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Tag: Indonesia

  • Garuda Indonesia launches re-operations of Singapore-Medan flight

    Garuda Indonesia launches re-operations of Singapore-Medan flight

    Indonesia’s national airline, Garuda Indonesia, today launched the re-operation of a daily flight between Singapore and Medan. The flight reopening is in line with the airline’s future expansion plan, and the continuously commitment as the flag-carrier to help boost Indonesia’s economic, business, and tourism growth, as well as part of its effort to further strengthen the backbone of its connectivity in Southeast Asia region in line with the Open Sky policy.

    The relaunches ceremony was located at the Changi International Airport, and proudly unveiled by Indonesian Minister of Tourism Mr Arief Yahya, President & CEO Garuda Indonesia M. Arif Wibowo, Indonesian Ambassador for Singapore H.E. Ngurah Swanjaya, VP Airline Development Changi Airport Group Damon Wong, along with other officials of Garuda Indonesia Board of Director and Tourism Ministry of Indonesia.

    President & CEO Garuda Indonesia M. Arif Wibowo stated that aside from the airline’s expansion program, the reoperation of the flight is also a commitment to support Indonesian government program in boosting the Top 10 Priority Destinations in which one of them is Lake Toba.

    “We believe this new service will stimulate growth of business and trade in the region, more so as Medan is strategically located as the gateway to Sumatera and the rest of Indonesia’s western regions. The new service will offer passengers a wider choice of destinations as well as greater flexibility and convenience when travelling between Singapore and cities in Sumatera, such as Palembang, Banda Aceh, Sabang, Lheuksmawe, Gunung Sitoli, and Pinangsori,” he added.

    Apart from business and leisure travel, many visitors from Singapore come to Medan as the city is quite well known for its vibrant mix of cultures and reputation as a culinary paradise as well as popular tourism attractions.

    Commenting on the airline’s strategic initiative, Indonesian Minister of Tourism Arief Yahya explained that Singapore is considered as an international transportation hub, as well as the tourism hub for Indonesia. Furthermore, the Minister also promotes Lake Toba, one of the Top 10 Priority Destinations in Indonesia.

    “Toba is the largest and deepest volcanic lake in the world. Lake Toba is a giant caldera, with crater formed by the eruption of a super volcano 74,000 years ago. Experts believe that huge explosion of Toba volcano was the largest in the last 2 million years, and had triggered a dramatic volcanic storm. As an attraction, Lake Toba is a very distinctive, world-class natural landscape,” he added.

    The Medan-bound service will run daily and will be operated by Garuda’s Boeing 738 aircraft with a two-class cabin configuration featuring its globally praised Business Class service concept and the World’s Best Economy Class (Skytrax Global Airline Awards 2013).

    The service will depart from Changi Airport at 11.15am and arrive at Kualanamu International Airport at 11.45am local time. The return flights to Singapore will depart Kualanamu International Airport at 13.30pm and arrive at Changi Airport at 16.00pm local time.

    Garuda Indonesia had also launched the Wonderful Indonesia Travel Pass last January in an effort to promote Indonesia’s tourist destinations beyond its main hub, as well as to boost travel, by making travelling within Indonesia a truly affordable and seamless experience.

    The launch of this service is part of Garuda Indonesia’s 50th Anniversary in Singapore. The airline’s presence in Singapore, for over 50 years, marks Singapore not only as one of the airline’s most important markets, but also as a symbol of an even better relationship between the two countries in the next fifty years. Ever since the first day of its consecutive operations in Singapore 50 years ago, the airline has grown considerably and transformed into one of Asia’s most successful airlines.

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  • Charoen welcomes Salim Group into poultry feed business

    Charoen welcomes Salim Group into poultry feed business

    Salim Group’s decision to enter the poultry feed business in Indonesia in a bid to expand has yet to deter publicly listed poultry firm Charoen Pokphand Indonesia — whom currently holds 34 percent of the market share.

    Charoen Indonesia voiced optimism that its parent company, Charoen Pokhand Group will support the company, especially in terms of technology. The Thailand-based conglomerate is currently one of the biggest poultry business players in the world.

