Jakarta,
June 28, 2013 (Antara) - Indonesia and Vietnam have used the state visit of
President Truong Tan Sang to Jakarta on June 27 and 28 as a momentum to
reaffirm the two countries' commitment to strengthen the bilateral
relations in trade and investment particularly.
The visit of President Truong Tan Sang, who was accompanied by First Lady Mai Tinh Hanh and a high-level delegation, was aimed at strengthening friendship and comprehensive cooperation with Indonesia - an important partner within the Association of South East Asian Nations (ASEAN) and in the Southeast Asian region in general.
The visit of President Truong Tan Sang, who was accompanied by First Lady Mai Tinh Hanh and a high-level delegation, was aimed at strengthening friendship and comprehensive cooperation with Indonesia - an important partner within the Association of South East Asian Nations (ASEAN) and in the Southeast Asian region in general.
Truong
Tan Sang's entourage included Vietnamese Deputy Prime Minister Hoang
Trung Hai, and Vietnamese Foreign Minister Pham Binh Minh and several
other high ranking officials.
"We agreed to realize strategic partnership that would bring real
benefit for the two countries and also for the region and the world," President Yudhoyono said in a joint press conference along with Vietnamese President Truong Tan Sang on June 27, 2013.
benefit for the two countries and also for the region and the world," President Yudhoyono said in a joint press conference along with Vietnamese President Truong Tan Sang on June 27, 2013.
The bilateral relations between the two countries have increased
faster after the two signed a strategic partnership agreement in 2003.
faster after the two signed a strategic partnership agreement in 2003.
"We agreed to increase trade. In 2012 the bilateral trade between
Indonesia and Vietnam was recorded at US$4.8 billion in 2012. We have been resolved to increase it to US$5 billion in 2015 and I even propose increasing it further to reach US$10 billion in 2018," Yudhoyono, who earlier on the day held a tete-a-tete meeting with his Vietnamese counterpart, said.
Indonesia and Vietnam was recorded at US$4.8 billion in 2012. We have been resolved to increase it to US$5 billion in 2015 and I even propose increasing it further to reach US$10 billion in 2018," Yudhoyono, who earlier on the day held a tete-a-tete meeting with his Vietnamese counterpart, said.
According to Yudhoyono, the two countries pledged to implement direct
trade and increase investment. Many Indonesian companies would invest in
Vietnam such as in infrastructure development, energy projects or coal
mining, he added.
"We also agreed to increase cooperation in foods such as rice
and agriculture," he said.
and agriculture," he said.
In the field of energy the two countries also agreed to play a
role. An Indonesian company, President Yudhoyono, said wished to build a coal-fired power plant in Vietnam.
role. An Indonesian company, President Yudhoyono, said wished to build a coal-fired power plant in Vietnam.
"In tourism we agreed to increase the cooperation. A lot of
opportunities are available for cooperation. In the maritime field, we can cooperate not only in the field of sea security but also fishery that would bring common benefit and at the same time create a cooperation framework for mutual benefit," he said.
opportunities are available for cooperation. In the maritime field, we can cooperate not only in the field of sea security but also fishery that would bring common benefit and at the same time create a cooperation framework for mutual benefit," he said.
Chairman
of the Indonesian Chamber of Commerce and Industry (Kadin) Suryo
Bambang Sulisto predicted the value of the bilateral trade between
Indonesia and Vietnam to increase by 20 percent in 2014 and to reach
US$10 billion in 2018.
"The partnership could be further intensified not only in trade but
also investment in order to achieve optimal results from the bilateral
economic cooperation," Bambang Sulisto said after attending the
Indonesian and Vietnamese Business Forum in Jakarta on June 28, 2013.
Indonesia and Vietnam have many similarities and could complement each
other as the two nations are currently striving for strong economic
growth by developing value-added industries and promoting investment, he
added.
After holding a business meeting with the Vietnamese president and his entourage in Jakarta, on June 28, Indonesian State Enterprises Minister (BUMN) Dahlan Iskan said at least eight Indonesian state enterprises have expressed interest in doing business in Vietnam by establishing cooperation with local companies or through direct investment.
After holding a business meeting with the Vietnamese president and his entourage in Jakarta, on June 28, Indonesian State Enterprises Minister (BUMN) Dahlan Iskan said at least eight Indonesian state enterprises have expressed interest in doing business in Vietnam by establishing cooperation with local companies or through direct investment.
The
eight state-owned companies are coal mining company PT Bukit Asam,
fertilizer company PT Pupuk Indonesia, telecommunication company PT
Telekomunikasi Indonesia, aircraft manufacturer PT Dirgantara Indonesia,
cement company PT Semen Indonesia, pharmaceutical company PT Kimia
Farma, logistics agency Perum Bulog and oil and gas company PT
Pertamina.
PT Bukit Asam will supply coal to Vietnam's power plants, and PT Kimia
Farma will establish cooperation with Vietnamese pharmaceutical
company, the minister said.
PT Telkom will join a Vietnamese telecommunication company in developing international-scale projects.
State-owned PT Semen Indonesia Tbk. (SMGR) planned to increase its
cement production capacity in Vietnam by expanding its investment and
building more cement plants in that country.
PT Semen Indonesia early in 2013 entered Vietnam by acquiring
around 70 percent of shares of Thang Long Cement Vietnam.
around 70 percent of shares of Thang Long Cement Vietnam.
