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INDONESIAN  COMMERCIAL NEWSLETTER
       January 2008

List of Contents

FOCUS: REDUCING ENERGY DEPENDENCE ON FOSSIL FUEL        1

INDUSTRY PROFILE: BIOFUEL INDUSTRY DEVELOPMENT IN INDONESIA        10

COMPANY PROFILE: ETERINDO GROUP        46
  • Backgrounds        46
  • Chemical industry as locomotive        46

FINANCE:
BANKS PLEDGE RP 15 TRILLION IN LOAN FOR BIOFUEL PROJECTS UNTIL 2010        51
  • Rp 25 trillion needed to develop biofuel until 2010        51
  • Bank mandiri and BNI the largest        52
  • Bank disburse more credits for the agricultural sector        53
  • State banks account for 36.7% of credits for agricultural sector        55

INDUSTRY:
PALM OIL GAINS IMPORTANCE WITH THE SOARING PRICES OF CRUDE OIL        56
  • Indonesia expanding oil palm plantations        56
  • Production increasing        58
  • Price skyrocketing in 2007        60
  • Major oil palm plantation companies in Indonesia        63
  • Large Malaysian companies merged        64
  • Downstream palm oil industry not yet fully developed        65
  • Asian Agri invest US$ 7Large million for PKO factory        65
  • Development of palm oil based biofuel industry slow        66

TRANSPORTATION:
TRANSPORT FACILITY FOR CPO EXPORTS BOT ADEQUATELY AVAILABLE        68
  • Palm oil transport facilities built        68
  • Port for CPO industrial cluster to be built in Dumai        69
  • Government encourages development of commodity ports        70
  • Sea fleet in Indonesia controlled by foreign companies        70
  • Exporters in difficulties over obligation to use ships with double holds        71

CORPORATE NEWS IN BRIEF:
  • Ciputra Surya receives a loan of Rp 450 billion        72
  • Setdco to build oil and gas complex in Vladivostok        72
  • Bakrie to launch rights issue to acquire subsidiaries        72
  • Itochu to build 200 Km rail track in Central Kalimantan valued at US$ 1 billion        73
  • Chingluk takes over Ailing shoe making Firm        73
  • Pertamina to buy tangkers worth US$ 400 million        73
  • CNOOC sells tangguh stake to Talisman        74
  • State Banks set to back up PLN's crash program        74
  • Carrefour to open three new hypermarket outlets this year        74

CONOMIC NEWS IN BRIEF:
  • Government scraps import duty on soybean        75
  • Indonesia asks for gradual lifting of aviation ban by EU        75
  • Sharia Economy included in national agenda        75
  • Rice production falls short of target        76
  • Indonesia's coal exports predicted to reach 179 million tons        76
  • Government decides to import 110,000 tons of sugar this year        76

APPENDICES:
  • Directory of property and real estate companies in Indonesia        77

ECONOMIC INDICATOR:
  • Economic Indicators        80
  • Export and import        81
  • Gross Domestic Product        82
  • Oil Price and Foreign Exchange        83
  • The Indonesian Economic Trends        84
 
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