ID :
70618
Thu, 07/16/2009 - 10:19
Auther :
Shortlink :
https://www.oananews.org//node/70618
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TRADE MINISTER ENCOURAGES BOOST IN EXPORT OF CERAMIC PRODUCTS
Jakarta, July 15 (ANTARA) - Trade minister Mari Elka Pangestu said the government encouraged to boost the export of ceramic products particularly those of high quality.
In terms of volume it is impossible for the country to compete with products from China but in terms of quality Indonesia could compete, she said when inspecting one of PT Arwana Cintramulia Tbk's ceramic plants in Cikande, Banten, on Wednesday.
The minister said the quality of Indonesian ceramics had been recognized by the international community referring to the presence of ceramic tableware producer from Ireland Royal Doulton in the country. She said this happened because Indonesian workers were well known for their skills in painting on ceramic products.
"It takes three years for workers in that country to be able to paint on ceramics with quality as good as what they are expecting. Indonesian workers only need six months to do it," she said.
The minister admitted that the ceramic industry was one of the sectors that was able to weather the crisis. In view of that she hoped local industries could boost their exports as well as dominate the domestic market.
According to the Central Bureau of Statistics the value of Indonesian exports of ceramic products rose at an average 2.54 percent a year during 2004-2008 but the volume dropped 8.17 percent.
The value of ceramic exports in 2008 reached US$274.9 million rising 2.5 percent compared to last year.
The president director of PT Arwana, Tandean Rustandy, meanwhile said he hoped banks would reduce their lending rate to around 10 percent following after Bank Indonesia recently cut its reference rate to 6.75 percent.
The general chairman of the Association of Indonesian Ceramic Miscelaneous Industry, Achmad Widjaya, shared the view saying the reduction of the rate to even 12 percent was enough to help industries expand. Under the current rate of around 15 percent indusries would not conduct much expansion.
"The banks should reduce their lending rate so that industries would not be stagnant," he said.
On the same occasion assistant vice president corporate banking of PT Bank Negara Indonesia Tbk, Djoko Setiyadi, said that cost of fund and corporate risk analysis were among factors that could affect decision to cut rates.
"The BI rate does not affect banking rates much. But BNI plans to cut its rate by 0.5 to 1.0 percent in the third quarter next month," he said.
One of the problems faced by ceramic industries now was gas supply from PT Perusahaan Gas Negara as well as its price which was set in the US dollar.
"The price of gas now is US$5 per million metric british thermal unit (MMBTU) including toll fees which is higher than the price in neighbouring countries which is only US$3.8 per MMBTU," Achmad said.
Achmad said the ceramic industry needs up to 45 million MMBTU a year which is smaller than that for fertilizer and steel industries.
Despite that he hoped the government would support the development of the ceramic industry by setting the price of gas in the rupiah.
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In terms of volume it is impossible for the country to compete with products from China but in terms of quality Indonesia could compete, she said when inspecting one of PT Arwana Cintramulia Tbk's ceramic plants in Cikande, Banten, on Wednesday.
The minister said the quality of Indonesian ceramics had been recognized by the international community referring to the presence of ceramic tableware producer from Ireland Royal Doulton in the country. She said this happened because Indonesian workers were well known for their skills in painting on ceramic products.
"It takes three years for workers in that country to be able to paint on ceramics with quality as good as what they are expecting. Indonesian workers only need six months to do it," she said.
The minister admitted that the ceramic industry was one of the sectors that was able to weather the crisis. In view of that she hoped local industries could boost their exports as well as dominate the domestic market.
According to the Central Bureau of Statistics the value of Indonesian exports of ceramic products rose at an average 2.54 percent a year during 2004-2008 but the volume dropped 8.17 percent.
The value of ceramic exports in 2008 reached US$274.9 million rising 2.5 percent compared to last year.
The president director of PT Arwana, Tandean Rustandy, meanwhile said he hoped banks would reduce their lending rate to around 10 percent following after Bank Indonesia recently cut its reference rate to 6.75 percent.
The general chairman of the Association of Indonesian Ceramic Miscelaneous Industry, Achmad Widjaya, shared the view saying the reduction of the rate to even 12 percent was enough to help industries expand. Under the current rate of around 15 percent indusries would not conduct much expansion.
"The banks should reduce their lending rate so that industries would not be stagnant," he said.
On the same occasion assistant vice president corporate banking of PT Bank Negara Indonesia Tbk, Djoko Setiyadi, said that cost of fund and corporate risk analysis were among factors that could affect decision to cut rates.
"The BI rate does not affect banking rates much. But BNI plans to cut its rate by 0.5 to 1.0 percent in the third quarter next month," he said.
One of the problems faced by ceramic industries now was gas supply from PT Perusahaan Gas Negara as well as its price which was set in the US dollar.
"The price of gas now is US$5 per million metric british thermal unit (MMBTU) including toll fees which is higher than the price in neighbouring countries which is only US$3.8 per MMBTU," Achmad said.
Achmad said the ceramic industry needs up to 45 million MMBTU a year which is smaller than that for fertilizer and steel industries.
Despite that he hoped the government would support the development of the ceramic industry by setting the price of gas in the rupiah.
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