Yudhoyono in
January 27 or second day of WEF event
in Davos-Klosters was scheduled to deliver a speech about trade and development. “President Yudhoyono is one
among five speakers scheduled to deliver speech during the meeting,” she
said.
The 41st World Economic Forum Annual Meeting in Davos-Klosters, Switzerland will take the theme of Shared
Norms for the Reality. Over the five-day
Meeting, over 2,500 leaders from over
100 countries will convene in Davos-
Klosters, representing business, government, civil society, academies and
culture.
The theme of the World Economic
Forum Annual Meeting has four interconnected pillars namely responding
to the new reality, the economic outlook and defining policies for inclusive
growth, supporting the G20 agenda
and building a risk response network.
Yudhoyono who will attend the WEF
for the first time will deliver a special
speech at the Energy Summit With the
World`s Top Energy CEOs. He will also
open “Indonesia Co Night: Celebrating
the Spirit of Collaboration and Cooperation, organized in cooperation between
the Indonesian government and the
WEF.
The president is also expected to
become a speaker in the WEF`s International Business Council (IBC) and International Media Council (IMC) forums
in two plenary sessions. He will speak
about redefinition of sustainable development and trade.
A major focus of this year`s meeting
will be how to deal with global risks, develop risk mitigation strategies and capture related opportunities.
The World Economic Forum will
present its Risk Response Network at
the Annual Meeting, which will serve
as a preparatory, analytical and highly
practical framework for the global community in the service of improving global risk management.
The Risk Response Network is a platform designed to better understand,
manage and respond to complex, interdependent risk.
According to Teuku Faizasyah, President Yudhoyono during the events is
scheduled to hold bilateral meetings
with French President Nicholas Sarkozy,
UN Secretary General Ban Ki-moon on
the sidelines of the forum on January
27-29.
He said that the president would
also met with Colombian President Juan
Manuel Santos, Envoy for the Middle
East Tony Blair and a number of other
heads of state/heads of government.
Minister Mari E Pangestu, after attending the WEF`s 41st meeting, Indo-
nesia will host the WEF on East Asia on
June 13-13, 2011.
“We will take advantage of it because we will also host ASEAN Summit
in October this year to put Indonesia in
the role of leadership in ASEAN and East
Asia region,” Mari said.
She said it would be the first for Indonesia to host WEF after its neighbor
countries such as Singapore, Malaysia,
Vietnam, and Japan have ever been
trusted to be the organizing committees.
“It will be the first time for us to host
the World Economic Forum, and we
hope Indonesia will take a leadership
role and become the central power in
Southeast Asia and East Asian region,”
Mari said.
After all, Indonesia will chair the
ASEAN summit this year. “Since the
central world trade is in Asia, Indonesia
is expected to be able to make use the
chance as the chairman of ASEAN Summit 2011 as well as it is the biggest country among ASEAN member countries,”
she said.
The minister said two-thirds of the
world`s economic growth was fueled by
the economies of ASEAN (Association
of Southeast Asian Nations) member
countries.
“Two-thirds of the world`s economic
growth is being supported by the economies of ASEAN member countries and
this only shows the importance of ASEAN and East Asia in the global context,”
the minister said.
Mari said East Asia`s gross domestic
product (GDP) was equal to Europe`s
and the United States` 14.6 trillion US
dollars.
Thus, global issues related to commodity prices volatility, food resilience,
and energy resilience would be among
the topics of discussion at the WEF forum in June.
“The topics of discussion will be the
same as that during WEF in Davos, and
it will be a challenge for the government, business world, and private party
to step up the industry, investment, and
technology - especially agriculture and
climate change technology to face with
extreme climate change,” Mari said.
Equator - January 2011 19
Focus
Exploring sea floor to cement RI-US
science cooperation by Fardah
Jakarta - US President Barack Obama
when visiting Indonesia in November
2010, said that the US government was
sincerely striving to cooperate with
the Muslim world through various approaches, including science cooperation with Indonesia.
He and President Susilo Bambang
Yudhoyono formalized a new Comprehensive Partnership agreement between the US and Indonesia in Jakarta,
on November 9, 2010.
In a joint declaration between the
Indonesian and US governments, the
Comprehensive Partnership was described as a dynamic 21st century partnership with a forward-looking agenda
to advance bilateral cooperation in
many areas : education, environment,
security, science and technology, trade
and investment, democracy, human
rights, health, energy, food, entrepreneurship, and more.
Previously, on March 30, 2010, the
then US Ambassador to Indonesia Cameron R. Hume and Research and Technology Minister Suharna Surapranata
had signed a bilateral agreement on scientific and technological cooperation
between the US and Indonesia.
The bilateral framework agreement
is aimed at strengthening and promoting scientific research and technological
cooperation based on shared responsibilities, equitable contributions and
benefits.
