Build Plant Milk, Kalbe Rp 300 Billion Spending

PT Kalbe Farma, drug manufacturers and national health supplements, plans to build a dairy factory in the Cikampek, West Java. According to the Director of Finance and Corporate Secretary of Kalbe Farma, Vidjongtius, the plant cost around Rp 300 billion. “The project started in 2014,” he said at a media gathering.
Vidjongtius said the plant will be owned by the installation of a fourth milk production Kalbe Farma. With the construction of this plant, Kalbe increase milk production capacity of 12 thousand tons to 24 thousand tons per year.
Funds to build the plant will be met from capital expenditure Kalbe Farma in 2013, which reached Rp 1.5 trillion. According Vidjongtius, until the first half, the company has spent at least 40 percent of the annual capital expenditure. “The new plant is expected to support business growth in the future,” he said.
In 2012, Kalbe has completed the construction of dairy factory in Sukabumi, West Java. This plant is the result of cooperation with PT Milko Beverage Industry. Kalbe, which poured an investment of Rp 154 billion, became the majority owner with 51 percent parts.
Throughout 2013, Kalbe targeting revenue growth and net income by 18 percent. That figure is above the growth of the pharmaceutical industry which reached 15 percent. In 2012, Kalbe Farma pocketed a net profit of Rp 1.73 trillion and Rp 13.6 trillion in net sales. Thus, the company targets a net profit of Rp 2.04 trillion and Rp 16 trillion in net sales in 2013.

India May industrial output shrinks surprise 1.6%

India’s industrial output shrank by a shock 1.6 percent in May from a year ago, data showed Friday, adding to mounting gloom about Asia’s third-largest economy.

The contraction in output by factories, mines and utilities was far below market forecasts of a 1.5-percent rise while in another blow, April’s industrial output growth was revised to 1.8 percent from 2.8 percent expansion earlier.

“Industrial recovery is not yet in sight — this is definitely a surprise on the downside,” D.K. Joshi, chief economist of India’s leading credit rating agency Crisil, told AFP.

The figures marked more grim reading for Prime Minister Manmohan Singh’s Congress-led government which is desperately hoping for an economic rebound before elections due in the first half of 2014.

“Industry has slipped into a serious crisis,” said business leader Rajkumar Dhoot, as the data showed manufacturing, which accounts for three-quarters of the Index of Industrial Production, had slumped by 2.0 percent in May.

Dhoot, chief of the Associated Chambers of Commerce and Industry, predicted “large-scale job losses” in the country of 1.2 billion people and pointed to production shutdowns already announced by the once-booming car sector.

Despite the weakness, the central bank is ill-placed to cut interest rates to kickstart the economy with the rupee near lifetime lows and separate data Friday showing retail price inflation climbing to 10.13 percent in June from 9.65 percent in May.

“For any policymaker, it is a very challenging time. You have urgent situations over the rupee, inflation and now manufacturing,” Joshi said.

“There is no magic wand except that the government must start implementing some of the economic reforms it has been promising,” he said.

While the bank has cut rates three times since the start of 2013 following an aggressive hiking spree, borrowing costs remain high.

The disappointing data comes as Finance Minister P. Chidambaram is in the United States this week on his second trip in three months to woo foreign investment — seen as key to strengthening the currency and spurring growth.

But he is seen as hampered by political opposition at home to more steps to prise open India’s still heavily state-dominated economy and investor concerns about widespread corruption.

India’s economy has been struggling under high interest rates, strong consumer inflation and weak domestic and foreign investment, as well as a string of graft scandals.

The government has forecast the economy will grow by at least six percent in the financial year that began April 1, after expanding by five percent last year — its slowest pace in a decade.

But private economists have been reducing their forecasts in the past few months with most seeing growth in the five-to-six percent range.

In one piece of positive news out of Friday’s string of downbeat data, June’s trade deficit narrowed from the previous month as gold imports slid in response to government duty hikes to curb consumer appetite for the precious metal.

The merchandise trade gap fell to $12.2 billion in June from $20.1 billion in May, easing market worries about India’s gaping current account deficit — the broadest measure of trade.