    “We have not prepared any special strategy to anticipate their entrance into the market. We welcome newcomers in the competition,” said Charoen Pokphand Indonesia president Director Tjiu Thomas Effendy on Wednesday.

    In December 2015, Salim Group purchased a controlling stake in Malaysia-based poultry firm CAB Cakaran Bhd. The conglomerate, through its shell company Plant Wealth Holdings Ltd, took 11.05 percent of shares in Cakaran.

    It plans to form a joint-venture in Indonesia this year. “Our Malaysian partner will do the technology transfer, while Indofood will support the operations,” Salim Group Chairman Anthoni Salim told thejakartapost.com recently.

    While Charoen is strong in poultry feed and day-old chicks, its poultry-based food business is low. This opens a door for Salim, as the big player in food industry, to enter especially as Salim has 35.8 percent shares in Fast Food Indonesia, the license-holder for the Kentucky Fried Chicken franchise in Indonesia.

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  • Garuda re-exploring plans for flights to US in 2017

    Garuda re-exploring plans for flights to US in 2017

    Garuda Indonesia plans to re-explore the feasibility of starting flights to the United States in 2017 if the national flag carrier passes Category 1 test of safety and security standards as mandated by the Federal Aviation Administration (FAA).

    “Next year, we will try and clear this test as it is part of our five year plan, or this may be achieved even earlier,” the Garuda Indonesia President Director, M Arif Wibowo, said here on Wednesday.

    He noted that 400 thousand passengers travel from the US to Indonesia every year.

    The cities which receive maximum visitors are Los Angeles and New York, he added.

    “The number of potential passengers departing from Los Angeles is 120 thousand, while many more depart from New York,” Arif said.

    The flights will transit through Narita, Japan and will use two units of Boeing 777.

    “Actually, we want to start direct flights but that is not possible as of now. The option is to fly via Narita, Japan,” he said.

    Meanwhile, the Director General of Air Transportation at the Transportation Ministry, Suprasetyo, said the audit result of the FAA will be declared by July 2016 at the latest.

    “We have completed and reported all the documents and are optimistic that we can achieve our target,” he added.

    The Director of Airworthiness and Aircraft Operation at the Transportation Ministry, Mohammad Alwi, said the last seven documents related to flight inspection have been reported online to the FAA auditors.

    “All the documents have been accepted. God willing, this July we will receive the good news as Ramadan and Eid gift,” he said.

    According to him, if Garuda is awarded Category 1 status, then its aviation safety standards and security aspects must conform to international standards, in line with the flag carriers in the same category.

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  • Indonesia’s Lion Air removed from EU air safety blacklist

    Indonesia’s Lion Air removed from EU air safety blacklist

    Indonesia’s Lion Air, a major buyer of Airbus and Boeing jets, was removed from the European Union’s air safety blacklist, the European Commission said in a statement on Thursday.

    That means Lion Air is no longer banned from flying in the 28-nation EU.

  • Bank Indonesia cuts benchmark interest rate to 6.50 per cent

    Bank Indonesia cuts benchmark interest rate to 6.50 per cent

    Indonesia’s central bank cut its benchmark interest rate again by a quarter point to 6.50 per cent Thursday amid slow and uneven recovery of the global economy.Bank Indonesia spokesman Tirta Segara said the cut, the fourth this year, was decided at a two-day meeting of the Board of Governors.The key interest rate was lowered in January after staying at 7.5 per cent since February 2015. Cuts of another quarter point followed in February and March.Segara said the central bank will continue monitoring global economic developments that will have an impact in Indonesia.

    He noted that the country is expected to feel effects from the U.S. economy, which is not in solid recovery as indicated by weakening of consumption and employment as well as low inflation.The central bank believes that the easing of monetary and macro-prudential policies will strengthen the government’s attempts to boost sustainable economic growth through acceleration of structural reforms.Domestic economic growth in the second quarter of 2016 is expected to improve although not as strong as previously expected, the central bank said in a statement.