Cooperation activities under this
agreement could include exchange of
scientific and technological experts,
information, and best practices; joint
research projects; joint seminars, meetings and workshops; and the development of direct cooperation between
government agencies, universities, and
other entities of the two countries.
The previous Agreement for Cooperation in Scientific Research and Technological Development between the
United States and Indonesia was signed
in 1992 but expired in 2002.
Obama`s serious intention to establish scientific cooperation with Indonesia has been proven by sending US
Science Envoy Dr. Bruce Alberts to Indonesia twice, first in May 2010 and second
in December 2010.
20 Equator - January 2011
During his second visit in Indonesia
in December 2010, Obama`s Science
Envoy Dr. Bruce Alberts met with distinguished members of Indonesia`s science
community, including former President
BJ Habibie, to discuss concrete ways the
U.S. and Indonesia can work together to
promote scientific collaboration.
Dr. Bruce Alberts is a prominent biochemist who currently serves as editor-
Cooperation activities under this
agreement could include exchange of scientific and technological experts, information, and
best practices; joint research projects; joint seminars, meetings and
workshops; and the development
of direct cooperation between
government agencies, universities, and other entities of the two
countries.
in-chief of Science magazine. He is also
a professor emeritus in the Department
of Biochemistry and Biophysics at the
University of California, San Francisco.
The U.S. Science Envoy Program
is a core element of the new strategy
of global engagement outlined in the
President Obama`s June 4, 2009 “New
Beginning” speech in Cairo when he
spoke of building partnerships to support science and technological development in Muslim-majority countries.
Following President Obama`s Cairo
speech, US Secretary of State Hillary
Clinton named the first three science
envoys - Elias Zerhouni, Ahmed Zewail,
and Bruce Alberts -- in Marrakech, November 2009.
In the wake of President Obama`s
Cairo speech, a joint oceanic expedition
dubbed INDEX-SATAL 2010 was conducted by US and Indonesia, from June
to August 2010.
The joint expedition was staged
from two ships: the National Oceanic
Atmospheric Administration (NOAA)`s
Okeanos Explorer and the Indonesian
Agency for Assessment and Application
of Technology (BPPT)`s research vessel
Baruna Jaya IV, and at Exploration Command Centers (ECCs) ashore.
At least 32 scientists and technicians
both on the ships and on shore carried
out exploratory investigations on the
diversity and distribution of deep sea
habitats and marine life in unknown
ocean areas in SATAL - a contraction of
Sangihe and Talaud - two island chains
stretching northeast of North Sulawesi,
Indonesia.
“Indonesian waters are home to
more marine biodiversity than anyplace
else in the world. We explore together
to better understand, use, and protect
the ocean and its resources,” Dr Jane
Lubchenco, Ph.D., US under secretary of
commerce for oceans and atmosphere
and NOAA Administrator, said when
launching the joint expedition last July.
Sugiarta
Wirasantosa
Ph.D,
Indonesia`s chief scientist for the joint
expedition and principal investigator at
Indonesia`s Agency for Marine and Fishery Research, said last July that “Oceanrelated concerns, including food security and protecting ocean ecosystems
that support fisheries, affect many nations including Indonesia`s nation of
17,000 islands.”
The joint expedition has made many
interesting discoveries such as previously unknown submarine volcanoes, a
large hydrothermal field with a thriving
exotic animal ecosystem, and areas rich
in deep-sea ocean animals.
In the first week of the joint expedition, Okeanos Explorer`s built-in multibeam sonar had mapped a huge undersea volcano.
Cameras on the ship`s remotely-operated vehicle, meanwhile, took highdefinition images of the feature called
Kawio Barat, referring to the ocean area
west of Kawio Islands, the US embassy
in Jakarta said on its official website last
July.
“This is a huge undersea volcano,
taller than all but three or four mountains in Indonesia, and rising more than
ten thousand feet from the seafloor in
water more than eighteen thousand
feet deep,” said Jim Holden, US chief
scientist for the first leg of the joint expedition and a microbiologist from the
University of Massachusetts in Amherst,
who operated from an Exploration Command Center in Jakarta, last July.
Focus
As many as 50 animal species
caught on high-definition video
appeared to be new to science, in
addition to possibly 40 new coral
species such as the Bubblegum
coral, known formally as Paragorgia arborea
At an American Geophysical Union
press conference in San Francisco, US,
in December 2010, scientists explained
that while the exploration area is recognized as one of the Earth`s major shallow water centers of marine diversity,
little was known about the marine life
inhabiting its deep areas until this mission.
“This expedition was exciting and
productive in many respects,” said Sugiarta Wirasantosa, Ph.D, as quoted on
the official website of NOAA.