Oil imports also fell to $12.7 billion from $15 billion in May. Oil and gold imports are the biggest contributors to the current account deficit. But despite a sharply weaker currency, June exports fell 4.6 percent to $23.79 billion.

And underscoring weak consumer demand, car sales slid nine percent in June from a year earlier, marking a record eighth straight month of decline, other figures showed, and prompting industry calls for a government stimulus package.

“This is certainly the worst period I have seen in a long time,” R.C. Bhargava, chairman of Japanese-controlled Maruti Suzuki, the country’s largest carmaker, said in an interview published Friday.

Gold mining production Mauritania Normal Walking

A gold mining strike in Mauritania, the third largest company-owned Kinross, Canada, did not have an impact on production, the company said on Friday.

A union spokesman said Thursday that the strike was triggered wages and working conditions over 1,500 local staff and making production in the mining Tasiat within 400 kilometers northeast of the capital of Mauritania, Nouakchott stalled.

But a spokesman for Tasiast Mauritanie Limited SA, a unit of Kinross said the process is still running and???? Production is maintained at the planned level.

He said an agreement has been reached five of the six demands of the strikers.

Open pit mine producing 185 334 ounces of gold in 2012, it is owned by Kinross, according to the company website.

PTPP get New Contract Rp 9.5 Trillion

PT PP Tbk (PTPP) to new contracts worth Rp 9.5 trillion as of June 2013. The new contract is 2.5 times higher than the same period of the contract in the previous year.

“This acquisition nearly 50% against the target of a new contract this year from Rp 19.7 trillion,” said Corporate Secretary of PT PP Betty Ariana in a statement on Tuesday (07/16/2013).

With the acquisition of this new contract the company’s order book as of June 2013 reached Rp 25.3 trillion. This year the company is targeting sales of USD 10.2 billion with a net profit of Rp 370 billion.

Turnover and profit will be contributed from the five areas of the company’s business digeluri, construction, property, EPC, investment, and production of precast concrete.

Major projects that the company achieved, among others, the Port-Cilegon Krakatau Bandar Samudra, Nifaro Apartments, St Moritz, The Kencana, Cikampek Toll-palimanan, Tunjungan Surabaya Plaza V, Terminal 3 Seekarno Hatta Cengkareng Airport, railway in South Sumatra by PT KAI, infrastructure Sarulla 300 MW power plant in North Sumatra, Banten Intermark apartments and EPC projects Tanjung kitbag 120 MW Combined Cycle Power Plant, 160 MW power plant Bangkanai, and CNG Muara Tawar.

In addition, the company also received a new contract abroad, namely in Tibar Gleno Road, East Timor, amounting to Rp 264 billion.

Major program in the property sector which will begin in late 2013 the development landbank owned by the company, in the form of mixed use on an area of ​​4 hectares in Surabaya and a land area of ​​20 hectares in Jakarta. The target market is upper middle class.

Oil production PHE WMO 22.2 Thousand Barrels per Day

Production of Pertamina Hulu Energi (PHE) West Madura Offshore increase. If the beginning of June 2013 and in the range of 20,300 barrels of oil per day (bopd), in early July it pierces 22,200 bopd. Increase in production was achieved from 3 new production wells.
WMO block production was 70% higher than when handed over to the government of Kodeco Pertamina Energy, May 7, 2011. When it blocks the production of 13,000 bpd WMO stay. 22.2000 bopd to production performance is also higher than the target set by the oil and gas SKK 20 443 boph.
Good news from WMO block was made Senior Executive VP & General Manager of PHE WMO Bambang Kardono after accepting the award from the Governor of East Java Environment on page Soekarwo PT Semen Indonesia, last weekend in Gresik. “PHE WMO has reached a level of 22,200 bopd of oil production,” he said.
He added that the recent increase in production obtained from the drilling of new production wells 38B-5 PHE, PHE PHE 40A-5 and 40A-3. Therefore, it is confident that by the end of 2013 could surpass the average production target of 20,443 bopd given by the government.
Bambang explained, of 3 new production wells that produced approximately 4,000 bopd. But because it is also absorbed to cover declaining rate reached 50% per year, the production of WMO block can only go up from 20,300 bopd in early June to 22,200 bopd.
“This year we expect to drill 21 production wells and nine exploration wells. Needs a lot of wells drilled since we also had to cope with a relatively high rate declaining, as well as trying to find new oil and gas reserves,” he said.
Bambang added that, in addition to continue to drill new production wells, is now concentrating PHE WMO project complete new installation of the subsea pipeline connecting several new production platform with Poleng Processing Platform (PPP).
“Hopefully early August subsea pipeline installation projects it already can diselesaikan.Keberadaan new pipe that can further increase the production rate of oil-rig a new production platform,” said Bambang Kardono.
Since April 1, PHE WMO continues to increase production from 9,000 bopd to 12,000 bopd. After the break in May 17,000 bopd and 20,300 bopd in June. Peak at the beginning of production back in July increased to 22,200 bopd.

