economy

PTPN III's Director Discusses Collaboration With Basic International Investment Pte Ltd In China

The President Director of Holding Perkebunan Nusantara PTPN III (Persero), Mohammad Abdul Ghani, visited China to discuss potential strategic cooperation with Basic International Investment Pte Ltd. The meeting took place on Thursday, January 9, 2025, and focused on business investment plans in the Sei Mangkei Special Economic Zone (KEK) in North Sumatra.

During the visit, Abdul Ghani received a warm welcome from Mr. Liu, the CEO and owner of Basic International Investment Pte Ltd. The discussions were friendly and productive, as both parties shared a vision that prioritizes not only profit but also broad social benefits.

Mr. Liu expressed his gratitude to PTPN for the support in meeting the administrative needs of Basic International Investment Pte Ltd. in Indonesia. He emphasized his commitment to making significant investments that could create up to 7,000 local jobs. According to Mr. Liu, Indonesia, especially the KEK Sei Mangkei, is a strategic location for investment amid global political uncertainties.

They plan to add a factory for natural rubber gloves and establish a research and development (R&D) center for rubber in collaboration with local research institutions like Riset Perkebunan Nusantara (RPN). "The goal is to enhance the quality, efficiency, and innovation of rubber-based products," Mr. Liu stated.

Abdul Ghani welcomed the plans of Basic International Investment Pte Ltd. to increase its investments in Indonesia. He noted that this initiative presents new business opportunities that could boost the economic value of rubber commodities, which have faced price pressures. "The plan to convert rubber land into palm oil or sugarcane will be reviewed based on the raw material needs of Basic International Investment Pte Ltd.," he explained.

Abdul Ghani emphasized that this investment benefits not only PTPN as a corporation but also has a significant social impact on the surrounding community. "With increased job absorption, this move aligns with the government's target under President Prabowo Subianto to achieve 8% economic growth," he added.

In addition to discussing the glove factory investment, the conversation also covered the potential collaboration for building a biomass-based renewable energy power plant. This plant will supply electricity to the KEK Sei Mangkei area and the local community, supporting the transformation of the region into a Green Industry Zone.

Basic International Investment Pte Ltd. expressed interest in expanding its business in agriculture and dairy farming to support the government's Free Nutritious Food Program. Notably, its subsidiary, PT Basic International Sumatera (BASIC), which manufactures latex medical gloves, has already invested Rp659 billion in KEK Sei Mangkei in 2024.

This project marks the beginning of a long-term investment plan totaling Rp15 trillion (approximately 925 million USD). In the first phase, an investment of Rp4.8 trillion (around 296 million USD) will be made gradually over five years starting from July 2024.

This collaboration is expected to be a significant moment for sustainable business development and to make a real contribution to the national economy and the welfare of the local community.

Tag: Abdul Ghani PTPN III