“Within the `Coral Triangle,` a 2.3 million-square-mile area (6 million square
km) in which the Sulawesi is included,
more than 65 percent of the world`s
reef-forming coral species are known to
exist in shallow waters,” said Santiago
Herrera, a graduate student at the Massachusetts Institute of Technology and
the Woods Hole Oceanographic Institution who participated in the expedition.
As many as 50 animal species caught
on high-definition video appeared to
be new to science, in addition to possibly 40 new coral species such as the
Bubblegum coral, known formally as
Paragorgia arborea.
According NOAA, this expedition
was the first in a multiyear plan for Indonesia and the United States to explore
marine environments together as part
of a larger partnership that foresees
NOAA, Indonesia`s Ministry of Marine
Affairs and Fisheries, and BPPT partnering on issues of mutual interest including ocean exploration, fisheries and
food security, climate change and tsunami research.
The U.S. Embassy Jakarta hosted an
interactive webchat entitled, “Live from
the Seafloor: A Dynamic Look at the
U.S.-Indonesia Science and Technology
Partnership”, on January 7, 2011.
The webchat that highlighted the
historic US-Indonesia joint ocean expedition, featured a live panel discussion
with five U.S. and Indonesian dignitaries, namely NOAA Administrator Dr.
Jane Lubchenco; U.S. Science Envoy Dr.
Bruce Alberts and Indonesian Ambassador to the United States Dr. Dino Patti
Djalal (in Washington DC), while in Jakarta were U.S. Ambassador to Indone-
sia Scot Marciel, Indonesian Minister of
Marine Affairs and Fisheries Fadel Muhammed and Dr. Ir. Marzan A. Iskandar,
BPPT Chairman.
According to Marzan, some 79 new
species were found in East Indonesian
waters during the deep seas explorations.
Minister Fadel Muhammad on the
occasion said the joint oceanic expedition had yielded results of benefit to
both countries.
He said Indonesia had gained much
benefit from the expedition because
now it did not have to start from “zero”
when exploring its waters.
Fadel said he now even wanted to
establish further cooperation in the research field with the US as his ministry
had allocated an adequate budget for
research activities.
Indonesian Ambassador to US Dino
Patti Djalal said the scientific collaboration between Indonesia and the US
needed to be intensified as it would
bring many benefits to Indonesia and to
the world in general.
He said the future of Indonesia was
in the hands of those with scientific literacy.
Raja Ampat, Diving Resort, Papua, Indonesia
Equator - January 2011 21
Business
Indonesia’s best export products
Cocoa
Cocoa (Theobrorna cacao L) was originated fiom South America in which the
ancient Mayans made a ceremonial beverage from the cocoa beans mixed with
water and spices. The drink called chocolate was so much esteemed as a symbol of
both fertility and prosperity. Literature say
the cocoa beans also served as money in
the South American culture, yet it was the
taste that made the beans gained widespread popularity. The cocoa tree is called
Theobrorna Cacao in Latin, with Theobrorna means “food for the gods”- a status that
is still retained by chocolate until today.
Cocoa was brought to Indonesia by Dutch
colonials who began to grow the tree in
several old plantations in Java. Apparently, Indonesia’s tropical climate makes
a perfect home for the cocoa,spreading
the species rapidly across the archipelago.
South, Southeast, and Central Sulawesi
provinces are the key producing areas,
contributing 75 percent of Indonesia total cocoa production. Other important
producing regions are North Sumatera,
East Kalimantan, Lampung, and East Java.
Farmers in the region Start the main crop
harvest from April to June or July, while
the mid crop harvest runs from October
to December. Sulawesi cocoa is traded in
the form of unfermented beans, butter
and bulk bean. Most of the cocoa beans
are exported through Makassar in South
Sulawesi province.
More than 90 percent of the cocoa
plantations in Indonesia are owned by
smallholder farmers with each farmer
owns area of between 0.5 to 1 hectares.
This suggests that the commodity is not
only a source for the country’s foreign exchange earnings, but
also an important income source for
many households. A data from Agriculture
Ministry shows that the cocoa plantations
area have increased by 14.21 percent from
1,320,820 hectares in 2006 to an estimate
of 1,508,507 hectares in 2010. Of the total
estimated area in 2010, 93.16 percent is
owned by smallholder farmers; 3.68 percent is owned by the government; and
the remaining 3.16 percent is owned by
private companies.
In term of production, Indonesia’s cocoa also demonstrates an increasing trend.
The Agriculture Ministry reported that the
22 Equator - January 2011
country’s cocoa production increased
from 769,386 tons in 2006 to an estimate
of 776,618 tons in 2010. Of the total 2010
estimated production figure, 91.63 percent was from smallholder farmers; 4.35
percent was from the government’s lands;
and the remaining 4.02 percent was from
private companies. Indonesia was known
as the world’s third largest cocoa producers after Ivory Coast and Ghana for years.
