FedEx Trade Networks, a subsidiary of FedEx Corp. and a premier international freight forwarder, today announced the opening of a new office in Malaysia. Based in Penang, the additional facility highlights the continued expansion of FedEx Trade Networks to meet the growing market demand.
“With our network stretching into Malaysia, we are well positioned to proactively respond to customer needs and support them in simplifying the complexities of international shipping,” said Udo Lange, executive vice president and COO, FedEx Trade Networks.
The new FedEx Trade Networks office is strategically located in Penang’s central business district, with close proximity to the airport and the seaport as well as the city’s key infrastructure facilities. FedEx Trade Networks offers a comprehensive portfolio of services, covering e-commerce, international air and ocean freight forwarding, surface transportation (domestic and cross-border), customs brokerage, trade and customs advisory services as well as other value-added services, including My Global Trade Data, the company’s online suite of information management tools.
“The world requires a new type of freight forwarder that understands how to turn global logistics into strategic advantages,” said Lange. “FedEx Trade Networks makes the complexities of global shipping simple, striving to provide customers with unparalleled supply chain visibility and logistics transparency to help move their businesses forward.”
Penang is one of the most urbanised and industrialised states in Malaysia with a high concentration of key industries and sectors, including high tech, electronics and electrical products, industrial goods as
Nomura Holdings and Philippine bank BDO Unibank, the country’s largest bank, have announced that their joint venture, BDO Nomura Securities, has officially commenced operations.
Offering online trading services for stocks listed on the Philippine Stock Exchange (PSE), BDO Nomura has been set up to provide investors in-depth market research, quick execution time and competitive rates. Additionally, the platform offers ease of use through simple and paperless online application and fund transfers through the customer’s BDO Deposit Accounts.
The joint venture with BDO is Nomura’s second retail operation in the region, following a successful one in Thailand, and is in line with Nomura’s strategy to develop local retail brokerage businesses in Southeast Asia. BDO owns 51 percent of the joint venture company, while Nomura holds 49 percent.
Philippines Richest
BDO is a full-service universal bank which provides a wide range of corporate and retail banking services and has one of the largest distribution networks, with more than 1,000 operating branches nationwide.
The bank is owned by retail and banking magnate Henry Sy, who according to Forbes is the richest man in the Philippines.
The securities dealer and broker with a seat in the PSE is headed by Koichi Katakawa.
Ayondo, a social trading technology developer for the financial services industry, has acquired the TradeHero brand, a Singapore-based trading gamification app.
The acquisition for TradeHero’s brand outside of China and the United States, expands ayondo’s footprint in Singapore nearly a year after it announced a partnership with KGI Fraser Securities Pte Ltd to launch KGI Contrax, a platform for investors to trade Contracts for Difference (CFD).
Robert Lempka, CEO of the ayondo Group, says: “For ayondo, mobile technology is a big part of the Group’s strategy for expansion and growth. The TradeHero brand is extremely well established in Asia and was the missing piece in our product range. Following Top Traders and taking social trading to the next level, in offering fully automated execution is exactly what is in ayondo’s DNA.”
Dominic Morris, co-founder of TradeHero and the new Head of Innovation for ayondo Group, adds: “ayondo and TradeHero share the same vision, that is to democratise the world of investing through easy-to-use disruptive technology and knowledge sharing.”
The team of TradeHero’s mobile technology specialists built the foundation for ayondo’s Singapore based Mobile Lab, where the group’s latest research and development takes place. The group is engaged in advanced negotiations with a SGX-listed company on a Reverse Takeover (RTO) transaction. This could result in ayondo being the first fintech company to be listed on the Singapore Exchange (SGX) and the head office being moved to Asia’s fintech hub.
Provinces in the eastern part of Indonesia are seeing robust economic growth in the third quarter thanks to higher commodity prices, but without diversification away from commodities the regions may not sustain such rapid growth, economists say.
While the nation’s overall economic growth was 5.02 percent in the July to September period yearon-year (yoy), provinces in eastern Indonesia saw higher growth, namely Maluku and Papua with 13.72 percent, Sulawesi with 6.67 percent and Bali and Nusa Tenggara, both with 5.04 percent, according to data from the Central Statistics Agency (BPS).
