A serious new Australian radio series of interviews on Indonesia

ABC Radio's Saturday Extra begins a new series of interviews on Indonesia, Australia's increasingly important neighbour which has emerged as an upper-middle-income country with a national budget that has tripled in eight years and a growth rate above 6% despite the global financial crisis.

This first episode focuses on politics and business and touches upon democratisation, decentralisation, social media, the mining boom and the high-profile struggle against corruption.

Geraldine Doogue's guests are Ed Aspinall, Professor of Politics and Head of the Department of Political and Social Change at ANU College of Asia and the Pacific and coordinating editor of Inside Indonesia (which turns 30 this year), and Dr Anies Baswedan, President of Paramadina University in Jakarta, Indonesia.

Listen now or download audio.

BlueScope plans 10 new factories in Indonesia by 2016

Australian-owned BlueScope Lysaght Indonesia, which manufactures roll-forming, cladding and associated building products in Cibitung, West Java, plans to expand its business by building 10 factories in other parts of the country by 2016. Willius Suwandana, president director of the company, said the factories, each close to markets and producing about 1,500 tons/y of coated-steel products, would each cost around $500,000.

Parent company BlueScope Steel has reportedly already invested $250 million in Indonesia. “We are not hesitant to pour money here because Indonesia is an important market,” said Paul O’Malley, managing director and chief executive ..

Australia's mining, technology, equipment and services at OzMine in Jakarta in April

Australia’s world-leading mining expertise will be on show at Ozmine 2013 in Jakarta on 16-17 April. Ozmine is Australia’s premier mining event in South-East Asia and will consist of a conference, exhibition and ample networking opportunities.

The event brings together key Indonesian, Australian and ASEAN industry and government players to identify and analyse major trends, opportunities and challenges in the mining sector across this fast-growing region.

Australia’s Trade Commissioner in Jakarta, Julianne Merriman, said that this year’s theme – Australia and ASEAN: Partnering for Performance – signifies how business people throughout the region are linking with Australian expertise to improve efficiency and boost productivity.

“Ozmine2013 provides the perfect opportunity to build  relationships further and meet new Australian business partner from a wide variety of roles in the mining sector,” she said. “Australia has a robust mining industry which contributes a sizeable 9% to Australia’s GDP. 

"Australia’s miners operate in some of the most remote and harsh conditions found anywhere in the world. This environment has seen Australia develop the technologies and services needed to work efficiently within these tough conditions,” she said.

“Australia has a strong presence in the planning, development and delivery of a wide range of world-leading mining equipment, technology and services designed to ensure mines remain productive, possess high environmental standards and contribute to economically sustainable development."

Indonesia and Australia have a strong business relationship, with Indonesia currently standing as Australia’s 13th largest merchandise trading partner

Monash University publicly contemplates a campus in Indonesia

Monash University is considering opening a campus in Indonesia; it would be the first Australian university to do so. Last year Indonesia passed a law permitting foreign education institutions although their operations would be restricted.  Monash is currently represented in Indonesia by the Jakarta International College which offers Monash College courses and a local Monash University Foundation Year.

During February, Monash sent a delegation of more than 40 to Indonesia, which enjoyed a number of high-profile meetings including the conferring of an honorary doctorate on Indonesia's Australian-educated Vice-President Boediono at a ceremony attended by President Susilo Bambang Yudhoyono.

In his meeting with Dr Makarim Wibisono, Executive Director of the ASEAN Foundation, Monash Vice-Chancellor, Prof Ed Byrne was reportedly enthusiastic about the possibility of establishing a Monash University campus in Jakarta "or other cities of Indonesia."

Like many Australian education providers, Monash has had a light marketing influence in Indonesia over the past decade, blaming the Australian government's severe travel warnings for the lack of attention. "Monash never forgot about Indonesia (but) it sees that this is the best time to review the relationship," said former newspaper editor, Paul Ramadge, the Monash Vice-Chancellor's professorial fellow who is "overseeing a new strategy to engage Indonesia".

New Australian state offices in Indonesia expected to be delayed

It has taken nearly a decade, but most Australian states have indicated that they will reopen trade and investment offices in Indonesia. Only Western Australia has had continuous representation in Indonesia over the past 20 years.

However, the establishment of the new services may be delayed until the Indonesian Department of Foreign Affairs finds a regulation specifically covering foreign sub-national government missions in the country.

The Victorian government announced last May that it had approved a new office in Jakarta and a number of trade missions have already been mobilised through the state’s ASEAN regional office in Kuala Lumpur using the marketing services of Phillip Morey’s Morelink International.  An office and facilities scoping study was completed earlier this year.  A ‘mega’ Victorian trade mission, focusing on IT, is scheduled to visit Malaysia, Singapore and Indonesia in June.

Queensland, South Australia and the Northern Territory have publicly discussed new Indonesian offices but few details have merged. The NT also has plans to establish “an Australia-Indonesia Forum at Charles Darwin University, where senior figures from the two countries could share ideas.”

