Investment Opportunities In East Java Province - Indonesia · East Java Province has very important...
Transcript of Investment Opportunities In East Java Province - Indonesia · East Java Province has very important...
Investment Opportunities In East Java Province - Indonesia
Potentials and Attractiveness
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Here is East Java Location !
East Java
EAST JAVA PROVINCIAL GOVERNMENT
Pahlawan Street 110 Surabaya
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INDONESIA
- Distance Seoul to Surabaya ± 5.200 km
- Distance Surabaya – Jakarta ±700 km and
Surabaya – Denpasar ± 300 km
- 6 times/day flight frequencies, Seoul-Surabaya
Flight take 6-7 hours via Jakarta/Denpasar/
Singapore.
- 2 hours time difference between East Java -
Indonesia and Seoul - South Korea;
Important Point Before
Making Investment in East Java
1. East Java at Glance 2. Economic Conditions 3. Infrastructure 4. Natural Resources 5. Potentials Market 6. Investment Climate 7. Investment Growth 8. Investment Projects
EAST JAVA PROVINCIAL GOVERNMENT
Pahlawan Street 110 Surabaya
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EAST JAVA AT GLANCE
Geographic : Land : 47,154 Km2 Sea : 110,000 Km2 Coastal : 1, 902 Km Island : 60 Region : 38 Capital : Surabaya
Year 2010 : Population : 37,476,011 Peoples Density : 803 peoples/km2 Growth : 0,49% p/a Poor : 5,356,300 people (14.23 %)
Central Java
Bali
Surabaya is the capital city of East Java Province East Java Province has very important role as the
main gate for distribution to Eastern Part of Indonesia i.e.: Papua, Kalimantan, Sulawesi etc.
29 Regencies and 9 Cities Land usage distribution: Agriculture: Rice field (26%) and Dry land (24%); Plantation (4 %), Forestry (26 %); Pond/Pool (2 %); Residential/Rural (12%); Others (6% ).
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EAST JAVA PROVINCIAL GOVERNMENT
Pahlawan Street 110 Surabaya
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East Java Macro Economic Indicators
2009 2010 2011
Smt. I Target
GRDP Growth (National)
5.01% 6.68% 7.12% 7.30%
(4.55%) (6.10%) (6.50%) (6.80%)
GRDP in US.$ 78 Billion 91 Billion 51 Billion 100 Billion
GRDP per capita in US.$ 2,700 3,140 3,500 3,700
Inflation (Y on Y) (National)
3.62%
6.96%
4.73% (4.79%)
6,5 %
ECONOMIC CONDITIONS 2
EAST JAVA PROVINCIAL GOVERNMENT
Pahlawan Street 110 Surabaya
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0
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3,926,92
3,8 2,73 4,25 5,58
12,98
5,3 5,762,13
9,18
4,356,43 6,64
10,67 10,077,27
4,34
Tahun 2009
Tahun 2010
Year 2009 Year 2010
Jakarta : 16.20 % East Java : 14.80 % West Java : 14.30 % Central Java : 8.40 %
Ec. Growth
Smt-I 2011
7.12 %
Economic Structure & Contribution to National GDP
GDP Contribution of the Island of Java (Smt 1 Year 2011).
Agriculture
Electric, gas & Dringking water
Transportation & Communication
Mining & Extraction
Construction
Finance, Rent etc
Manufacturing Industry
Trading, Hotel & Restaurant
Other Services
st
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Pahlawan Street 110 Surabaya
Source of Statistics Year 2010
38,73 % 10,25
Billion US$ 2009 14,22
Billion US$ 2010
28,21 % 9,57
Billion US$ 12,77
Billion US$ 2009 2010
41,16 % 11,32
Billion US$ 15,98
Billion US$ 2010 2009
36,83 % 9,04
Billion US$ 12,37
Billion US$ 2010 2009
East Java Export
East Java Import
East Java Non Oil & Natural Gas Export
East Java Non Oil & Natural Gas Import
28% 26%
16%
7%
6% 4% 4% 4% 3% 2%
Molasses Proceccing
Crude Oil
Animal Feed
Palm Oil
Basic Chemical
Other Chemical
Wood Proceccing
Food & Drinks
Textil
Rubber Proceccing
Export
3.91 % 802