    It sees that various steps are still needed to boost domestic demand to continue to strengthen the momentum of economic growth, and with these developments, the overall economic growth for 2016 is estimated to be in the range of 5 per cent to 5.4 per cent.

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  • Ministop closing up shop in Indonesia for now

    Ministop closing up shop in Indonesia for now

    Japanese convenience store operator Ministop is pulling out of the Indonesian market, at least for the time being.

    The company announced Friday that it is terminating a franchise agreement with local retailer Bahagia Niaga Lestari, which wants to concentrate resources in other areas.

    The retailer is Ministop’s sole franchisee in Indonesia. So when the six franchise stores it operates there are closed, the country will have no Ministops.

    Ministop said it will search for a new partner and plan a return to Indonesia, since the convenience store market there has growth potential.

    Ministop had inked the franchise agreement with Bahagia Niaga Lestari in 2012 because Indonesia bars foreign companies from investing in retail stores with less than 400 sq. meters of floor space. The first Ministop in that country opened in June 2013.

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  • ASDP Launches Mobile E-Ticketing

    ASDP Launches Mobile E-Ticketing

    State-owned ferry operator PT ASDP Indonesia Ferry has launched a mobile e-ticketing service to facilitate passengers when buying ferry tickets during Eid holiday.

    “We launch this mobile e-ticketing service to anticipate the surge in the number of vehicles heading to Merak seaport,” said PT. ASDP President Director Danang S on Friday (17/6).

    He added that the e-ticketing service is applied at di km 43 and km 68 of the rest area on Tangerang-Merak toll road.

    The government also provides the same service during the returning season after Ied Day at Hotel 56 Kalianda, Lampung.

    Danang went on to say that the mobile e-ticketing services gives a one-stop service for the passengers by stopping at rest areas.

    He also predicted that the number of passengers crossing through Merak seaport this year would increase by 8 percent compared to that of the previous year.

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  • Japan to invest in fire extinction technology in Indonesia

    Japan to invest in fire extinction technology in Indonesia

    The Investment Coordinating Board said a Japanese company engaged in fire extinction technology is interested in investing Rp600 billion in Indonesia.

    The Head of the Board, Franky Sibarani, in a press release received by Antara here on Monday, said the potential investors will build a forest fire prevention system and develop this technology in Indonesia.

    “This business will deal with ways to prevent forest and land fires by applying such technology,” he added.

    Sibarani informed that the company already has a local partner, a fact that will help them realize the investment.

    The Japanese company is currently reviewing two locations that could be used to set up its operations here. These sites are in Sei Mangke Industrial Area, North Sumatra and Tanjung Api-Api Industrial Area, South Sumatra.

    Sibarani explained that the raw material used in fire fighting technology can be procured from within Indonesia.

    “The Indonesian workers who will operate the technology would be first trained in Japan for at least six months,” he disclosed.

    An Indonesian official of the Investment Promotion Office in Tokyo (IIPC), Saribua Siahaan, remarked that this investment plan was quite interesting, considering that the Japanese investment in the country is largely in the automotive sector and its supporting components.

    “We are ready to help the company to realize its investment in Indonesia. This investment is also expected to contribute positively to the governments efforts to prevent forest fires,” he noted.

    Data obtained from the Investment Coordinating Board shows that in the second quarter of 2016, the realization of Japan investment in Indonesia had reached US$1.58 billion and covered 427 projects, providing jobs for 28,377 people.

    In 2015, the realization of Japanese investment amounted to US$2.87 billion with 2,030 projects and had absorbed 115,400 workers.

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  • Indonesian coffee introduced in Southeast European market

    Indonesian coffee introduced in Southeast European market

    Indonesian coffee was introduced in Zagreb, Croatia, on June 8-10 during an event titled “Indonesian Specialty Coffee: From Cup to Cup” organized by the Indonesian Embassy in Zagreb in cooperation with local entity, Tanamera Coffee.

    During the program held in two locations — the Indonesian Embassy in Zagreb and a coffee shop in the Croatian capital — a representative from Indonesia introduced a variety of Indonesian coffee beans, including Gayo Aceh, Solok Sumatera, Toraja Sulawesi, Flores, and Malabar.