President Joko “Jokowi” Widodo said he wants to spread economic contributions from the eastern part of Indonesia to the whole archipelago and pledged to boost infrastructure development in the regions.
However, economists said the government’s efforts to build infrastructure on the outskirts of the country had yet to bear fruit as they required more time before affecting the local economies. Instead, the rising prices of mining commodities have become the main reason for the spike in growth in eastern parts.
“Improvements in commodity prices, such as gold in Papua, caused the jumping growth,” University of Indonesia (UI) economist Lana Soelistianingsih said on Monday following the data release.
The BPS data also showed that the overall growth of the nation’s mining sector reversed its minus 0.72 percent yoy contraction in the second quarter to become a 0.13 percent gain in the third quarter, thanks to the higher production of some mining commodities like gold, BPS head Suhariyanto said.
The eastern part of Indonesia still relies heavily on the mining sector so that most provinces, such as Papua, Maluku, Central Sulawesi and several areas in Kalimantan, see their economic growth spike when prices and production increase, said Center for Reform in Economics (CORE) research director Mohammad Faisal.
“Other areas, like South Sulawesi, recorded growth because of their diversified economies,” he said. “Bali, on the other hand, is supported by its tourism sector so that when the overall economy slows down, it is still able to post growth.”
With the projected stable increase in commodity prices going forward, economists expressed optimism that economic growth in the area can be improved, although concerns over its sustainability remain.
“The growth will be sustainable if those provinces can transform and diversify their economies. If they’re still commodity dependent, the growth won’t sustain,” Faisal said.
Apart from the mining sector’s reversal of fortune, the top three sectors that booked the highest growth in the third quarter include information and communications, financial services and transportation and warehousing, according to BPS data.
In quarter-on-quarter, transportation and warehousing, agriculture, forestry and fisheries, as well as the construction sector, were at the top of the list.
In West Nusa Tenggara and Maluku, the regions that posted the most growth in the third quarter, the marine industry is enjoying growth, especially in the shrimp and seaweed aquaculture industries, according to the Indonesian Chamber of Commerce and Industry (Kadin). Bengkulu, Lampung and Java are also seeing growth in the same sector.
The US President Elect Donald Trump will want Indonesia to agree to ratify international trade commitments including APEC and the Indonesia-US Strategic Partnership.
“Donald Trump will be interested in making investments in the infrastructure sector, including air, land and sea ports, especially investments that have the potential to lessen the influence of the Peoples Republic of China in South-East Asia,” international relations observer from Padjajaran University, Teuku Rezasyah, told ANTARA News in Jakarta on Wednesday.
Teuku Rezasyah added that Donald Trump will potentially urge Indonesia to explain the Free-Active policy adopted by the country in the context of the rivalry between the US and China.
“Considering the importance of investment and trade security, Trump is likely to understand the challenges faced by Indonesia in following human rights principles in the country,” he noted.
Republican Donald Trump won over his rival Hillary Clinton, the candidate of the Democratic Party.
Trump was elected as the 45th US President with total electoral votes far above Hillary Clintons.
His victory came as a shock since most surveys had predicted that Hillary Clinton would win the US Presidential contest.
Australian Minister of Trade, Tourism and Investment Steven Ciobo has met Indonesian Minister of Trade Enggartiasto Lukita in Australia on Sunday to discuss free trade agreements.
Press releases from the Department of Foreign Affairs and Trade of Australia received by ANTARA here on Sunday said that Minister Enggartiasto is visiting Australia to discuss the Indonesia-Australia Comprehensive Economic Partnership Agreement (IA-CEPA).
IA-CEPA will generate economic framework which is expected to make closer relations between Indonesia and Australia besides opening up markets and new opportunities for both countries.
According to Ciabo, the negotiations are going forward as the two countries continue to work to finalize the deal.
“Minister Lukita and I have agreed to make ambitious and high quality deals,” Ciabo said, adding that the IA-CEPA can transform Australia and Indonesia economic partnership.
Indonesia is Australias important neighbor and great regional partner, with the value of two-way trade between Australia and Indonesia amounting to US$15 billion in 2015, Ciabo noted.
“IA-CEPA will bring our economies closer and allow Australian and Indonesian businesses to take advantages,” he said.
IA-CEPA will create business opportunities for Australia and Indonesia to jointly work on those opportunities that will continue to develop in the future.