To acquire the Thang Long shares PT Semen Indonesia invested
around Rp1.5 trillion. Currently, the production capacity of Thang Long cement factory reaches 2.3 million tons a year and they are mainly for meeting domestic needs in Vietnam.
around Rp1.5 trillion. Currently, the production capacity of Thang Long cement factory reaches 2.3 million tons a year and they are mainly for meeting domestic needs in Vietnam.
Meanwhile,
Cooperation between Bulog and Vietnam is necessary for Indonesia to
meet its rice demands in case of drought that could reduce the domestic
rice production.
Minister
Dahlan Iskan said he planned to visit Vietnam this year to learn the
business opportunities there. "First, it must be profitable. After the
signing of the MoUs, there will be a due diligence visit to Vietnam. If
it's beneficial, it will continue," the minister said.
According to Minister Dahlan Iskan, the Vietnamese president in the meeting also expressed his hope that PT Pertamina could establish business cooperation directly with Vietnam¿s National Oil Company (NOC) .
According to Minister Dahlan Iskan, the Vietnamese president in the meeting also expressed his hope that PT Pertamina could establish business cooperation directly with Vietnam¿s National Oil Company (NOC) .
The two countries signed a Memorandum of Understanding in the
Agricultural field on June 27, and a memorandum of understanding for cooperation in the fields of energy and mineral resources on the next day.
Agricultural field on June 27, and a memorandum of understanding for cooperation in the fields of energy and mineral resources on the next day.
"This will be an umbrella to follow up the meeting between the
President (Susilo Bambang Yudhoyono) and the Vietnamese president yesterday (on) collaboration in the fields of energy, mineral resources and coal," Indonesian Deputy Minister of Energy and Mineral Resources Susilo Siswoutomo said after signing the MOU with his Vietnamese counterpart, Nguyen Cam Tu on June 28.
President (Susilo Bambang Yudhoyono) and the Vietnamese president yesterday (on) collaboration in the fields of energy, mineral resources and coal," Indonesian Deputy Minister of Energy and Mineral Resources Susilo Siswoutomo said after signing the MOU with his Vietnamese counterpart, Nguyen Cam Tu on June 28.
He said Vietnam wished to learn from Indonesia about mineral and
Energy exploration especially coal exploration.
Energy exploration especially coal exploration.
He said it would take time for the implementation of the MOU but
cooperation programs in human resource development could be immediately carried out.
cooperation programs in human resource development could be immediately carried out.
Besides
focusing on bilateral economic relations, President Yudhoyono and his
Vietnamese counterpart also discussed a number of political and security
issues.
"We have discussed situation in East Sea or South China Sea with
an aim of assuring peaceful solutions of all problems in the region according to international law with the spirit of finding peaceful resolution," President Susilo Bambang Yudhoyono said in the joint press conference.
an aim of assuring peaceful solutions of all problems in the region according to international law with the spirit of finding peaceful resolution," President Susilo Bambang Yudhoyono said in the joint press conference.
He said Indonesia and Vietnam had common view with regard to code of ethics in South china Sea.
"We also wish what has been agreed between ASEAN and China could
be continued to move from declaration of conduct towards code of conduct which will certainly be good for all countries connected with South China Sea," he said.
be continued to move from declaration of conduct towards code of conduct which will certainly be good for all countries connected with South China Sea," he said.
President Yudhoyono said Indonesia and Vietnam also agreed
to support each other with regard to the two countries' nominations for various positions in the UN, including regarding membership in the UN Security Council.
to support each other with regard to the two countries' nominations for various positions in the UN, including regarding membership in the UN Security Council.
The two leaders also witnessed the signing of an agreement on
extradition treaty conducted by Indonesian Minister of Law and Human
Rights Amir Syamsudin and Vietnamese Foreign Minister Pham Binh Minh at
the Merdeka Palace in Jakarta on June 27, 2013.
The two nations also signed a mutual legal assistance agreement
related to criminal issues.
related to criminal issues.
The two leaders in a joint press statement said the signing of the
two agreements in the legal field showed the increasingly closer relations between the two countries.
two agreements in the legal field showed the increasingly closer relations between the two countries.
"Because we are aware that both Vietnam and Indonesia are looking
forward to cooperating sincerely in fighting crimes and of course, in upholding justice both in the two nations and this region," President Yudhoyono said.
forward to cooperating sincerely in fighting crimes and of course, in upholding justice both in the two nations and this region," President Yudhoyono said.
Meanwhile, President Truong Tan Sang said the signing of the agreements
sent a strong signal for the two nations to always enhance their
cooperation in all fields.
"This affirms the clear wishes of the two countries to step up
cooperation," he said.
cooperation," he said.
The two nations also intended to upgrade the status of the bilateral
relations to strategic partnership to lay a firm basis for closer
cooperation between Indonesia and Vietnam, fellow member countries of
ASEAN.
Last
but not least, they agreed to establish a Vietnam-Indonesia Friendship
Association to further strengthen people-to-people contacts with a focus
on educating the younger generation about the two countries'
traditional relations. ***3***
(f001/b003/B003)
(T.F001/A/F. Assegaf/Bustanuddin) 28-06-2013 22:58:47
(f001/b003/B003)
(T.F001/A/F. Assegaf/Bustanuddin) 28-06-2013 22:58:47
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