Post on 09-May-2019
transcript
4/07/2017
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© Sembcorp Industries 2017 1Co-confidential
Indonesia and Vietnam
ASEAN’s Hottest Manufacturing Destinations
(Indonesia, Central Java Province)
Sembcorp Parks Management
(Kendal Industrial Park)
Keiko Fujita
Thursday, July 6 2017
@ ASEAN Japan Centre
© Sembcorp Industries 2017 2Co-confidential
Understanding about Indonesia(as of 2017)
Advantages Challenges
1 Local Market ‘s Growth
Potential
Tough Competition with
competitors
2 Huge Local Market’s Unclear application of Law &
Regulation
3 Reasonable Labor Cost Increase of Labor Cost
4 Supply base for Assemblers Uncertainty of Security & Society
5 Industry Integration
Export Base to other Countries
Poor Infrastructure
Survey Report on Overseas Business Operations by Japanese Manufacturing Companies
Results of the JBIC FY2016 Survey:
Outlook for Japanese Foreign Direct Investment (28th Annual Survey)
From JBIC Survey (Indonesia)
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© Sembcorp Industries 2017 3Co-confidential
Understanding about Indonesia(as of 2017)
Jakarta Area
(Jabodetabek)
Surabaya Area Riau Islands
(Batam Bintan)
Population About 10.12 million
(Jakarta DKI)
About 2.85 million
(Surabaya City)
About 1.16 million
(Batam City)
Advantage Capital Economy Area
(Biggest Market in
Indonesia)
Industry Integration
High Market
Potential (followed
by Jakarta)
Special Economic Zone
(FTZ)
Manufacturing activity
making use of Singapore
as Hub
Challenges High Labor Cost
/Consumer Price
Traffic Jam
Labor Issues
Tough Competition
Industry Integration
not enough
High Labor Cost
Traffic Jam
High Labor Cost
Competition with other
countries as Export Base
(China/Vietnam)
Distance to Local Market
Base
© Sembcorp Industries 2017 4Co-confidential
Understanding about Indonesia(as of 2017)
Jakarta Area
(Jabodetabek)
Surabaya Area Riau Islands
(Batam Bintan)
Semarang Area
(Central Java)
Population About 10.12
million
(Jakarta DKI)
About 2.85
million
(Surabaya City)
About 1.16 million
(Batam City)
About 1.72 million
(Semarang City)
Advantage Capital Economy
Area (Biggest
Market in
Indonesia)
Industry
Integration
High Market
Potential
(followed by
Jakarta)
Special Economic Zone
(FTZ)
Manufacturing activity
making use of
Singapore as Hub
Minimum wage half of
Jakarta & Surabaya
Between two big
economies in Java Island
Possible to recruit local
talents
Challenges High Labor Cost
/Consumer Price
Traffic Jam
Labor Issues
Tough Competition
Industry
Integration not
enough
High Labor
Cost
Traffic Jam
High Labor Cost
Competition with
other countries as
Export Base
(China/Vietnam)
Distance to Local
Market Base
Need to establish
Industry Integration &
Japanese Service
Support
Need to train Manager
class Staffs
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© Sembcorp Industries 2017 5Co-confidential
• Area:32,800 square Kilometer
• Population:33.74 million (2015)
• Major Cities:Semarang (Capital), Solo (Hometown of President Jokowi),
Magelang
Central Java Province
Central Java Tourist Information (Japanese) http://enjoytrip.wixsite.com/indonesia-jawa
© Sembcorp Industries 2017 6Co-confidential
Infrastructure of Central Java –Trans Java Tall Highway
At Lebaran time in 2017, road Temporary opened partially
To be Fully Connected by 2019
Source:インドネシア公共事業省
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© Sembcorp Industries 2017 8Co-confidential
Infrastructure of Central Java –PowerJapanese Companies related Power Plant Project in Central Java
• Batang Power Plant
J Power, Itochu Corporation
1000MW x 2- Expected to Complete 2020
• Tanjung Jati B Coal Fire Power Plant(Jepara)
Sumitomo Corporation, Kansai Power
1, 2 - 660MW x 2 – In Operation
3,4- 660MW x 2 – In Operation
5,6- 1000MW x 2 – Under construction, Expected to start operation by 2021
地図データ:(C)OpenStreetMap contributors
Tanjung
Jati B
Batang
Semarang
© Sembcorp Industries 2017 9Co-confidential
Infrastructure of Central Java –Port / Airport
Semarang, Ahmad Yani Airport
20 Minutes Drive from Semarang Town Center
Surakarta (Solo), Adi
Sumarmo Airport
30 Minutes Drive from
Solo Town Center
Semarang, Tanjung Emas
International Port
20 Minutes Drive from
Semarang Town Center
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© Sembcorp Industries 2017 10Co-confidential
Area:313.70 square kilometerPopulation:1.72 million (2016)One of 5 Major Cities in Indonesia (Jakarta, Surabaya, Medan, Bandung, Semarang)
Developed as Port City (from Ming Dynasty time of China, and Colonial Time under Dutch)First Railway in Java Island was developed (in 1867, 25km)
Japanese Living in Semarang: about 140 in Semarang Japan Club (Actual number about 200 pax)Japanese companies around Semarang Area : 25 companies (from JETRO survey)
Capital of Central Java Province - Semarang City
© Sembcorp Industries 2017 17Co-confidential
Comparison of Minimum Wage in Indonesia
Area IDR USD
Jakarta DKI 3,355,750 258.13
Bekasi (Near Jakarta) 3,530,438 271.57
Karawang (Near Jakarta) 3,605,271 277.33
Surabaya (East Java) 3,296,213 253.55
Batam City 3,241,126 249.32
Semarang City 2,125,000 163.46
Kendal Regency 1,774,867 136.531USD = 13,000 IDR
Minimum Wage in 2017
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© Sembcorp Industries 2017 18Co-confidential
• Kubota (2 coys)-Diesel Engine and Bending Machine OEM
• Sumitomo Forestry (2 Coys)-Particle Board & Materials for Musical Instruments & Wooden Building Materials
• Yazaki-Wire Harness
• Fukuryo (Aoyama Trading) -Business Suit (Men’s Apparel)
• Morinaga-Snacks, Sweets
• Vox Trading (House)-Wasabi, Vegetable & Spice Processing
• Nippon Indosari (Shikishima, Sojitsu) -Bread
Japanese Company in Central Java Province, Semarang Area
© Sembcorp Industries 2017 19Co-confidential
• Sido Muncul (PT. Industri Jamu dan Farmasi Sido Muncul Tbk.)