    “The last day of promotion in the cafe was open for the public, and some 600 people had the opportunity to sample the single origin coffee that our team had brought,” Dini Criddle, Tanamera Coffee owner, noted in a press release received on Monday.

    Tanamera Coffee, as the governments partner in promoting Indonesian coffee in the global market, also presented the process of coffee production, from the enhancement of farmers harvest results and the process of coffee production to the simulation of roasting techniques as well as brewing methods using filters or espresso machines.

    The Indonesian Embassy in Zagrebs Economic Functions Executive Widjoseno Sastroamidjojo remarked that the promotion efforts had drawn the interest of several coffee roasters, industry makers, and Croatian coffee importer to buy Indonesian coffee products and coffee beans that are deemed high in quality.

    This interest will boost the entry of Indonesian coffee into the Croatian market, as well as other European countries, he emphasized.

    “Not a lot of Croatians are familiar with Indonesian coffee. Seeing the high demand for Indonesian coffee and the potential to attract Croatian tourists that reached 12 million in 2015, we are confident that Indonesian coffee products can be successful in the southeast European market,” stated Sastroamidjojo.

    Coffee consumption in Croatia is high as its people prefer spending time in coffee shops in addition to the rapid growth in the number of such outlets in the southeastern Europe country.

    Despite having a total population of only 4.2 million, the coffee consumption rate in Croatia is rather high, reaching 15.9 tons, or 2.8 kilograms per capita in 2013.

    Based on the data retrieved from Euromonitor, Croatia was ranked 14th on the worlds coffee consumption index.

    Meanwhile, other Southeast European countries, such as Slovenia, Serbia, and Bosnia-Herzegovina, are also listed among the 15 countries, with the highest per capita coffee consumption rate, with each reaching 6.1, 5.4, and 4.3 kilograms.

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  • Philippines to Market Fashion Products in Indonesia

    Philippines to Market Fashion Products in Indonesia

    The Philippines has expressed its intention to market branded retail products in Indonesia, particularly fashion products.

    To support the intention, the Philippine Trade and Investment Center (PTIC) in Jakarta has held an expo, Lifestyle Philippines, in Shangri-La Hotel on June 10, 2016, said the Philippines Embassy in Jakarta, Monday, June 13, 2016.

    According the Philippine Ambassador to Indonesia Maria Lumen B. Isleta, the expo is expected to strengthen the relationships between the Philippine and Indonesian people.

    “It is an effort to introduce the various Philippine products and services, which may interest many Indonesian consumers once they know more about it,” Amabassador Isleta said.

    Alma Argayoso, the Philippine trade representative in Jakarta, said Lifestyale Philippines is aimed at promoting and introducing products made in the Philippines.

    The expo was enliven by fashion shows that featured designs of iconic brands, such as Karimadon, Rusty Lopez, Plains and Prints, and Cruzzini Barong Tagalog.

    The trade volume of both countries reached US$3.6 billion last year with a significant surplus for Indonesia, having an export volume of US$2.93 billion. Whereas the Philippine trade to Indonesia merely amounted to US$628.27 million.

  • H&M collaborates with Caitlyn Jenner for its newest athleisure range

    H&M collaborates with Caitlyn Jenner for its newest athleisure range

    A new H&M athleisure wear range is to be launched in July, developed with input from the Swedish Olympic team and fronted by personalities including Caitlyn Jenner.

    The launch of For Every Victory makes H&M one of the first major multinational fashion brands to make a serious foray into the booming athleisure wear market, to date dominated by fast-growing specialist brands including Lululemon, UnderArmour and 2XU.

    H&M -For Every Victory

    H&M For Every Victory – described by the H&M as “high fashion performance sportswear made to inspire” has been developed with input from the Swedish Olympic team, and the campaign is fronted by inspirational personalities who have all achieved their own victories, whether in sport or life.