But, in June 2009, the Agriculture Ministry’s director general of plantations Ach-
mad Mangga Barani said Indonesia had
secured the position of the world’s second
largest cocoa producers, replacing Ghana
whose output has been dropped due to
security tension. As one of the world’s biggest producers, Indonesia also plays important roles in the world’s cocoa market.
Major importers of Indonesian cocoa
include Malaysia, United States, Singapore,
Brazil, and China. In 2009, Indonesian export of cocoa beans (whole or broken, raw/
roasted) reached 439,305 tons, up from
380,513 tons in 2008. In term of value, the
export in 2009 booked US$1.09 billion, up
from US$854.59 million in 2008. The cocoa
export value in 2009 contributed as much
as 1.12 percent to the total of the country’s
non oil and gas export. Cocoa prices show
increasing trend in the last five years and
this can be seen from the export value
booked by the commodity during the
period. Indonesian cocoa’s export value
went up from US$467.83 million in 2006 to
US$1.09 billion in 2009; representing more
than double increase.
Since April 2010, the government imposed a tax on cocoa bean exports in a
bid to secure supplies for domestic cocoarelated industries. The tax is only imposed
when the international cocoa average
prices higher than US$2,000 per ton. The
policy is applied Currently, Indonesia has
actually exported several cocoa intermediate products. In 2009, Indonesia exported
cocoa butter, fat and oil as much as 41,606
tons or worth around US$230 million. Indonesian cocoa butter is well known for its
higher melting point.
The government also expects the
cocoa export tax policy will encourage
investment in cocoa processing industry.
Zulhelfi Sikumbang, secretary general of
the Indonesian Cocoa Association (Askindo), said that Indonesia had potential to.
Attract investment not only in cocoa intermediate product industries, but also
in the end product industries. “We have
both enough supply of raw materials and
huge market/he said. The Indonesian government continually carries out efforts to
improve the country’s cocoa industry, including by launching the cocoa national
movement (locally called as the Gernas
Kakcio) in 2009.
The Gernas Kakao aims at improving
Indonesian cocoa production and quality. The program, running from 2009 to
2011, focus on three activities: the cocoa
tree rejuvenation; the cocoa plantation
rehabilitation; and the cocoa plantation
intensification. The rejuvenation activities focus on replacement of old and non
productive cocoa trees. In the rehabilitation program, the cocoa growing and productivity are increased through side cleft
grafting technology. The rehabilitation is
applied to plantations whose cocoa trees
are still in productive age (< 15 years), but
the production is low. The third activity in
the program, the cocoa plantation intensification, is designed to increase productivity at cocoa plantations by implementing
standardized cultivation procedures. The
intensification program is applied at non
productive plantations with young (.< 10
years) cocoa trees. The Gernas Kakao program is prepared to be implemented in 9
provinces and 40 regencies. The improvement of cocoa production and quality is
Business
set to be done in smallholder cocoa plantations with total areas of 450,000 hectares
(70,000 hectares for the rejuvenation program; 235,000 hectares for the rehabilitation program; and 145,000 hectares for
the intensification program). The program
also includes training and assistance for
450,000 farmers; pest and disease controlling in 450,000 hectares cocoa plantations;
and the cocoa quality improvement in
accordance with the Indonesian National
Standards (SNI).
In 2009, the government allocated as
much as Rp 983.7 billion for the program
implementation. The budget was used
mainly forth cocoa trees rejuvenation
within the areas of 20,000 hectares; the rehabilitation of 60,000 hectares cocoa plantations; and the intensification of 65,000
hectares of cocoa plantations. For the program implementation in 2010, the government has allocated budget as much as Rp
500 billion which is prepared mainly for
the rejuvenation program in 15,150 hectares plantation areas; the rehabilitation
program in 28,613 hectares plantation
areas; and the intensification program in
15,900 hectares plantation areas.
The Agriculture Ministry’s director
general of plantations Achmad Mangga
Barani said the results of the rejuvenation
program could be seen in 2013, while the
results of the side cleft grafting technology
implementation is expected TO be seen
earlier in 2011, The Gernas Kakao movement is expected to increase the cocoa
production in the respective areas from
660 kilogram per hectare per year to 1,500
kilogram per hectare per year in 2013 or
from 297,000 tons per year to 675,000 tons
per year. The program is also aimed at increasing the farmer revenue from Rp per
hectare per year (2009) to Rp 30 million
per hectare per year in 2013 and the foreign exchange from cocoa from US$ 494
million in 2009 to US$ 1.485 billion in 2013.
The program is also expected to increase
the cocoa production that meets the SNI
requirements by 675,000 tons a year. Once
the program is completed, Indonesian cocoa industry will likely play bigger role in
the world market.
