TEMPO.CO, Jakarta - Industry Minister Saleh Husin said that 13 industrial areas would be developed in North Sumatera, Lampung, South Sulawesi, North Maluku and Papua in preparation for ASEAN Economic Community (AEC) in 2015.
The development of these industrial areas have been adjusted with regional potentials, which can be cultivated directly in the new industrial areas. The government will also pursue infrastructure development in the new industrial areas. "One of them is seaport to ease distribution," he said.
In order to meet the funds for the industrial areas, Saleh will mull cooperation between the government and private. If it is not possible, the government will build the industrial areas alone. However, Saleh has not provided details on the funds needed for the 13 industrial areas. He also hopes local products can compete with foreign products after the industrial areas have been completed.
ASEAN Secretariat data stated that trade between Southeast Asian countries grows faster than commerce with countries outside of the region. From 1993 to 2013, intra-ASEAN trade increased by 10.5 percent every year. Intra-ASEAN trade also contributes 25 percent to South Asia's GDP.
However, many parties concern that Indonesia is unable to face ARC 2015 because Indonesian products are difficult to compete with foreign products. Moreover Indonesia’s large population is considered only as a good market for other countries, without being balanced with Indonesia’s capability to penetrate other countries' markets.