President Joko Widodo has attended the 2016 Trade Expo Indonesia (TEI) at the Jakarta International Expo, Kemayoran, Jakarta. Jokowi delivered a warm welcome and opened the event.
Trade Minister Enggartiasto Lukita, also delivering a speech, said that the expo was meant to help boost trade relations. “We aim to gain direct transactions,” he said October 12, 2016.
Moreover, Enggartiasto said that Indonesia has to have other top products in export, in light of the weakening global economy.
There are over 1,100 national corporates in the expo, and around 14,700 buyers. The buyers are also coming from abroad, namely from some African countries and the Middle East. The government expects that the buyers can conduct business transactions which the expo aims to score at around Rp2 trillion.
Indoensias Ministry of Trade has said it has been encouraging small and medium industries (SMIs) to take benefit of online trade (e-commerce) to market their products.
“We are pushing the small and medium industries to take their products to various e-commerce platforms. Websites like Tokopedia, Bukalapak, Blibli and Lazada are all local e-commerce platforms and we encourage the SMIs to use them,” the Minister of Trade, Airlangga Hartarto, stated in Jakarta on Tuesday.
He hoped that once the SMIs start fully utilizing the e-commerce platforms, the industry will start expanding.
The fourth industrial revolution era hinges on embracing the internet and integrating it with products and services, he added.
The minister further explained that internet usage is now part of people’s daily lifestyle and it has now become integral to the industrial world also.
“Germany began doing it in 2013. If we start this year, we will make sure that we are not left behind,” he remarked.
Additionally, the Ministry of Trade also encourages professional vocational training to enhance the quality of human resources.
The minister mentioned the importance of undertaking research and forging collaborations with universities in the industrial sector.
Minister Hartarto also pointed to the progress made in basic materials, and highlighted the fact that natural energy resources cannot last forever.
The Indonesian government will encourage direct trade contact with Cuba to increase the value of the two countries bilateral trade, Indonesian Deputy Foreign Minister A.M. Fachir has said.
“Indonesia will encourage direct trade contact with Cuba in order to increase the volume of bilateral trade between the two countries and appreciate the significant economic development in Cuba,” Fachir said here over the weekend.
The deputy foreign minister made the remarks in connection with his meeting earlier with Cuban Director General for Bilateral Relations Affairs of the Foreign Ministry of Cuba, Ambassador Gerardo Penalver Portal.
During the meeting, Fachir discussed various issues of mutual concerns, both, at bilateral and multilateral forums.
“On the bilateral basis, the political relations of the two countries had been closely established. Yet this closeness should be translated into a concrete form of cooperation, among others in the fields of trade, health and agriculture,” he said.
In the multilateral context, Indonesia and Cuba shared similarities in views and cooperation regarding various international issues, the deputy foreign minister said.
“In the bilateral aspect, Cuba pays attention to direct trade contact to increase trade relations by among others planning a Cuban trade mission to Indonesia and that of Indonesia to Cuba,” Fachir said.
Meanwhile, Gerardo Penalver Portal expressed appreciation for the establishment of good cooperation between the two countries at various international forums.
Cuba appreciates Indonesias big contributions to the Non-Aligned Movement so that the movement remains relevant to the present conditions, he said.
The Trade Ministry is targeting the Trade Expo Indonesia (TEI) 2016, which will be held on October 12-16, to be able to attract 14,700 domestic and foreign potential buyers.
“We provide 1,100 outlets,” Director General of National Export Development of The Trade Ministry Arlinda said in a press conference in Jakarta on Wednesday, August 24, 2016.
Arlinda said there are currently 4,000 potential buyers who have confirmed to attend the expo.
The Trade Expo 2016 comprises of six leading sector zones, namely manufacture, furniture and home decoration, food and agriculture, creative industry and investment.
The TEI promotion has been intensively conducted in domestic and abroad.
Kantar Worldpanel, the global market leader in consumer panels, reports the spending in fast moving consumer goods (FMCG) in 2nd quarter of 2016 grew by 4.6% year on year, faster than the 2.0% growth rate reported in 1st quarter of 2016.
