Embassy of India
India Indonesia Investment Forum (IIIF) organized in Banda Aceh 9th July 2018
Embassy of India in Jakarta along with the Policy Analysis and Development Agency (PADA) of the Ministry of Foreign Affairs of the Republic of Indonesia, and Provincial Government of Aceh & North Sumatra organized an India Indonesia Investment Forum at Hotel Hermes Palace in Banda Aceh on 9th July 2018.
2. IIIF explored the potential of cooperation and to enhance business connectivity between theProvinces in Sumatera Islands of Indonesia and Andaman and Nicobar Islands of India. The Indian delegation was led by H.E. Pradeep K Rawat, Ambassador of India to Indonesia and included officials of Andaman and Nicobar Administration and members companies of Andaman Chamber of Commerce representing sectors like energy, construction, trade in agro products and tourism. Indian companies like GVK Group, Apollo Hospitals and NIIT also made presentations on their capacities to execute projects in the airport Infrastructure, hospital and Healthcare, IT training.
3. The Indonesian delegation was led by Dr. Siswo Pramono, LL.M, Director General of PADA of Ministry of Foreign Affairs, who gave an overall perspective on strengthening island connectivity between India and Indonesia. Presentations from the Indonesian side were made by Chairman of Sabang Free Trade Zone, Regional Head of KADIN and Vice Chairman of Micro, Small & Medium Enterprises and Creative Economy of KADIN.
4. In his keynote speech in the forum, Representative of Provincial Secretary of Acehwelcomed the Indian companies to the region and gave them an overall outline on the potentials and opportunities for economic cooperation that can be developed between Aceh & North Sumatera and Andaman-Nicobar, namely tourism, especially cruise tourism and eco-tourism; air transport connectivity, through regular commercial flights from Indonesia-Port Blair; and sea transportation to facilitate trade between the two regions. He also underscored that development of basic infrastructure was a top priority for their government and the authorities would facilitate Indian investments in the region and trade relations with India.
5. Director of Tourism, Government of Andaman and Nicobar, in his presentation conveyed that Indian companies are exploring options to enhance elements of holistic development inAndaman and Nicobar Islands, including key infrastructure projects, digital connectivity, green energy, desalination plants, waste management, promotion of fisheries, and tourism-based projects. Aceh and North Sumatera provinces of Indonesia, on the other hand, offers tremendous potentials for cooperation. These provinces are rich in natural resources, such as minerals: oil, gas, coal; palm oil, rubber, betel nut, coconut, as well as sea and freshwater fish cultivation.
6. From preliminary research done by Policy Analysis and Development Agency (PADA) of the Ministry of Foreign Affairs of Indonesia and AL Muslim University of Bireuen Aceh, the potential and opportunities for economic cooperation that can be developed between Aceh & North Sumatera and Andaman-Nicobar, include: (1) tourism, especially cruise tourism and eco-tourism; (2) air transport connectivity, through regular commercial flights from Indonesia-Port Blair or via connecting flight in Singapore / Kuala Lumpur, or by charter flight; and (3) sea transportation in the form of RoRo vessel shipping to facilitate trade between the two regions (supply of commodity).
7. It may be recalled that during the official visit of the Prime Minister of India to Indonesia on 29-30 May 2018, President Joko Widodo, and PM Narendra Modi had underlined the importance of stronger connectivity, particularly on sea links, in order to facilitate economic cooperation and people-to-people contact between two maritime neighbours and comprehensive strategic partners. They had welcomed the plan to build connectivity between Andaman Nicobar and Aceh to unleash the economic potentials of both areas. The visit of the Indian delegation to Banda Aceh and the India Indonesia Investment Forum was guided by the shared vision of PM Modi and President Jokowi and is aimed to implement the understanding.
8. The Indian delegation is expected to travel to Sabangtomorrowand hold meetings with regional authorities to explore port related connectivity options.
9 July 2018