The Bengal Chamber of Commerce and Industry organized an Interactive Business Session with H.E. Mr. Sidharto Reza Suryodipuro, Ambassador, Embassy of the Republic of Indonesia, New Delhi on 11th June 2018 in the Chamber Premises.

The Ambassador was accompanied by Mr. Ferry Samuel Jacob, Trade Attache, Embassy of the Republic of Indonesia, New Delhi and Mr. NoviandriWibowo, Third Secretary, Embassy of the Republic of Indonesia, New Delhi. Mr. Mahesh Saharia ,Hony. Consul, Consulate of the Republic of Indonesia, Kolkata was also present.

Mr. Deb A Mukherjee, Vice President, The Bengal Chamber of Commerce and Industry welcomed the Ambassador. Mr. Subhodip Ghosh, Director General, The Bengal Chamber of Commerce and Industry was present from the Chamber.

Mr. Mahesh Saharia shared his insights on Geographical features and the Economy of Indonesia. He mentioned that Indonesia is a very unique country. It is an archipelago of 17000 islands out of which almost 6000 are inhabited. The logistics involved with the management of such a nation is massive. Indonesia extends for almost 5710 km from the Andaman and Nicobar Island up to Borneo. India has shared social, economic, religious connections with Indonesia for a very long time.Indonesia’s Trade Balance has jumped from $US 2.3 billion to almost $US 20.3 billion. There has been an increase in the level of Intra Investment-from Indonesia to India and vice-versa. Mr. Saharia also mentioned that the tourism Industry has been considerably growing .Tourism from India to Indonesia has increased by 28% and is estimated to increase by 40% by next year. There exist vast differences between Indonesia and India in terms of geographical features, extent of population and the size of the economy. Hence, the true potential of the existing relation between these two countries are yet to be reached. With the visit of the Hon’ble Prime Minister of India to Indonesia, a number of agreements have been signed in regard to economic, education, defense, health and various other subjects. India and Indonesia has also jointly signed an agreement to construct a port that is to be used mutually. This agreement has tremendous strategic Comprehensive Partnership.

H.E. Mr. Sidharto Reza Suryodipuro, Ambassador, Embassy of the Republic of Indonesia, New Delhi shared his objectives of visiting Kolkata. He mentioned that the recent visit by the Hon’ble Prime Minister to Jakarta marked the pinnacle of collaboration between the countries. Both the countries share similar election patterns and both these countries are to enter their respective election phases in 2019.He emphasized that the meeting between Prime Minister Modi and President JokoWidodo has been considered to be the best bureaucratic meeting between the two countries, ascertained by the body language of both the leaders and the sheer number of agreements that have been signed with regard to trade and various other subjects. In the meeting with the Indian Prime Minister, the Indonesian President envisioned the goal of reaching a trade balance of $US 50 Billion within the time span of next 10 Years. Trade relations with Indonesia have been driven largely due to its surplus endowment of Natural resources. About $US 10 billion in Trade Surplus in the previous year could be attributed to Indonesia’s abundance in Coal and Palm Oil. The meeting accentuated the importance of connectivity and Infrastructure between the two countries. In terms of connectivity, more emphasis is being given to air connectivity. The number of flights from India to Indonesia and vice-versa needs to be increased. In diversifying trade on the Indonesian side, a number of products have been given access to India- red meat, pharmaceuticals, dairy, rice, sugar etc. The meeting of the two leaders also laid emphasis on the development of e-commerce. Cooperation between the two countries should be increased in the field of aeronautics. Discussions were also held with regard to Defense, Security and Maritime-cooperation in the Indo-Pacific. Indonesia is a country of 265 million people. Logistics is a major issue for the country. Focus has to be given on Infrastructure and connectivity. In terms of Gross Domestic Product(GDP), Indonesia is the 16th largest economy in the world. In terms of Purchasing Power Parity(PPP) Indonesia is the 7th largest economy in the world. India is the third largest economy in the world in terms of PPP. In terms of Logistical index, India is ahead of Indonesia. This could be attributed to the demographics of Indonesia.

Ambassador also highlighted few challenges that are to be met-a)More progress has to be achieved in terms of air connectivity b) Maritime connectivity- presently there are no direct shipping connections between India and Indonesia with the exception of coal barges and palm oil tankers. There should be provisions made for smaller ships to make direct connections with Indonesia. Agreements have also been made regarding the joint development of the Port of Sabang. Efforts need to be made in strengthening the bilateral relations between India and Indonesia. Cruise Shipping has been identified as an area of active discussion and has a lot of prospect for growth. The proximity of India and Indonesia calls for a closer relationship between the two countries. Emphasis should be laid on diversifying and improving the existing relationships between the two countries in terms of Business to Business, Government to Government, and People to People Connectivity.