The world cocoa market distinguishes
between two broad categories of cocoa
beans: “fine or flavor” cocoa beans, and
“bulk” or “ordinary” cocoa beans. As a generalization, fine or flavor cocoa beans are
prod uced. from Criollo or Trinitario cocoatree varieties, while bulk cocoa beans come
from Foraste.ro tree’s. There are, however,
known exceptions to this generalization.
National trees in Ecuador, considered to
be Forastero-type trees, produce fine or
flavor cocoa. On the other hand, Cameroon cocoa beans, produced by Trinitariotype trees and whose cocoa powder has
a distinct .and sought-after red color, are
classified as hulk-cocoa beans.
The share of fine or flavor cocoa in the
total world production of cocoa beans is
just under 5 per annum. Virtually all major activity over the past five decades has
involved bulk cocoa. On the supply side,
according to data from the CGFCC, less
that 40,000 tons of cocoa beans reached
Ivorian ports in April. In Ghana, cumulative
cocoa purchases by the Cocobod from
the beginning of the season to 22 April
reached 527,885 tons, a decline of 60,000
tons compared to the same period one
year earlier.
In Indonesia, cocoa bean exports from
Sulawesi, the country’s main cocoa growing area, readied only 6,500 tons in April,
bringing the total for the season to almost
146,000 tons, an increase, however, by
about 15,000 tons compared with the previous year. The decease of productivity in
April 2010 happened because implementation of progressive cocoa bean export
tax that strongly rejected by the farmers
and exporters of cocoa bean in Indonesia.
The Ministry of Finance intend to boost
domestic production (fermented or other
value added services) in order to leverage
cocoa products export from Indonesia.
On the demand side, the ICCO Secretariat estimates that world cocoa processing activity rose by 5.2% in the first half of
the season. The current April - June quarter is expected to show a strong increase
compared to the second quarter of 2009.
ASTRA AGRO LESTARI TBK, PT
BERDIKARI NIAGA UTAMA, PT
COCOA PERKASA SULAWESI, PT
JI.PuloayangRayaBlokORI,
Kawasan Industri Pulogadung,
D.K.I JAKARTA
Tel. (62-21) 4616555,4616688
Fax. (62-21)4616682,4616689
Email: purel@astra-agro.co.id
Website: wwwastra-agro.co.id
JI.Yos Sudarso No. 3-11
Tanjung Priok, D. K. I. JAKARTA
Tel. (62-21)4301625
Fax. 62-21)43937854
Email: andreas.hariyanto@gmail.com
Website: www.berdik.ari-trading.com
JI.Kapasa Raya No. 21,
South Sulawesi
Tel. (62-411)511787,513609
Fax. (62-411)512638
List of exporters
BUMI TANGERANG MESINDOTAMA
Jl. Dipati Unus no.30
Cibodas Besar, Kec. Cibodas
Tangerang, Banten Indonesia
Tel. 62 21 5585870, 55769238
Fax. 6221 5585872
Email: ht@btcocoa.com,
sindra@btcocoa.com
Website: www.btcocoa.com
ASIANAGRO AGUNG JAYA, PT
Jl. Semarang BlokA2 No. 1, KBN
Marunda,
D. K. I. JAKARTA
Tel. (62-21)4402591,4402592,
4402593,4402614
Fax: (62-21) 4402590, 4405025
BINTANG JAYA MAKMUR, PT
JI.Sikatan No.23tPoBox.1142),
JawaTimur
Tel. (62-31)3522991,3525606,3525353
Fax. (62-31) 3534027, 3553446
Email: bjmcommodity@yahoo.com
CARGILI INDONESIA COCOA
DIVISI0N, PT
Jl. Kima 9 Kav L 7B Daya (PO. BOX
1646),
South Sulawesi
Tel. (62-411)514361,514362
Fax. (62-411)514370
CACAO WANGI MURNI, PT
Jl. Kali Besar Barat No. 50-B, D. K.
Tel. (62-21)6903675
Fax. (62-21)6929717
COKLAT MURNI, PT
Jl. Sultan Abdullah No. 5
Makassar, South Sulawesi
Tel. (62-411)5041693
Fax. (62-411)452879
Email: coklatm@indosat.net.id
COMEXTRA MAJORA, PT
Jl. Salodong No. 66
Makassai South Sulawesi
Tel. (62-4111510051 (Hunting)
Fax. (62-411)510077,510017
Email. comextra@indosat.net.id
Website: www.comextra.coiTi
INDONESIA CACAO
ASSOCIATION
Jakarta Residence Cosmo Mansion
Lantai 11 unitCCJI. Kebon Kacang Raya,
D. K. I. JAKARTA
Tel. (62-21)31991718
Equator - January 2011 23
Travel
Raja Ampat Indonesia’s new heaven for dive spots
The roaring engines fixed to a large
wooden boat are finally quiet. Nothing
can be heard but the rifting little waves,
lapping against the vibrant paint on the
sides of the vessel that gracefully slows
down. Native birds hop on the tip of a
small tree in one of the deserted islands
in the distance.