Major Jamu company,Tolak Angin is quite popular among
Indonesia people for flu medicine
• Djarum
Major Tabacco Company located in Kudus (Suburb of Semarang)
Currently one of the top group company with business diversion
• Polytron (PT Hartono Istana Teknologi)
Major Consumer Electronics company. HQ and factory is in
Semarang & Kudus. Currently manufacturing Smart Phone
• Sritex (PT. PT SRI REJEKI ISMAN Tbk)
HQ at Solo (Surakarta), Major Garment Company
• Pan Brothers (PT. Pan Brothers Tbk)
HQ in Tangerang (West Java), recently active to set-up factories
in Central Java – OEM for Uniqlo
Central Java Province, Major Indonesian Companies (HQ and Factories)
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© Sembcorp Industries 2017 20Co-confidential
Life in Semarang
© Sembcorp Industries 2017 29Co-confidential
Semarang Japanese Club
• Members:140 (Include Adults/Children, as of November 2016)
• Events:General Meeting, Recreation (Fishing, BBQ) Golf Competition, Newsletter, Seminar, etc
• Started Japanese Supplementary Lessons (twice/month)
From Jakarta
Shinbun on 10
April
4/07/2017
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© Sembcorp Industries 2017 30Co-confidential
Lastly::::About Sembcorp and Kendal Industrial Park
© Sembcorp Industries 2017 31Co-confidential
“One of the Key projects representing corporation of
Indonesia & Singapore”
Followed by Riau Province (Batam, Bintan)
Opening Ceremony of KIP on 14 November 2016
PM Lee Sheng Loong of Singapore (Left), President Joko Widodo (Jokowi) of Indonesia (Right)
Kendal Industrial Park((((KIP)
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© Sembcorp Industries 2017 32Co-confidential
100%
Sembcorp Utilities
Provides Energy,
Water, on-site
logistics and solid
waste management
solutions to
Industrial and
Municipal customers
Sembcorp Development
Develops, markets and
manages urban
developments comprising
industrial parks as well as
business, commercial and
residential space
Sembcorp Marine
Offers a full spectrum of Integrated Solutions focusing on four key capabilities: rigs & floaters, repairs & upgrades, offshore platforms and specialized shipbuilding
100%Listed 39%
Sales Turnover: S$9.5Bn
* As of December 31 2015(Sembcorp Facts & Figures)
61%
Listed 50.5%
Singapore MOF
Temasek Holdings 49.5%
Other business:
Singapore Mint
Sembcorp environment etc
Sembcorp Industries
China
�Wuxi-Singapore Industrial Park
�Sino-Singapore Nanjing Eco Hi-Tech Island
�Singapore-Sichuan Hi-Tech Innovation Park
�China-Singapore Suzhou Industrial Park*
*Projects not managed by SCD
Vietnam
�Vietnam Singapore Industrial Park (VSIP)
�VSIP Binh Duong Integrated Township & Industrial Park
�VSIP Bac Ninh Integrated Township & Industrial Park
�VSIP Hai Phong Integrated Township & Industrial Park
�VSIP Quang Ngai Integrated Township & Industrial Park
�VSIP Hai Duong Integrated Township & Industrial Park
�VSIP Nghe An Integrated Township & Industrial Park
Indonesia� Gallant Venture *
– Batamindo Industrial Park
– Bitan Industrial park
– Bintan Resort
� Karimun Marine & Industrial Complex *
�Kendal Industrial Park
Sembcorp Urban Development
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© Sembcorp Industries 2017 34Co-confidential
Kendal Industrial Park - Location
KIP
Phase 1
Within One hour drive
distance from Port,
Airport, and City Center
© Sembcorp Industries 2017 35Co-confidential
Kendal Industrial Park((((KIP)
Suburb of Semarang, Capital City of Central Java Province (About
20km from Town Center)
Total Development Area:2700 ha
Phase I ::::860 ha
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© Sembcorp Parks Management Pte Ltd 2015
Contact :Kendal Industrial Park
Indonesia OfficeSenior ManagerKeiko Fujitakeiko.fujita@sembcorp.com+ 62 818 0894 6802
Singapore OfficeManagerTomomi Takeshigetomomi.takeshige@sembcorp.com+65 9632 2208
© Sembcorp Parks Management Pte Ltd 2015
Thank you!!