Western Australia has planned to advertise to find a replacement for the recently retired state trade commissioner in Indonesia, Martin Newbery but this may also be postponed until the Indonesian government clarifies its position.  Currently WA is represented by Kellie-Jane Pritchard in an acting capacity. She was previously Manager, AGWEST International.

2013 Indonesia-Australia Dialogue to be hosted by AIIA with CSIS

The 2013 Indonesia-Australia Dialogue will be held in Sydney on 3-4 March. The event is co-convened by Mr John McCarthy, National President of the Australian Institute for International Affairs (AIIA) and former Australian Ambassador to Indonesia, and Dr Rizal Sukma, Executive Director of the Centre for Strategic and International Studies (CSIS) in Jakarta. The AIIA was selected by Australia’s Department of Foreign Affairs and Trade to act as secretariat for the Dialogue.

The inaugural dialogue was held in Jakarta in 2011 with discussions covering domestic, regional and global issues and exploring opportunities for closer engagement in business, science and technology. 

Australian business organisations offered government funds to assist SMEs into Asia

Will Australian-based business organisations use government funds to push in to Asia to compete with local Australian organisations such as Chambers of Commerce and Business Councils?

The Australian government intends to offer grants ranging from $25,000 to $300,000 to “assist member-based business organisations harness commercial opportunities in Asia for small to medium sized Australian businesses”.

The Asian Century Business Engagement (ACBE) plan is a four-year program that will run from 1 July 2013. Final guidelines have not yet been released but the key goals are to expand the capability of the business groups to

• assist Australian firms access in-market business networks more effectively and develop relationships with business contacts in Asian countries;
• identify and secure more opportunities for Australian firms in regional value chains in Asia;
• strengthen business links between Australia and Asia;
• influence corporate Australia to initiate closer engagement with Asia;
• raise the profile of Australian business capability in Asia; and,
• increase awareness of Australia in Asia, and of Asia in Australia.

According to draft guidelines, Australian-based organisations will be permitted to sub-contract to  foreign member-based organisations to deliver approved programs.

However, eligible participants may also be, in their own right, “Australian business chambers based in Asian cities [which are] appropriately registered with local business authorities and provide a letter from the relevant Australian diplomatic or consular mission confirming that the organisation in question is actively involved in promoting networking and business promotion among Australian members and local companies.”

Airlinks and air traffic growing between Indonesia and Australia

Indonesia and Australia have renewed and expanded a bilateral air service agreement, allowing carriers from both countries to increase the frequency of connections between the cities of Denpasar (Bali), Makassar (South Sulawesi), Medan (North Sumatra) and Surabaya (East Java) and Brisbane, (Qld), Melbourne (Vic), Perth (WA) and Sydney (NSW). Seats per week will be expanded by 2,500 to 27,50.

• Garuda has announced flights between Jakarta and Brisbane in the second half of the year after it receives a new Boeing B737-800 Next Generation (NG).

• Batik Air plans to fly from Kupang (East Nusa Tenggara) to Darwin (NT) and from Denpasar (Bali) to Adelaide (SA) from May using Boeing B737-900 Extended Range (ER) aircraft.

Traffic between the two countries grew 13% to more than 2 million passengers in 2012

Australian resident of Balikpapan buried

The funeral of an Australian resident of Indonesia was held in his home town of Bundaberg, Queensland yesterday.  Michael Adrian Headley, 34, an engineer at mining contractor PT Pamapersada Nusantara in Balikpapan, East Kalimantan, died of a heart attack on 16 Feb during a jungle motorbike rally.  Micko is survived by his wife Adolfina Bura Rapa and son Maeson.

Sports development news in Indonesia

The establishment of the Australian Sports Group Indonesia draws together Australians in leadership roles in sports in Indonesia to discuss issues of mutual interest, particularly expanding grass-roots sporting facilities for Indonesians, managing Australian sports volunteers, and promoting positive values in sports in Indonesia. Sports represented include Football, Cricket, Rugby, Australian Football and Athletics.

Netball’s new Jakarta Komodos club

A new netball club has been established in Jakarta, with Australians representing about 30% of members. Amie Rae, captain of the Jakarta Komodos, says the club is based at the British International School in Bintaro but is looking for covered courts in other areas of Jakarta.

The team has just returned from participating in the inaugural Singapore Cricket Club Netball 7s tournament and is looking forward to welcoming new members, including Indonesians interested in the game. Training takes place at 4.30pm Wednesdays and 4pm Fridays at BIS.

Details: Amie Rae at amieallen@hotmail.com.

Website: www.pitchero.com/clubs/jakartakomodosnetballclub/

Rugby gains official recognition in Indonesia

Rugby football - Persatuan Rugby Union Indonesia - has become a Permanent Member of the National Sports Committee of Indonesia (KONI - Komite Olahraga Nasional Indonesia).  This is official recognition of the sport’s growing popularity and its organizational status in 12 of the country’s 34 provinces.