Raja Ampat or ‘Four Kings’, is the
name given to these islands and comes
from a local myth. The four major islands
found here are Waigeo, Misool (which is
home to ancient rock paintings), Salawati, and Batanta.
Underwater enthusiasts flock to this
region because it offers the world’s best
marine sights. Two days earlier, some of
these travelers had been at a deafening
corner of a tourist trap in Bali. Once they
took their flight to the bird head of the
island of Papua everything changed as
they embarked on a diving tour of a lifetime. In the Raja Ampat islands, divers
can explore vertical underwater walls.
The thrill of drift diving is another great
challenge. These are the awesome experiences you will find in Raja Ampat.
Meanwhile, on this tour several divers were well equipped and looked advanced. The territory within the islands
of the Four Kings is enormous, covering
9.8 million acres of land and sea, home
to 540 types of corals, more than 1,000
types of coral fish and 700 types of mollusks. This makes it the most diverse
living library for world’s coral reef and
underwater biota. According to a report developed by The Nature Conservancy and Conservation International,
around 75% of the world’s species live
here. When divers first arrive here their
excitement is palpable. It’s common to
hear people praise God as they take in
the remarkable scenery. Others prefer
to remain in silence taking in the overwhelming sight of so many islands with
crystal clear water that softly brushes
over the white sandy beaches.
While the landscape may look like
a dream, this is not an illusion. As you
embark on your dive, the phrase ‘Attention to detail’ takes on new meaning
as pigmy seahorses swim around your
fingers. Manta Rays and wobbegongs
will glide right by you. Tuna fish, giant
trevallies, snappers, and even barracudas are there to complete your underwater ‘meeting list’. Not to mention the
friendly assistant of the dugong, and a
busy colleague, the turtle. Natural and
untouched beauty is the main attraction here. With no unnecessary adages,
the sky, the lush islands, the sea, and
everything above and under it is genuinely saying ‘Welcome to Raja Ampat Islands; your personal Disneyland of diving sites’.
- More facts about the Raja Ampat
Conservation Area
- This area is home to 1,511 species of
reef fish in the Bird’s Head Seascape
- 1,320 species of reef fish in Raja
Ampat
- 75% of all known coral species in the
world
- 10 times the number of hard coral
species found in the entire Caribbean
- In the Birds Head Seascape there 600
species of hard coral recorded
- 5 species of endangered sea turtles
- 57 species of Mantis Shrimp
- 13 species of Marine Mammals
- 27 species of endemic reef fish found
only in that area
Raja Ampat highlights
RAJA AMPAT
CONSERVATION
Sea biodiversity,
coastal ecology,
and local culture &
tradition the islands
offer more than just
amazing landscapes
to photograph
24 Equator - January 2011
Travel
Raja Ampat highlightss
HOW TO GET THERE
RED BIRD OF
PARADISE
BY AIR
If you are flying from Jakarta, you
can take a six hour flight to Sorong with
a stopover in Manado. Alternatively, you
can join a diving tour in Bali and fly from
there. You will find Sorong just like any
other city where you can get almost everything, although prices are higher due
to its remote location. Usually only divers
come to Raja Ampat, so you will not find
many other tourists around. Joining a tour
is the most common practice when visiting Raja Ampat. You do not have to be a
professional diver to join a tour, as tour
operators sell tours ranging for both for
divers and non-divers.
Flying from Jakarta/ Bali to Sorong,
with connecting flights in Makassar or
Manado are offered by Merpati, Express
Air, Batavia Air, Lion Air, Wings Air, Silk Air,
Garuda Indonesia & Pelita Air.
An Indonesian
endemic, the Red
Bird-of-paradise
is distributed to
lowland rainforests
of Waigeo and
Batanta islands of
West Papua
GET AROUND
Commonly, divers will join a tour and
live in a diving resort during their stay in
the Raja Ampat Islands. To access diving
spots, please contact and use the professional diving organizers, who can be conveniently found in Sorong. Before going
to a dive spot, you’ll need to obtain a permit from the local Papua police station.
You will need to bring your passport and
three copies of the passport page with
the Indonesian Visa. The diving organizers can help you with these formalities.
The marine
life diversity
in Irian Jaya is
considerably
greater than all
other areas in the
world - the cream
of the cream in
world diving
BEST SEASON
October or November is the best season for diving in Raja Ampat because the
ocean is typically flat and perfect for photography. Bring your underwater camera
and underwater photography know-how.
TO EAT
Dining services are provided by the
diving organizer, and range from an international menu to fresh traditional food
made by the local people. Naturally, there
will be a variety of seafood dishes. Do try
the fish soup. There’s a local specialty
called Sup Ikan Kuning (Yellow Fish Soup),
served with local spices.