“The climax at the beginning of July back production increased to 22,200 bopd, where it is expected to end in 2013 still continues to rise more than that, do’akan, yes,” said Bambang Kardono.

This reason Yusuf Mansur Hotel Business Joint Venture Acquisition

JAKARTA, – Ustaz Yusuf Mansur turns out to have its own reasons for making the business of the Joint Venture Enterprises congregation funds. Even the joint funds can be used to acquire the hotel and turn it into a hotel for pilgrims and Umrah.

Chairman of the Joint Venture business owned Enterprises Yusuf Mansur, Arief Mufti, said the reason for this famous preachers make the business because he believes that Indonesia is very rich. Even according to analyst projections, Indonesia is believed to be a superpower.

“But we was funny. Ustaz Yusuf Mansur right Betawi, he kept thinking of Indonesia’s property behind. He considers that the Indonesian people not to miss business. Treasures Do not let it circulate in certain sectors (foreign owned),” Aries said at the conference FSA press office, Jakarta, Monday (29/07/2013).

Aries regard, the joint business is a fund of the people, by the people and for the people. Therefore, these funds can be rotated to generate profitable business. However, Aries is still reluctant to comment on the value of the proceeds from a joint business venture, especially funds that can be used to acquire Paragon Hotel Soekarno Hatta airport in Tangerang district and is now converted into a hotel Siti.

“The issue of funding, there will be an official release. We did not make a statement about it. Data will be verified again, they are consolidated, so that there is no mistake,” said Vice Chairman of the Expert Council of Islamic Economic Society (MES) is.

Currently, the FSA suggested that Yusuf Mansur public companies to make business overshadow the Joint Effort. Because, so far, the business people do not obey the rules of the stock market, let alone the promised gains of up to 8 percent.

Profit Bank Danamon Thin down 1% to Rp 1.99 Trillion

PT Bank Danamon Indonesia Tbk recorded a net loss of 1% of Rp 2 trillion in June 2012 to Rp 1.99 trillion in June 2013. The decline in earnings due to slowing auto loan company through its subsidiary Adira Finance.

Danamon recorded credit growth of 12%, to Rp 124 trillion in the first half of 2013 compared to Rp 110 trillion in the same period in the previous year. Non-automotive loans, including micro, small and medium enterprises as well as loans to commercial and corporate segments grew by 18%.

Meanwhile, auto loans through Adira Finance, which is 37% of the Bank’s total loans grew by 3% by the end of June 2013 compared to the same period last year.

This is in line with the automotive industry is still in the adjustment phase after the issuance of the rules down payment. While net interest income or net interest income grew by 6% to Rp 6.7 trillion in the first half of this year and non-interest income or fee income grew by 9% to Rp 2.4 trillion.

“Inflation is the main theme in the second quarter of 2013, primarily due to higher fuel oil by mid-June of 2013. Nevertheless, in the first half of this year, a conducive business environment to remain relatively intact. Therefore, we can record a positive performance in the first six months of this year, “said Danamon President Director Henry Ho in a press release on Friday (19/07/2013).

Danamon micro loans through Danamon Savings and Loans (DSP) recorded a growth of 10% to Rp19, 8 trillion in the first half of 2013 compared to the same period last year.

