Japan to invest in fire extinction technology in Indonesia

The Investment Coordinating Board said a Japanese company engaged in fire extinction technology is interested in investing Rp600 billion in Indonesia.

The Head of the Board, Franky Sibarani, in a press release received by Antara here on Monday, said the potential investors will build a forest fire prevention system and develop this technology in Indonesia.

“This business will deal with ways to prevent forest and land fires by applying such technology,” he added.

Sibarani informed that the company already has a local partner, a fact that will help them realize the investment.

The Japanese company is currently reviewing two locations that could be used to set up its operations here. These sites are in Sei Mangke Industrial Area, North Sumatra and Tanjung Api-Api Industrial Area, South Sumatra.

Sibarani explained that the raw material used in fire fighting technology can be procured from within Indonesia.

“The Indonesian workers who will operate the technology would be first trained in Japan for at least six months,” he disclosed.

An Indonesian official of the Investment Promotion Office in Tokyo (IIPC), Saribua Siahaan, remarked that this investment plan was quite interesting, considering that the Japanese investment in the country is largely in the automotive sector and its supporting components.

“We are ready to help the company to realize its investment in Indonesia. This investment is also expected to contribute positively to the governments efforts to prevent forest fires,” he noted.

Data obtained from the Investment Coordinating Board shows that in the second quarter of 2016, the realization of Japan investment in Indonesia had reached US$1.58 billion and covered 427 projects, providing jobs for 28,377 people.

In 2015, the realization of Japanese investment amounted to US$2.87 billion with 2,030 projects and had absorbed 115,400 workers.