Portuguese firms tap Indonesia for opportunities

The delegation, touted to be the biggest Portuguese business mission to the country, highlighted its new interest in Indonesia, predicted to be among the world’s 10th biggest economies within the next decade, Portuguese Ambassador to Indonesia Joaquim Moreira de Lemos said on Monday.

Last week, an Italian delegate held a business forum in Jakarta. Delegates from Denmark and Norway had talks earlier.

At present, Portuguese firms focus more on other regions, such as Europe, Africa and South America, and invest heavily in countries like Angola, Mozambique and Brazil, Lemos added.

“Portugal wants to be a part of Indonesia’s presence in order to contribute to the construction of its future. […] We would like to have the opportunity to show the excellence of what we do,” he told a business seminar at the Investment Coordinating Board (BKPM) office in Jakarta.

The delegation comprised 28 firms working in various areas, ranging from fish processing, pulp and paper, construction, machinery production to engineering consultation and banking. There were representatives from banks have a strong overseas presence, such as Portugal’s first private bank Banco Espirito Santo, as well as major engineering and management consultant Consulgal and intelligence security management firm Vision-Box.

Lemos said that the current bilateral trade was “unsatisfying” because Indonesia was not among investment destinations for Portuguese firms despite the fact that both countries had ties dating back five centuries.

Portugal cut diplomatic ties after Indonesia invaded East Timor (a former Portugal colony and now Timor Leste) in 1975. The two countries restored ties in 1999 after East Timor gained independence through a referendum in the same year.

Bilateral trade stood at US$108.99 million (Bt3.2 billion) last year, down 36.36 per cent from a year earlier, with Indonesia exporting $81.05 million of goods and commodities and importing $27.94 million, Trade Ministry data shows.