PT Bosowa Corporation

Mona Ibellini of Arabian Business TV met Erwin Aksa, President Director Bosowa Corporation at DIFC’s Capital Club to discuss the ’New Silk Road’ and Indonesia’s rising opportunities.

Aksa visited the Gulf to seek and expand the capacity and promote large scale investments in Indonesia from a range of infrastructures such as mining, oil and gas as well as logistics.

Bosowa Corporation dominates the cement industry in Indonesia and Aksa insists there is a lack of investment going into the infrastructure of Indonesia such as highways, ports, airports and power plants.

Bosowa partnered up with CTI, Jordanian based cement and Clinker Company, through Arqaam Capital investment bank and Aksa believes this partnership has proven to be successful and is confident they can optimise their strength together.

Bosowa produces about 1.2 million tonnes of cement in their cement grinding plant in Batam, near Singapore.

Aksa says the cement market has been increasing by 10% every year and the demand has accelerated to 40 million tonnes every year despite the possibility of Indonesia having a shortage of cement in the next 2-3 years.

Commenting on the 'New Silk Road', the growing trade and business route between the Middle East and Asia, Aksa says that the production of cheap Chinese goods has not only affected parts of Asia such as Indonesia and Malaysia, but equally the Middle East as they have had to reduce their own production capacity.

Instead of producing from home, it makes sense to import from China from an economic perspective and he feels they will not be able to compete with China.

Aksa says they have had talks with several sovereign wealth funds and is adamant that the process and financial packaging needs to be re-structured, not only from their point of view, but also from the Government’s.

As one of the President of Indonesia’s top economic advisors, he feels again that there is a lack of foreign investment and the Indonesian Government is currently working on this.

link for video : http://www.arabianbusiness.com/591703-video-new-silk-road-affects-mideast-too