Meanwhile, loans to small and medium business segment (SMEs), rose by 25% to Rp 17.2 trillion. Credit to the commercial segment, grew by 25% in first-half 2013 compared to last year to Rp 11.2 trillion.

Credit for the corporate segment grew by 21% to Rp 13.1 trillion and trade finance business grew by 27% to Rp 8.4 trillion. Danamon Syariah loans grew 38% over last year to Rp 1.4 trillion.

In the first half of 2013, the auto loans through Adira Finance grew by 3% over the first half of 2012 to Rp 46 trillion.

“The automotive sector, especially the two-wheeler industry is still in the stage of adjustment for the impact of the rule down payment,” said Chief Executive Officer and Director of Danamon Vera Eve Lim.

Danamon’s loan growth in the first six months of 2013 coupled with asset quality is maintained. NPL (Non Performing Loans / NPLs) are at 2.4% at the end of the first half of 2013.

Market turnover Toyman Gembrong rose 30 percent during Lebaran

People who thronged Gembrong Toy Market, Jatinegara, East Jakarta bring sustenance to the merchant. Some vendors claim their turnover rise during Lebaran.

Herry (48), Kawan Lama toy shop owner, said turnover during Eid can be increased by 30 percent when compared to normal days.

“When Eid is a lot of people are looking for a toy for his son. Because right now Lebaran many children who received red packets of money,” he said.

Herry said the most sought after toys this time is a car racing car tamiya and “remote control”. Price range 10,000 Tamiya racing car to Rp 40,000, while the car “remote control range from 50 thousand up to Rp400.000.

Moreover, tamiya accessories like a “track” for the race also much sought after. While most toys sold in the market Gembrong is imported from China, Herry said “track” tamiya he was selling a local product.

“Scooters and scooters otopet genjot too much demand. Otopet Scooter prices range from 150,000 to 250,000, while the scooter genjot ranged up to Rp700.000 Rp600.000,” he said.

When Herrera expects an increase in turnover on Eid this time, Toto (40), owner of the store actually pessimistic doll Dolls Vareency can reap many benefits.

“Lebaran this year is not like last year. Though I have prepared a lot of stock because they thought this year would be the same as last year,” he said.

Toto estimates that turnover will he be on Eid this year will only be the same as Sunday on weekdays only.

Toto said Hello Kitty dolls and stuffed Minion is currently the most popular and most sought after.

6 Decades of experience Tata Motors Enough To Compete in Indonesia?

India became one of the Asian tigers after China, of course it is very reasonable considering the potential of the industry in India is estimated to be on the increase in every year.

One industry that was writhing in India is automotive. They have a Tata Motors car brand. Tata Motors has even become a world player by buying luxury car brands such as Jaguar and Land Rover.

detikOto and 10 colleagues from the Indonesian media doing a special interview with Karl Sylm who now served as Managing Director of Tata Motors Limited, and other officials at Tata Motors. Here are excerpts of the interview:

1. Experience what it will be brought to market Tata Motors Indonesia? Because Tata Motors will compete directly with the Japanese and European manufacturers, and how you distribute and make sure Tata will be accepted in Indonesia?

Karl Sylm (KS): Thank you for your question. But to answer the difference our commercial vehicles and our position in Indonesia will be answered by Pisharody (Ravindra Pisharody-Executive Director-Commercial Vehicles Tata Motors Limited).

Our experience in domestic and international markets it has entered the age of 60 years, but in fact for the Indian market we have exceeded that time, but for the international market has been 60 years since 1961.

We make sure the products we sell are the best products, more focused on customers who have adapted to the Indonesian market. I think you give us a comparison with Chinese products in Indonesia, but we have a business model and all the products are readily accepted in all markets (global).

I think we are very experienced for 60 years in various countries and groups, we are also very experienced in doing business in international markets. So I think we are very experience, we have been successful and find out who we (Tata Motors) and different from other Indonesian market. In particular I would ask Ravi and Ranjit to add.

Ravi Pisharody (RP): Like what Mr Slym said, we have exported for commercial vehicles since 1961 and has had more than 50 years to sell vehicles outside India.

