(VOV) -Vietnam and Indonesia have plenty of opportunity for cooperation in food and energy security and oil and gas exploration.
At a joint business forum in Ho Chi Minh City on June 13-14, Vu Tien Loc, Chairman of the Vietnam Chamber of Commerce and Industry (VCCI), said Vietnamese and Indonesian businesses involved in the seafood processing sector should work closer together in supply activities.
Indonesian businesses can also invest in rubber production for support industry in Vietnam, Loc added.
He cited tourism industry as another promising sector as more than 74,000 Indonesian visitors came to Vietnam last year.
By the end of last year, PT Semen bought 70 percent of shares from Vietnam’s Thang Long Cement Company and PT Madiri Bank opened a branch office the country.
Last April PT Nikko Securities spent US$10 million buying a major of share equal to 20 percent of Hoa Binh Construction & Real Estate Corporation’s chartered capital.
On June 13, PT Telin signed a memorandum of understanding (MoU) on strategic cooperation with CMC, one of the leading technology groups in Vietnam.
Le Phuoc Vu, Director General of Hoa Sen Group, said at its recent annual general meeting the group decided to invest in a project in Indonesia.
The Hoa Binh Corporation is arranging for 20 engineers to work under some construction contracts in Indonesia, while Acecook Vietnam is keen to export instant noodles to the country.
A representative from Indonesian authority said most of food items imported into the country are tax-free.
According to the Foreign Investment Agency (FIA) Vietnam has seven mineral exploration, oil and gas, and communications projects operating in Indonesia with a registered capitalisation of US$106.7 million.
Deputy Head of the Department for Planning and Investment Dang Xuan Quang said by May 2013, Indonesia had poured US$285.2 million into 35 projects in Vietnam, ranking 27th among foreign investors in the country.
Indonesian investment focuses on the processing, manufacturing, food and drinks services, healthcare, and social support industries.
Last year, Indonesia was Vietnam’s fourth largest Southeast Asian trade partner, with two-way trade rising to US$4.6 billion from US$2.5 billion in 2008.
In the first four months of this year, Vietnam exported steel, garments, rice, coffee, telephones and components, machines and equipment, vehicles and many other products worth US$745.7 million to Indonesia.
The two countries were committed to raising bilateral trade exchanges to US$5 billion in 2015, but, this target is almost within reach.