Modern trade (including hypermarkets, supermarkets, and convenience stores) showed a similar trend of improving growth, 1.4% positive growth in the second quarter in comparison to a decline of -0.5% in the 1st quarter. Modern trade’s growth was most prominent in county level cities and their surrounding urbanized counties – growth rates of 2.0% and 3.9% respectively. From a regional perspective, modern trade in the East and West performed much better than South and North regions. The East region grew at 2.8% – helped by strong performance of Sun-Art Group and Wal-Mart Group – while the West region grew at 3.6% driven by Wal-Mart Group and Yonghui Group.
International retailers suffer from continuous share drop
Wal-Mart Group has seen relatively stable performance in 2016, gaining 0.3 share points year on year in the latest quarter. Other international retailers such as Carrefour, Tesco and Lotus suffered from continued share erosion resulting in the overall poor performance of international retailers. Sun-Art Group and Yonghui lead the growth of Chinese players. Sun-Art group managed to grow its shopper base through both the continued development of existing stores and incremental opening of new one. Their growth was most marked in the competitive East region market; share increased from 13.5% of 2nd quarter of 2015 to 16.0% in the latest quarter – widening their leadership over competitors.
Yonghui consolidates position as a top 5 national retailer: Yonghui continues to perform well in 2016, a fast pace of growth in penetration and basket size enabling its share to continue to exceed Lianhua Groups in Q2 after first overtaking it in Q1. Despite this strong performance – Yonghui still faces challenges in the East region. Strong growth of Sun-Art Group and Wal-Mart’s gradually recovery have meant that Yonghui’s acquisition of Lianhua has yet to see any sustained effects.
Brick and Mortar and eCommerce retailers looking for cooperation: Continuous FMCG slow down combined with the impact from eCommerce growth in China, has pressured physical retailers into finding new solutions to drive growth. Kantar Worldpanel latest data show, 52 week end June.17th, show total FMCG eCommerce penetration% reached 49%, growing 10% from last year. The growth of online is leading by Tmall and JD, both with spend growth rate over 80%. While continuing to experiment with their own e-tailing platforms; the major retail chains are now seeking to bolster performance through strategic partnerships with existing digital players. Wal-Mart’s corporation with JD.com enables Wal-Mart to reach new online shoppers while allowing JD.com to utilize YHD’s broad footprint in East region. Vanguard’s strategic investment in the XinMeiDa (previously Meituan & Dianping) and Feiniu’s corporation with Shihui, both show brick-and-mortar chains’ new efforts to better realize their O2O strategy.
The Indonesian Embassy in Dakar, Senegal, has held a business meeting with Senegalese businessmen to promote various mainstay products and the 31st Trade Expo Indonesia (TEI) to be held in Jakarta on October 12-16, 2016.
The business meeting was attended by Senegalese businesspersons who have been doing business with their Indonesian counterparts.
Secretary general of the Senegalese national chamber of commerce and industry Ndeye Seye, Dakar chamber of commerce and industry secretary general Aly Mboub, Poultrade CEO Washimp Obalah and Libellule CEO Gaelle Rispal attended the meeting.
It was also attended by Senegalese businessmen in Thies who have visited the TEI organized in previous years.
Indonesian Ambassador to Senegal Mansyur Pangeran said here on Sunday that the relations between Indonesia and Senegal, particularly in the business field, have been running well since long ago.
However, their bilateral trade was still low, recorded at US$89.37 million only in 2015.
The Indonesian embassy promoted various mainstay products during the meeting such as oil palm, cocoa, rubber, cinnamon and textile.
During the meeting, Senegalese businessmen asked information regarding the types of products, prices, container transportation services, payment mechanism and sharia banks in Indonesia.
Poultrade is interested in developing business with Indonesia for soap noodles. It is planning toimport 300-500 tons of the product from Indonesia per month.
The ambassador said Indonesias free-visa policy was also hailed by Senegalese businesses and it is likely that more Senegalese businesses will take part in the 31st TEI.
Indonesia and the Philippines, as immediate neighboring countries, have many to offers in the fields of among other things trade, culture and security.
In fact, the Philippines is a significant trade partner as its contributed around US$2.3 billion in trade surplus to Indonesia last year.
Indonesian Ambassador to the Philippines Johny J Lumintang said recently that the surplus was the third largest for Indonesia in its international trade.
Data from the Philippine Statistics Authority revealed that the countrys imports from Indonesia during the period between January and December 2015 stood at $2.927 billion, while exports to Indonesia were only valued at $628.2 million.