We have a unique porpolio and I think not only our unique from India or Asia but overall we did have a uniqueness. You have seen all our products, which initially we only sell 20 thousand rupees and now we’ve been able to sell up to 50 or 60 lakh rupees.

So is the case of passenger vehicles, initially we only introduce the Nano and now have a larger vehicle (MPV and SUV). So I think if you look at our portfolio then it could be said of our products can be used in many countries, especially developing countries. And we have a very good portfolio.

We already have 50 market share in many countries such as Sri Lanka, Bangladesh and Nepal. And even in some markets in Africa, South Europe we really have a market share of up to two-digit market share.

So we are not going to enter a market (if not actually) so it is not possible for us to enter the market and then leave the market because we do not succeed or lose interest.

Indonesian markets have in common with the Indian market, so I think that our product will be successful and become a born popular in Indonesia. And to provide an example for you otu like Super Ace and Ace Family is not popular in India, but since 2005 ago until today we have more than 50 percent of our revenues from the commercial.

So we know a lot of the market, especially for the Asian market there is very strong demand for this product (Tata Motors). In addition we have a product that is affordable and I think we will maintain it for the long haul.

We do not just do one step, kmai also invested the company (Tata mill) and we also invested another dimerek, and proof of our success.

And talk to the distribution, we have a vast area and the distribution of scattered large number of countries. So I think we have a lot of space in the countries where we are already operating there and provide an excellent opportunity to utilize and present in Indonesia.

The next answer is also given President Passenger Vehicles Business Unit, Ranjit Yadav.

I think Karl and Ravi had said it all. I just wanted to say India is one of the most competitive markets. Where we (in India) have a variety of brands, such as from Europe, Japan, Korea etc..

And we played here and get success here (India). So we really know how to handle a competition. In addition, we also export as mentioned by Karl well in Europe, South Africa and so on.

And we believe we’ve had a set of portfolios in which they can achieve success. Karl also mention that we have a very young population and similar to Indonesia.

So we focus on the design, driving experience. This and that we’re working for our current product focus.

I know Indonesia is the most connected country in the world. But I think we have learned from India and will study together for the Indonesian market.

So what will we do now, our vehicle will be a solution and will achieve success in Indonesia. Because we have a great product suitability, we have the intention to be in the market for the long term with our portfolio of Nano to SUV.

I think it would be very good (introduced in Indonesia). And we are committed to change and ensure our vehicles suitable for the Indonesian market. So this is a huge commitment from our side but to sell the vehicle and provide the best service. Thank you.

KS: So we have an important point, if we introduce our products and introduce them into the market just not necessarily sure we will achieve success.

So it is important for us to develop our car on the Indonesian market. For example, by using four Design Center. We have one in the UK, one in Italy, one in Korea and we have one in India.

And we will use the centers of the four design centers to ensure we can enter into the global market. And I think it’s very important that we reach the global marketplace.

Besides such training centers (in Indonesia) we will have it. Even prior to our September launch we already have it planned at the end of July, beginning of August and we’ve been able to use it.

This preparation also we do to create the right support for customer service. We have to start up this plan for 8-9 months as a whole.

So that we can provide excellent support on all fronts and not make us not like many other companies. We did it bertahapakan penetrated kesmua island (in Indonesian).

And we will start in Java and Bali, so whatever we do we are very confident, and we will gradually expand our business. So anything that we sell can provide support to customers.

This is something that we believe in and we are ready for it. Thank you.

2. What products to Tata Motors introduced in September 2013, and segment models like what like what?

KS: Okay, for the first model we have not been able to announce today the launch, but how was it for a while longer. And we are very pleased to be reset you all again to Mumbai India.

We will be launching our products as our second step, but we also can not say its products. We had planned it long enough, so we do not come and do something wrong.

The first step is the most important thing, you will remember your first activity, that is why we have taken so long in planning every aspect.

We will introduce the vehicle in 3 segments of both passenger and commercial vehicles and will be announced later. We are very confident will be accepted in the market, because we have spent a long time to prepare for our products.