Million US$
488 Million US$
2010 2011*
7.14 % 1.12
Billion US$ 1.04
Billion US$ 2011* 2010
Export
Import
*) 1 Semester st
EAST JAVA PROVINCIAL GOVERNMENT
Pahlawan Street 110 Surabaya
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EAST JAVA PROVINCIAL GOVERNMENT
Pahlawan Street 110 Surabaya
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Artery/Toll Road
North Route: Tuban-Lamongan-Surabaya (218 km)
Centre Route: Ngawi–Jombang–Surabaya (231 km)
South Route: Pacitan–Malang-Banyuwangi (618 km)
Train
Departure Station : 29 Station
Length of rail track : 895.750 km
Airport
International Airport : Juanda, Surabaya
Cargo capacity: 152 million tons
Domestic Airport : Abdul Rachman Shaleh, Malang
Minakjinggo, Banyuwangi
Trunojoyo, Sumenep
Seaport: International Seaport : Tanjung Perak , Surabaya (35 million TEUS power) Domestic Seaport : Tanjung Wangi- Banyuwangi , Tanjung Tembaga, Probolinggo; and 8 more. West Navigation Channel : +25 mil lenght, 100 m width, - 8,5 depth
Industrial Estate
1. PIER , Pasuruan (200 Ha)
2. Ngoro Industrial Park (200 Ha)
3. Gresik Industrial Estate (30 Ha)
4. Maspion Industrial Estate (70 Ha)
5. Lamongan Integrated Shorebase
(350 Ha)
Energy
Electricity Power : + 2,100 MW Year 2011
+ 2,750 MW Year 2012
+ 3,500 MW Year 2013
Telecommunication
Excellent cable/wireless network for
international and regional communication
Water Resources
Available from Brantas River Basin &
Bengawan Solo River Basin
Gas Total Need : 1,000 mm ScFD Availability : 489 mm ScFD
Hotel & Hospital in Surabaya International standard hotels in Surabaya : 7 hotels (5 Star) 5 hotels (4 Star) 3 MICE to meeting, incentive, conference and
exhibition. International standard hospital in Surabaya :
6 hospitals
EAST JAVA PROVINCIAL GOVERNMENT
Pahlawan Street 110 Surabaya
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Rice 10.5 million tonne/year
Corn 57.3 million tonne /year
Cassava 2.7 million tonne /year
Coffee 97,940 tonne /year
Sugar 385 million tonne /year
Cocoa 1,211 tonne /year
Seaweed 218,704 tonne Location : Sumenep
Tuna Fish 3,337 tonne Location : Banyuwangi, Malang, Trenggalek
Cakalang Fish 5,158 tonne Location : Trenggalek, Jember, Malang, Blitar
Kakap 1,498 tonne Location : Gresik, Sumenep, Probolinggo
Windu Shrimp 1,863 tonne Location : Sampang
Layur Fish 3,959 tonne Location : Gresik, Sumenep, Probolinggo
NATURAL RESOURCES 4
EAST JAVA PROVINCIAL GOVERNMENT
Pahlawan Street 110 Surabaya
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12 million tonnes
ONYX
1.7 billion tonnes
DOLOMITE
531 million tonnes
MARBLE
Baluran forest, Banyuwangi
Majapahit, Mojokerto
Madakaripura waterfall-
Probolinggo
Bromo, Probolinggo
Plengkung, Banyuwangi
Gong Cave, Pacitan
EAST JAVA PROVINCIAL GOVERNMENT
Pahlawan Street 110 Surabaya
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POTENTIALS MARKET
EAST JAVA PROVINCIAL GOVERNMENT
Pahlawan Street 110 Surabaya
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Potential Market: Salt, dairy milk, livestock
Field Business Sector: Agriculture; Livestock; Marine and Fisheries; Construction; Manufacture; Trade and Services.
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Satisfied Investment License Service
Availability of Infrastructure and its Development
Security and Pleasant Region
Availability of Land
Availability of Productive Labour
High Economic Performance
Availability of Raw Material
Government Guarantee
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EAST JAVA PROVINCIAL GOVERNMENT
Pahlawan Street 110 Surabaya
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East Java Government Efforts to enhance investment climate :
