Minister of Economic Affairs Mika Lintilä visiting Indonesia
Minister of Economic Affairs Mika Lintilä is heading a Team Finland visit to Jakarta, Indonesia, on 5–6 June 2017. The business delegation accompanying the minister was assembled by Finpro and includes companies in the energy, bioeconomy, cleantech and digitalisation sectors. The aims of the visit are to promote Finnish exports, further develop existing cooperation and open the way for new partnerships.
During the visit, Minister of Economic Affairs Lintilä will meet various Indonesian government ministers and the Governor of Jakarta. The companies in the delegation will also meet representatives of Indonesian state-owned companies and private sector companies.
The second meeting of the Indonesia-Finland Working Group on Energy Cooperation, involving Finland’s Ministry of Economic Affairs and Employment and Indonesia’s Ministry of Energy and Mineral Resources, will also be held in connection with the visit. The Working Group will put into effect the Memorandum of Understanding on energy cooperation between Finland and Indonesia, which was signed during the visit by President of the Republic Sauli Niinistö to Indonesia in November 2015. The aim of the Working Group is to promote business partnerships between Finland and Indonesia and marketing opportunities for Finnish companies in the Indonesian energy sector.
Until recently, trade between Finland and Indonesia was growing strongly, reaching about half a billion euros in value. However, 2016 saw a fall in goods exports, which decreased to less than half of their previous year’s level. Exports in total were down to EUR 156 million. Imports also declined, to EUR 113 million, representing a year-on-year decrease of 19 per cent. The sharp fall in exports was possibly a result, in part, of the timing of deliveries, because capital goods such as machinery and equipment comprise a significant proportion of Finnish exports. In addition, some Finnish exports to Indonesia travel via other countries, such as Singapore, and do not show up in the Indonesian trade statistics. Finland’s exports to Indonesia in the early part of 2017 have begun to grow again. It is estimated that, in all, there are some 20 Finnish companies operating in Indonesia.
The Indonesian economy is currently growing at an annual rate of more than five per cent. The number of consumers is expected to more than double by 2030. As a major economic force in Southeast Asia, Indonesia offers many opportunities for Finnish companies, especially in the energy sector, infrastructure development, the bioeconomy and circular economy. One of the priority areas of the Indonesian Government is the development of education and health care.
Companies and other delegation participants: Abloy Asia, AW-Energy, CS Control Software, Ensto, Finnfund, Finnvera, Fortum, Handelsbanken, Outotec, Saalasti, Satel, SCS Consulting, Vaisala, Valmet, WOIMA Finland and Wärtsilä.
Tuuli-Maaria Aalto, Adviser to the Minister of Economic Affairs, tel. +358 50 431 7529, Mari Hakkarainen, Ministerial Adviser, tel. +358 50 434 4933.