However, the figures declined from the previous year when Philippines imports and exports from and to Indonesia reached $3.037 billion and $759.658 million, respectively.
Three major Indonesian products imported by the Philippines, include automotive, coal, and coffee, with total values of $619.8 million, $519.4 million, and $208.6 million, respectively.
There are great demands for coal for Filipino power plants, the diplomat said.
The two nations have also intensified bilateral cooperation in various fields such as in economic, politic, socio-culture, and sea patrol security.
“With the Philippines, Indonesia should not compete but cooperate as our products are mostly similar,” the ambassador said.
Indonesias Trade Attach in Manila Irawan said 16 Indonesian food and beverage products have been marketed widely in Filipino supermarkets.
Philippine President Benigno Aquino (R) speaks with Indonesian President Joko Widodo (L) at the presidential palace in Manila.
Among the products as Kopiko 78 Degree, Indofood instant noodles, Bimoli and Mitra cooking oil, Tiger and Oreo biscuits, Extra Joss, You C-1000, Fruit Tea, nata de coco, Kopiko candy, Energen, and Diabetasol biscuits and powder milk.
Indonesias food and beverage product market share in the Philippines is 8.13 percent.
Last year, the Philippines imported food and beverages worth US$ 452.1 million from Indonesia, and exported US$15.8 million.
Having economic growth at 6.9 percent, the Philippine is a potential market as its population is also big, he said.
He hoped more small and medium scale industries products could be marketed in the Philippine.
Eight food and beverage producers participated in the ASEAN Salon International de l Agroalimentaire held in Manila on May 31-June 2 2016.
In the meantime, The Philippine government is also eager to promote its products in Indonesian markets.
Filipino retail brands were exhibited at the “Lifestyle Philippines” event in Jakarta, on June 10, 2016.
“Lifestyle Philippines” was a branding initiative led by the Philippine Trade and Investment Center (PTIC) in Jakarta which aimd to promote and create more awareness of Filipino-made products.
During her remarks, Philippine Ambassador to Indonesia Maria Lumen Isleta stated that, It is an initiative to which our Embassy with the support of the Filipino community, have given our best efforts because we believe it can contribute to the friendship and close cooperation between our two countries.
The event included a fashion show featuring Karimadon and Rusty Lopez, two iconic brands in the Philippines that have begun to create a following in the Indonesian forward-clientele market.
Other brands displayed were Plains and Prints, Cruzzini Barong Tagalog, and Barong Batik, a fashion innovation that has successfully fused Philippine barong and Indonesian batik, a creation that many diplomats and dignitaries have begun to favor for its elegance.
Apart from apparel, the event also showcased Filipino food products, hand-woven crafts, cosmetics and neutraceutical, tourism and travel, as well as education services.
Flavors Philippines featured products with potentials to be exported here such as Goldilocks polvoron, Mama Sitas sauces and mixes, Leslies snack products, Destilleria Limtuacos spirits and liquors, among others.
Artisanal food products sourced from the various regions in the Philippines such as dried fruits and nuts, jams and marmalades, bottled sardines, and chocolate dipped dried mangoes will be at the exhibition as well.
Woven Chic, a special section on hand-woven crafts will show indigenous textiles from the Philippines, traditional dresses, linens, and modern and traditional pieces of jewelry.
“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 of goods and services to Indonesia, while the Indonesia had US$2.93 billion trade with its counterpart,” Philippine Embassy Trade Representative Alma Argayoso said in a statement recently.
“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 Philippines companies in their regional expansion. We look forward to make Filipino products more available in the Indonesian market, particularly since there are many Indonesians who have visited and studied in the Philippines who look for our products,” she added.
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.
Indonesia’s Trade Ministry received a business delegation from Saudi Arabia last week, as the two countries announced a plan to double their bilateral trade value by 2020, according to a report published by The Jakarta Post.
The total trade between the two countries currently stands at a value of US$8.5 billion and is thought to leave plenty of room for expansion, according to the Indonesian Trade Ministry.
“The figures are yet to reflect the potential of both countries,” said Arlinda Imbang Jaya, Trade Ministry Expert for Trade Services.
Saudi Arabia is said to have expressed interest in cooperating with several Indonesian businesses in the fields of cosmetics, pharmaceutical products and medical equipment.