MISOOL ECO
RESORT
Misool Eco Resort is
truly one of tha last
paradise on earth,
and underwater
heaven for the true
divers within the 200
square kilometer
Marine Protected
Area
DIVING
TIMOLOL CAVES
You’ll be amazed
by the caves in the
area, where you
can see paintings
of huge human
palms and animals
which were
painted by ancient
cave dwellers
SOUTH WAIGEO
For diving
enthusiasts
the favorite
destination is
usually South
Waigeo
Equator - January 2011 25
Embassy News
Conference of Serbian Ambassadors
in Belgrade
The Minister Vuk Jeremic opened the Ambassadors Conference
Serbian Ambassador to Indonesia, H.E. Mr. Zoran Kazazovic, with H.E. Mr. Semual Samson
Indonesian Ambassador H.E. Mr.
Semuel Samson has attend the Serbian
Ambassadors Conference in Belgrade, on
January 5, 2011. Serbian ambassadors from
all over the world gathered for a conference
organised by the Ministry of Foreign Affairs
of the Republic of Serbia. The two-day
Conference was officialy opened by the
Foreign Minister Vuk Jeremic and President
of the Republic of Serbia, H.E.. Boris Tadic.
Slovak Foreign Minister Mikulas Dzurinda
also has attend the Conference as a special
guest.
Jeremić told the diplomats that Serbia’s
foreign policy priorities in 2011 will remain
the same, and those are progress towards
the EU membership and a peaceful defense
of the country’s constitutional order.
OpeningtheAmbassadors’Conference,
Jeremić said that Europe is Serbia’s strategic
priority, adding that the country’s aim for
2011 is to receive a EU candidate status and
that the date for beginning of EU accession
negotiations be determined.
President Boris Tadić stated on his
speech that there is no better alternative
for Serbia than joining the EU, adding
that the country’s EU membership
would help overcome many historical
misunderstandings in the Western
Balkans.
The process of “Balkanization” is still
present in every country in the region, and
a “debalkanization of the Balkans” should
be carried out with reforms that would
not renounce the identity of any of those
countries, which is exactly what Serbia’s
goal is, said President Tadic.
All Serbian Ambassadors at the Conference in Belgrade
26 Equator - January 2011
Embassy News
Meeting with JAT officials
In aim of exploring the potential areas
of cooperation between Indonesian and
Serbia in order to carry out the task from
the three aspects of business, known as
TTI (Trade, Tourism & Investment), the
Indonesian Ambassador H.E. Mr. Semuel
Samson had a meeting and discussion
with the Chairman of Executive Board
of Jugoslav Airline Transport (JAT) Mr.
Vladimir Ognjenovic on January 18, 2011,
at the premises of JAT headquarters in
Belgrade.
According to Ambassador Semuel
Samson, the cooperation in the field of
air transportation between Indonesia
and Serbia is one of the key for success in
order to increase the rate of mobilization
of ITT.
Garuda Indonesia as the national
airline operator has rapidly increases
its development since removal of EU’s
flight ban, and since 2009 has conduct
five year expansion plan, known as
Quantum Leap. The target is to increase
the number of aviation fleet from 62 to
116 aircrafts. Also, as part this program,
Garuda Indonesia plans to expand the
number of passangers and the new
routes.
In regard of 33rd International Fair
of Tourism in Belgrade and increasing
the volume of tourist from Serbia
to Indonesia every year, the enforce
of economic expansion to Serbia,
Central and Eastern Europe, it is of
big importance of the role of Garuda
Indonesia. Expansion route to Serbia
has a strategic importance for both
countries in the future.
The opening
of painting
Sopot
Culture
CenterOgnjenovic
Indonesian Ambassador
with
Chairmanexhibition
of Executivein
Board
of JAT,
Mr. Vladimir
Discussion went in very positif atmosphere
Indonesian Ambassador with staff at the premises of Jugoslav Airline Transportation
Equator - January 2011 27
Embassy News
Presenting Credentials to the President
of the Republic of Serbia
Indonesian Ambassador to Serbia Semuel Samson has presented the Letter of Credentials to the President of the Republic of Serbia,
His Excellency Mr. Boris Tadić on January 21, 2011, in Belgrade. After the handing of the Credentials, the Indonesian Ambassador was
received by the Serbian President to discuss issues of mutual concern that should be reached in the future which has proceeded in a
very cordially sphere. After ceremony, the Ambassador has layed a wreath in Avala monument to honour the failed heroes for liberty.