Believe will get a good response to our products, and our vehicles will be a big market outside India in a short time (in Indonesia). Because we have had up to 60 years of experience diapsar Internasioa. and we have the knowledge in (India) and abroad.

Head International Business Comercial Tata Motors Limeted, Wasan RS: Regarding ASEAN, we have been present in Thailand for 6-7 years. We also have taken the marketplace, both diesel and CNG market unntuk pick-up.

ASEAN is one of the fastest growing automotive markets in the world and Indonesia is one of the biggest markets than in Thailand. We plan to invest in Malaysia, Thailand, and other countries. And Indonesia will be the pivot on which we will build a strategy for ASEAN.

We will also expand to Vietnam, Malaysia and the Philippines. Thailand is a very important pillar for us. We launched the brand in September with our manufacturing facility in Thailand. We expect to do well. Research has been ongoing in parallel to start something similar in Indonesia.

Ravi Pisharody Executive Director-Commercial Vehicles Tata Motors Limited: Indonesia will be a huge market for many of these products.

Will have a dual phase approach. Some vehicles will be launched in September and some stage I will be in the second stage. This will help us achieve and become the largest single business outside India.

Sales at Hypermart Selling Well, the Sun Gets Rp 63 Billion Profit

PT Matahari Putra Prima Tbk (MPPA) recorded a rise in net income during the first quarter of 2013 to Rp 63.2 billion. The figure was up 53.96% of the net profit the same period the previous year which only Rp 29 billion.

The company’s net profit increase was supported by higher revenues in the first quarter of 2013 which reached Rp 2.6 trillion, up 13.04% from the same period revenue last year amounted to Rp 2.3 trillion.

Acquisition of the company’s revenue is contributed full of Matahari Food Division (MFD), which is more than 90% is the result of the Hypermart.

This performance can not be directly compared with last year’s performance, due to the divestiture of assets / non-core business at the end of 2012 ago.

Since its launch in 2004 Hypermart, MFD scored a CAGR growth rate of 27.9%, which is the core strength of the Company’s growth and future prospects.

Operating profit also rose 32.2% to USD 74.6 billion from USD 56.4 billion last year. EBITDA reached USD 165 billion.

MPPA now recorded net interest income of USD 6.9 billion in the first quarter of 2013, higher than net interest expense of Rp 5.6 billion last year. This is due to lower interest expense of Rp 38.3 billion from Rp 62.7 billion last year, in line with the Company’s plan for the payment of the debt from the results obtained from the divestment of non-core end of last year.

Throughout the first quarter of 2013, the company has opened 2 new Hypermart stores located in Jakabaring, Palembang and Ambon.

New outlets Jakabaring further strengthen market dominance Hypermart in West Sumatra, while new outlets Ambon, which is a second outlet in the Maluku islands, also further strengthen market penetration and expansion Hypermart landing in eastern Indonesia.

In 2013, the Hypermart plans to open 20 new outlets across Indonesia.

“It makes us a hypermarket operator with the highest growth rates. Hypermart We will deliver the 100th will be operated at the end of 2013 and will be the largest and leading hypermarket retailer in Indonesia,” said Benjamin Mailool MPPA President in his press conference, in Jakarta, Monday (06/03/2013).

In the same period, MPPA also welcome Temasek Holding a significant shareholder with a plan to have a 26.1% ownership stake in the MPPA.

Together with PT Multipolar Tbk (MLPL) as the majority shareholder with a 50.2% stake, MPPA will get a more solid support from shareholders in its aim to develop the retail business forward.

“We are proud to see MPPA still carve out a good performance in the first quarter of 2013 despite having to operate in a challenging market environment,” said Benjamin.

In addition, the divestment of non-core as well as the successful participation as a strategic shareholder Temasek increasingly bring MPPA achieve its mission to be the No. 1 modern FMCG retailer in Indonesia in the next short period.

“MPPA is a leading modern FMCG retailer in Indonesia, which has the widest network of stores by 82 hypermarkets, 28 supermarkets, 80 pharmacy outlets that operate in more than 52 cities across Indonesia,” he said.