1. One stop License provide easy, quick and cheaper service;
2. Availability of skillful, productive and democratic labour;
3. Facilitation of land provision;
4. Maintaining sufficiency of electricity capacity.
EAST JAVA PROVINCIAL GOVERNMENT
Pahlawan Street 110 Surabaya
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Labour Wage Comparation East Java, West Java & Jakarta
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Pahlawan Street 110 Surabaya
Province Minimum Wage (US.$/month)
2009 2010 2011
East Java 108 112 123
West Java 70 130 139
Jakarta 119 124 143
Land Price of Industrial Estate East Java, West Java and Jakarta
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East Java West Java and Jakarta
Indutrial Estate Price
(US.$/m2/month) Industrial Estate JADEBOTABEK
Price (US.$/m2/month)
1. SIER (occupied) 30 – 170 1. Jakarta
139 – 195
2. PIER 47 – 50 2. Depok
3. Ngoro 50 3. Bogor
4. KIG 94 – 167 4. Tanggerang
5. Maspion 77 – 111 5. Bekasi
EAST JAVA PROVINCIAL GOVERNMENT
Pahlawan Street 110 Surabaya
Total Realization in 1 Semester 2011 compared to 2010 Principle licence : 58 % Realization : 43 %
2008 2009 2010 2011 (Smt I)
DDI 19.91 25.41 41.01 6.57
FDI 23.18 14.05 18.45 27.94
TOTAL 43.09 39.46 59.46 34.51
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30
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50
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Ru
pia
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Investment License
2008 2009 2010 2011
Regional Invest 27.19 38.77 56.26 14.01
DDI 2.78 4.29 9.59 12.62
FDI 4.12 3.8 16.73 8.82
TOTAL 34.09 46.86 82.58 35.45
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Realization
INVESTMENT GROWTH
st
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EAST JAVA PROVINCIAL GOVERNMENT
Pahlawan Street 110 Surabaya
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Interested Business Field Interested Location
Year Project Value
(USD Thousand)
Man Power
Ind (People)
Foreign (People)
1967 – 2005 1,001 34,095,691 344,753 8,659
2006 81 1,447,088 18,789 157
2007 84 851,292 18,038 9
2008 93 2,585,906 40,293 5
2009 96 1,561,787 21,528 -
2010 114 2,053,716 27,922 34
June 2011 56 3,104,418 11,594 3
Total 1,525 45,699,898 482,917 8,867
Performance of Foreign Investment 1967 – June 2011
EAST JAVA PROVINCIAL GOVERNMENT
Pahlawan Street 110 Surabaya
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49%
14%
11%
7%
4%
2% 2%
2% 2%
1%
6%
Chemical & Pharmaceutical Industry
Electricity, Gas & Water
Food Industry
Metal Industries, Machinery & Electrical
construction
Textile Industry
Four Wheel Motor Vehicle Industry
Non-Metal Minerals Industry
Housing, Office & Industrial Park
Food Crops & Plantation
Others
Surabaya 9% Sidoarjo
5%
Gresik 15%
Pasuruan 6%
Mojokerto 3%
Malang 2%
Tuban 14%
Probolinggo 21%
Banyuwangi 2%
Jombang 2%
Others 21%
NO STATE INVESTMENT (US$ Billion)
PROJECT
1 England 7.39 64
2 RRC 6.21 187
3 Singapore 4.92 154
4 Australia 2.45 40
5 Japan 2.38 142
6 Saudi Arabia 1.57 3
7 South Korea 1.51 205
8 USA 1.32 53
9 Malaysia 1.03 48
10 Netherlands 0.94 58
11 Others 15.44 549
Total 45.70
1,525
EAST JAVA PROVINCIAL GOVERNMENT
Pahlawan Street 110 Surabaya
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England 16%
RRC 14%
Singapore 11%
Australia 6%
Japan 5%
Saudi Arabia 4% South Korea
3%
USA 3%
Malaysia 2%
Netherlands 2%
Others 34%
South Korea Company in East Java
LICENCE NO.
PROJECT INVESTMENT VALUE MAN POWER
PRINCIPAL LICENCE (IP) 205 1.5 Billion US.$ -
FIX BUSSINESS LICENCE (IUT) 70 690.7 Million US.$ 16.706 People
Interested Bussiness
NO SECTOR FIELD OF BUSSINESS
1 Primary Chicken farms, vegetable and fruits seedling
2 Secondary Food industry, textile, plastic, wood, metal and chemical.
3 Tertiary Trade and other services
Interested location : Surabaya, Sidoarjo, Gresik and Pasuruan.
EAST JAVA PROVINCIAL GOVERNMENT
Pahlawan Street 110 Surabaya
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1. Elevated Railways System Project
2. Legundi – Bunder Toll Road Project
3. Sendang Biru Port Development
4. Tanjung Tembaga Port Development
1. Industrial Estate Development
2. Terminal of Wood Processing & Raw Material
3. Hazardous Industrial Waste Treatment
Facilities
4. Integrated Garbages Treatment Site
8 INVESTMENT PROJECTS
EAST JAVA PROVINCIAL GOVERNMENT
Pahlawan Street 110 Surabaya
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1. Dairy Milk Industry;
2. Cassava Flour Industry;
3. Corn flour Industry;
4. New Sugar Factory Establisment;
1. Carrier Ship Facilitation
2. Lobster Nursery
3. Shrimp Cultivation
4. Grouper Fish Cultivation
5. Seaweed Cultivation
EAST JAVA PROVINCIAL GOVERNMENT
Pahlawan Street 110 Surabaya
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1. Marble Industry
2. Dolomite Mining Business
3. Salt Procesing Industry
1. Amuzement Park, Kamal Madura
2. Touris Train, Batu-Malang
EAST JAVA PROVINCIAL GOVERNMENT
Pahlawan Street 110 Surabaya
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