The Guard of Honor of the Army of Serbia at the
arrival entrance
Ambassador companied with spouse and staff
Ambassador and staff before the Credential ceremony
Indonesian Ambassador H.E. Mr. Semuel Samson presenting the Letters of Credential
to the President of the Republic of Serbia, H.E. Mr. Boris Tadić
28 Equator - January 2011
Embassy News
Indonesian Ambassador H.E. Mr. Semuel Samson at the President’s Cabinet
Congratulations from the Chief of Protocol
Wreath laying at Avala monument
Cutting the ‘tumpeng’
Ambassador with Darmasiswa scholars
With the Embassy staff and their families
Equator - January 2011 29
Embassy News
Celebration of Saint Sava Day
In honouring the invitation of Serbian Orthodox Church on the ocassion of Saint Sava Day, the Indonesian Ambassador
H.E. Mr. Semuel Samson had the pleasure to attend the Divine Liturgy on January 27, 2011 at Saint Sava Memorial Cathedral in
Belgrade, served by Serbian Patriarch His Holiness Irinej. After the liturgy, the Ambassador was honoured to attend the solemn
luncheon with the highest officials of the Serbian Orthodox Church which was in very close and friendly atmosphere.
On the same day and occasion, on the invitation of Serbian Minister of Education Mr. Zarko Obradović, the Ambassador
has attended the festive ceremony in Sava Centar. The event was attended by the highest officials, dignitaries of traditional
churches and religious communities, ambassadors, deans, and public figures.
The ceremony was organized by the Serbian Ministry of
Education, and attended by Serbian President H.E. Mr. Boris
Tadić, Prime Minister Mirko Cvetković and Serbian Patriarch
Irinej.
The host of the ceremony, Serbian Education Minister Žarko
Obradović recalled that Saint Sava was and still the greatest
educator, and that Saint Sava has determined Serbian national
identity.
January 27 commemorates the death of St. Sava (1174-1236),
who was born as Rastko Nemanjić - the youngest son of Grand
Prince Stefan Nemanja, the first ruler of the Nemanjić dynasty.
Beside his role as educator, Saint Sava was the founder of the
Serbian Orthodox Church, its first patriarch, and the author of
the medieval Serbian state’s first constitution.
30 Equator - January 2011
Embassy News
Minister of Education of Serbia, Mr. Zarko Obradovic, with Indonesian Ambassador at the festive ceremony in Sava Centar
Festive
celebration
Sava Centar
celebrating
Sava Dayof Serbia
New Year’s
reception
at theatMinistry
of Foreign
Affairsthe
of Saint
the Republic
Equator - January 2011 31
Embassy News
Friendship football match between NAM
students and Nusantara Association
On January 28, 2011, in Belgrade, was held a friendship football match between members of “The World in Serbia” Scholarship
Fund for students from Non Aligened countries and members of Friedship Association of Indonesia and Serbia “Nusantara”. The
Indonesian Ambassador H.E. Mr. Semuel Samson has officialy opened the match which went in very friendly atmosphere. “The
World in Serbia” Scholarship Fund was build on the tradition of Yugoslav student exchange programs of the past that enabled
generations of future leaders from NAM member states to study in Serbia.
32 Equator - January 2011
Embassy News
Indonesian School in Belgrade launched
distance -learning program
The Indonesian School in Belgrade that
has been established in 1967, has started
from January 17, 2011, a new on-line study
program for all Indonesian pupils in the
region who are interested to follow the study
program from several subjects.
To this new program has applied 28
new pupils from Sofia (Bulgaria), Bucharest
(Romania), Budapest (Hungaria), Bratislava
(Slovak Republic), Prague (Czech Republic)
and Wien (Austria).
Today, there are fifteen Indonesian
schools registered in the world and three
among them are in Europe; Belgrade,
Moscow and The Hagues. Through the
Indonesian School in Belgrade has studied
many generations and many of them has
now become succesful people in their fields.
The Indonesian Embassy in Belgrade
believes this new program of studies will
increase in the future and gain more new
pupils from many other countries.
Teachers of the Indonesian school in Belgrade
Ambassador with teachers and students of Indonesian school
Equator - January 2011 33
Embassy News
Photo News
Meeting the Indonesian Ambassador to Austria in Wien, H.E. Mr. I Gusti Afung Wesaka Puja
Lunch with Serbian Ambassador to the Republic of Indonesia, H.E. Mr. Zoran Kazazović and his spouse
34 Equator - January 2011
Embassy News
Ambassador Semuel Samson at the Indonesian Night on the ocassion of Vakantiebeurs 2011 in Utrecht
Reception on the ocassion of National Day of Brazil in
Belgrade hosted by H.E. Mr. Alexandre Addor Neto
Reception celebrating the launch of the new premises of the
Chinese Embassy, hosted by H.E. Mr. Wei Jinghua
Receiving the Courtesy visit from Dean of Diplomatic Corps,
Ambassador of Guinea H. E. Mr. El hadj Mohamed Issiaga Kourouma
Equator - January 2011 35
Raja Ampat in West Papua, Indonesia
Wonderful
Indonesia 2011