    H&M -For Every Victory 1

    The athletes advised on design, performance and wearability. H&M also designed outfits for the Swedish Olympic and Paralympic team for Rio 2016, including the opening ceremony uniform, selected competition pieces and the prize ceremony outfits.

    “This is a collection about performance with great style and the input of the Swedish Olympic team has been invaluable in the creation process,” said Pernilla Wohlfahrt, design and creative director at H&M. “The result is high fashion technical sports pieces for everyone to wear.”

    The For Every Victory collection has a similar visual expression and technical knowledge to the Swedish Olympic team collection, with its own colour palette in black, grey, dusty pink and gold. It is centered on performance T-shirts, running shorts and leggings, as well as sports bras for women.

    H&M -For Every Victory 3

    The quick-drying, breathable materials help to optimise performance and recycled polyesters prove that high-function sportswear can also be conscious and more sustainable − all showing that there’s no compromise on either fashion or performance.

    H&M -Olympic collection

    Among the personalities fronting the new range are Caitlyn Jenner with her Olympic gold medal in the decathlon; Chelsea Werner, a gymnast who has never let Down Syndrome halt her progress; surfer Mike Coots who still takes to his board even though he lost his leg in a shark attack and boxer Namibia Flores who has fought against prejudice to pursue her dreams.

    The new range and brand will be launched globally on July 21.

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  • Indonesia shines for retail investment

    Indonesia shines for retail investment

    Southeast Asia’s largest economy, Indonesia, is ranked the world’s fifth most-attractive market for retail investment in AT Kearney’s 2016 Global Retail Development Index.

    In previous years it has ranked in the top 20.

    It is an exciting time to be investing in Indonesia’s retail sector, the index says. The country scores 64.3 in market size (out of a 0-100 scale) and low in country risk (38.9) – lower than the top three markets, China, India and Malaysia. Urgency to enter the market is rated at 68.9, and the overall score of 55.6 is just one point behind Kazakhstan.

    “Despite its relatively low retail sales per capita and currency volatility, Indonesia’s huge population and cities make it quite attractive to foreign retailers, which see untapped potential in the country and are investing heavily in new development,” says the report, which covers 30 developing countries that represent more than half of total global retail sales.

    This is reflected by burgeoning foreign retail investments in the country, reports the Jakarta Post. It cites Dubai-based Lulu, which opened its first hypermarket in Indonesia this month with an investment plan of US$500 million covering nine hypermarkets and a warehouse. Meanwhile, Singapore’s Courts, South Korea’s Lotte, and Ikea and H&M from Sweden all have a presence and expansion plans in Indonesia. Courts plans to open four stores by next March to add to its existing five, and has seen its sales growth double since opening in 2014.

    Indonesian convenience stores Alfamart and Indomaret have also been expanding. Indomaret plans to add 1600 outlets this year to its 12,210 stores, while Alfamart is aiming for six-fold sales growth this year driven by its upgraded online presence.

    The government has opened up eCommerce to foreign ownership where the business value is more than Rp100 billion (US$7.49 million). According to the Indonesian eCommerce Association (Idea), eCommerce transactions are expected to reach $24.6 billion this year, three times more than in 2013.

    Indonesian retailers Matahari and Mitra Adi Perkasa have launched online shopping, while grocers Alfamart and Happy Fresh are extending their online offering.

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  • Uniqlo Indonesian batik collection for good cause

    Uniqlo Indonesian batik collection for good cause

    Japanese apparel company Uniqlo has launched a special collection of items featuring traditional motifs of Indonesian batik, a heritage included on the UNESCO list of Intangible Cultural Heritages of Humanity in 2009.

    As part of a second program in the Uniqlo Factory Worker Empowerment Project, a portion of sales is be allocated toward helping with education for employees working in parent company Fast Retailing‘s affiliated factories in Indonesia. The special collection is available at five stores in Japan and on Uniqlo’s website.

    The batik patterns are part of Uniqlo’s LifeWear concept of offering clothes for a better life for everyone, every day. The collection of eight items includes men’s and women’s shirts as well as summer dresses. The batik patterns are original motifs jointly developed by Uniqlo and a designer recommended by the Indonesian Batik Foundation.

