Indonesia-India Company Signs Cooperation

New Delhi (ANTARA) - Indonesia and India Company signed 18 memoranda of understanding with a total value of 15.12 billion U.S. dollars (U.S.) for investment and development projects in various fields.
The signing was done after the business forum which was attended by President Susilo Bambang Yudhoyono and about 500 Indian businessmen in the Durbar Hall, Hotel Taj Palace, New Delhi, on Tuesday.
A total of 18 memoranda of understanding signed 15.12 billion U.S. dollars worth of cover critical areas such as infrastructure including the construction of railways, airports, and power generation, shipbuilding, information technology, plant fertilizer and metal industries, as well as cooperation formation of special economic zones.
Indian companies involved in the memorandum of understanding that include GVK India, Tata Power, Reliance, ICVL, Adani Group, Trimex Group, Pipavav Shipyars. While companies from Indonesia, among others, PT Bukit Asam, PT Pupuk Sriwijaya, PT Angkasa Pura I, PT Multipolar, PT PAL, PT PLN, PT Mega Urip Enchantment, and PT Eastern Infrastructure International.
The MoU also involve local government at the provincial and regency / city such as the Provincial Government of South Sumatra, Jambi, East Kalimantan, and the district government Kendal and Buleleng.
According to the Head of Investment Coordinating Board (BKPM) Gita Wirjawan, the memorandum of understanding that is certainly and immediately implemented because the previous company from India has been conducting surveys in Indonesia.
"All will be followed by the signing of the joint venture agreement. They are actually a few months work, they have to the office of regent, governor, BKPM, and other ministries. It's very real and will be actualized," said Gita.
The cooperation will be implemented in the region who have been less untouched by the investment. Most of the memorandum of understanding was signed, including the development of infrastructure and strategic industries that located outside Java.
The biggest field of cooperation with Indian companies, according to the Gita, is in the field of infrastructure like construction of ports and railroads.
About 60 to 70 percent of the total value amounting to 15.1 billion, a Memorandum of Understanding U.S. dollars, said Gita, comes from the four major Indian companies, namely Ambani Group, Tata Group, Trimex Group, and the GVK Group.
According to Gita, Ambani Group to invest in infrastructure and entertainment, GVK offers infrastructure development including construction of health centers for free for the poorest, Trimex offer the smelter and the construction of railroads, while the Tata Group in the field of education, automotive, and infrastructure development.
Meanwhile, Minister of Industry, MS Hidayat said the President specifically requested that Indonesia has worked with Indian automotive companies such as the Tata Group for the procurement of freight cars between villages and districts outside Java.
"There is a special request from the President, he gave particular attention to the production of automotive transportation vehicles, so that we want to talk about," he said.
The price of public transport vehicles in India is quite cheap around Rp60 million per unit and do not use premium as fuel. Automotive companies in India too, according to Hidayat, showed interest to build a manufacturing plant in Indonesia