Modern development in the game commenced with the establishment of Rugby Indonesia in 2004 by four Australians and three other expatriates.  Thiess were the first sponsors of Indonesian Rugby, followed by Qantas and Leighton. Volunteers through the Australian Youth Ambassador for Development (AYAD) program have also played a role.

Details: Steve Barber at prui_sponsor_and_marketing@hotmail.co.id

Website:  http://indonesiarugbyunion.pitchero.com/

Australian Trade Commissioner murdered, Austrade post moved to Bandung

On 15 February air-raid sirens sounded across the island republic of Singapore, signifying the 71st anniversary of the British surrender of Singapore to the Japanese imperial army. Four days later Australia’s Northern Territory similarly marked the Japanese air raids on Darwin city on 19 Feb 1942; the largest single attack ever mounted by a foreign power against Australia.

Both events mark the end of an era when Australia relied on British military might for protection and British embassies and missions for diplomatic representation.

Australia’s first two embassies opened in Tokyo and Washington as late as 1940. Prior to then, its independent sources of economic and military intelligence in the neighboring region were primarily private business executives and the thin network of federal and state trade commissioners. 

One was Vivian G Bowden, a Sydney born, Asian-trade veteran – who’d worked for a family silk business in Japan before enlisting in the British army in the Great War and then managed a business in China - who was recruited to establish an Austrade office in Shanghai in 1935, just 18 months before Japan’s declaration of war on China. 

Japan’s subsequent invasion caused the closure of the office in 1940 and Bowden was relocated to Singapore as Australian Commissioner.  From there he warned the Australian government of the worsening military situation and the inadequacy of Singapore’s defences.  

On 9 Feb 1942, the day before the Japanese forces landed on Singapore, he reported to Canberra that he could leave immediately on a cargo ship; however he was instructed to stay longer at his post as Australia’s senior civilian official otherwise the Australian Government  “would be deprived of independent information and effect on morale would be bad”.

On 14 Feb, just before the British surrender, he and two Austrade colleagues escaped on a small boat to Sumatra where they were intercepted and forced to land on Bangka island.  On 17 Feb, at  Muntock, Bowden tried to explain his diplomatic status but was beaten by Japanese guards and taken outside. According to later reports, he was shot after being forced to dig his own grave.

Bowden was survived by his wife, two daughters and son Ivor who joined the Australian foreign service and served as ambassador to Iran (1974-78) and Pakistan (1984-87).

Meanwhile, on Java island, Australia’s trade commissioner to the Dutch-controlled East Indies, Herbert Peterson, had moved his Austrade office from Batavia (now Jakarta) to the inland city of Bandung. Peterson had been appointed Australia’s second trade commissioner to Batavia in 1937 after earlier military and intelligence service and senior positions in foreign affairs. 

His wife was safely back in Australia but he had already lost one son in Australian military airborne operations and another was a POW in Italy.

As the Japanese navy won sea battles against British, Australian, Dutch and USA ships in the Sunda Straits and Java Sea, Peterson visited Australian women who had decided to remain with their Dutch or British husbands and distributed cash to those who needed it. Austrade’s local staff hid Trade Commission documents, closed the office and disbursed until the end of the coming Japanese occupation. 

On 28 Feb Dutch military forces, supported by about 5500 British, 3000 Australians (the lightly equipped Blackforce infantry brigade), and 750 Americans (a Texas National Guard unit attached to Blackforce), met the Japanese invasion of Java at Bantam Bay/Merak and Eretan Wetan (West Java) and at Kragan (East Java). 

That day the last two Qantas flying boats moored at Cilacap port on the south coast of Central Java made their final flight, full of civilian refugees, to Broome in Western Australia.

On 3 Mar, Paterson drove all night from Bandung to Cilacap where he boarded a small, 1,200 t Dutch freighter with other diplomats (including the British Consul-General, staff and families) and 2,000 others. Its escort, HMAS Ballarat was the very last allied vessel to leave Cilacap.

At 9 am, on 8 March 1942, the Commander-in-Chief of Allied forces, Lieutenant General Ter Poorten, announced the surrender of his Royal Netherlands East Indies Army (KNIL) in Java.

On 12 Mar, the senior British, Australian and American commanders were summoned to Bandung where their formal instrument of surrender was signed in the presence of the Japanese commander, Lieutenant-General Masao Maruyama, who promised them the rights of the Geneva Convention for the protection of prisoners of war.

The Australian troops were imprisoned in several camps in Java, particularly Bandung camp, under Lieutenant Colonel E. E. “Weary” Dunlop.

In October 1942 this group and others were moved to Makasura, near Batavia. In January 1943, as part of the 900-strong Dunlop Force, the prisoners were transported from Java to Konyu, Thailand.

Other Australians captured on Timor (from 2/40th Infantry Battalion, a component of Sparrow Force) were transferred to Java and Singapore, and then to Thailand, Japan and elsewhere.