    The empowerment project was introduced last year, the first supporting female workers in sewing factories in Bangladesh through a women’s line featuring traditional Bangladesh clothing motifs. This sold in 14 markets worldwide, with a portion of sales being used for educational programs in such areas as nutrition, hygiene and health management.

    The education project is expected to run for about three years, and reach around 12,000 people.

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  • KFit Holdings moves into Indonesia with Groupon

    KFit Holdings moves into Indonesia with Groupon

    Malaysian health and fitness company KFit Holdings is about to enter the Indonesian market after signing a deal to acquire eCommerce company Groupon Indonesia.

    For an undisclosed amount, the acquisition will see KFit enter Indonesia with Groupon as a wholly owned subsidiary. The transaction is expected to be completed in the third quarter of this year.

    Groupon Indonesia has more than 1 million subscribers and 15,000-plus local merchants.

    “The combination of Groupon Indonesia’s established presence and KFit’s experience in building a mobile-first platform will propel us in a high-growth local commerce market, further accelerated by increasing mobile penetration,” says KFit CEO/founder Joel Neoh.

    “While KFit will continue to focus on health and fitness services, this presents a strategic direction for us to enhance and broaden our offerings. In the long run, this acquisition will provide us with a strong platform for growth in Southeast Asia.”

    KFit is an online subscription platform that provides users access to fitness studios, classes and gyms in various cities across Asia. Since its launch last year, it has extended its offering to include beauty and wellness, and launched its pay-per-use KFitGo. In the past six months, KFit users have reserved more than 400,000 activities. Today, one reservation is made every minute on the KFit platform.

    KFit founder Joel Neoh also founded Groupon Malaysia, in 2011, going on to head Groupon Asia-Pacific.

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  • DTI to showcase Filipino retail brands in Jakarta

    DTI to showcase Filipino retail brands in Jakarta

    The Department of Trade and Industry (DTI) is set to showcase Filipino retail brands at the “Lifestyle Philippines” event on June 10, 2016 at Shangri-La Hotel, Jakarta, Indonesia.

    In a statement, Philippine Embassy Trade Representative Alma Argayoso said Lifestyle Philippines is a branding initiative led by the Philippine Trade and Investment Center (PTIC) in Jakarta, which aims to promote Philippine-made products in the Indonesian market.

    “This initiative hopes to increase trade with Indonesia, which in 2015 stood at US$3.6 billion. The Philippines exported about US$628.27 million worth of goods and services to Indonesia, while the Indonesia had US$2.93 billion trade with its counterpart,” Argayoso said.

    The event includes a fashion show that will feature Karimadon and Rusty Lopez, two iconic brands in the Philippines that have begun to create a following in Indonesia’s fashion-forward clientele market. Other brands that will be featured are Plains and Prints and Cruzzini Barong Tagalog.

    Barong Batik, a known fashion innovation for many diplomats and dignitaries will also be exhibited at the said event. It is a fusion of Philippine barong and Indonesian batik designs into one.

    Apart from apparel, the event will also feature potential Filipino food products for exports under the Flavor Philippines such as Goldilocks polvoron, Mama Sita’s sauces and mixes, Leslie’s snack products, Destileria Limtuaco’s spirits and liquors, and other artisanal food products such as dried fruits and nuts, jams and marmalade, bottled sardines, and chocolate dipped dried mangoes.

    Moreover, hand-woven crafts will be featured under the special section, Woven Chic.  Indigenous textiles from the Philippines, traditional dresses, linens, and modern and traditional pieces of jewelry will be displayed for the Indonesian fashion-oriented consumers.

    “The regional integration in ASEAN presents opportunities for Philippine companies to expand to Indonesia and other ASEAN markets, and we certainly would like to actively take part in supporting Philippine companies in their regional expansion. We look forward to make Filipino products more available in the Indonesian market, particularly since there are many Indonesians, having visited or studied in the Philippines, who look for our products,” Argayoso added.

    The event will also highlight other Philippine products and services such as travel and tourism, educational services and pharmaceuticals.