Contact:
Sandra Pranoto
Business Enabling Environment IFC-PENSA
Phone : 0361 265350
Fax : 0361 265352
cell : 0812-9020-291,
Email: spranoto@ifc.org
Denpasar, March 5, 2005 – The International Finance Corporation’s Program for Eastern Indonesia SME Assistance (IFC PENSA) and the German Chamber of Commerce (DIHK-SEQUA) are clearing a path for Balinese entrepreneurs, using industry or non-profit organization services, to tap into European Union markets.
A seminar in Bali today, titled Opportunities for Businesses to Partner with the European Union, discussed how businesses may take advantage of various programs on investment, research and knowledge exchange.
"Hopefully this seminar will make the Balinese exporters aware of EU’s vast array of assistance programs in the key areas of trade, investment, technology development, and environmental management,” said IFC PENSA Handicraft Export Promotion Program Manager Carl Dagenhart. “In addition, the seminar suggests practical ways for the Balinese businesses to tap on those resources by using the services of the local and European business associations and other business support organizations.
IFC PENSA, which organized the seminar, will be the facilitator for businesses in Bali interested in the programs initiated by the EU. “The ultimate goal for us is to help Balinese exporters penetrate the enlarged and thus more lucrative European market,” said Dagenhart.
Dagmar Boving, a member of the EU’s Social and Economic Commission said a special program had been developed for Indonesia called Small Project Facility that provides funding for social dialog between businesses and their communities in an effort to provide better corporate social responsibility and economic reform. Available funding under the Small Project Facility is €6.18 million (Rp. 74.16 billion) with a minimum subsidy per project of €50,000 (Rp. 600 million) and a maximum of €250,000 (Rp. 3 billion) for 75 percent of the needed budget.
Boving also identified other business assistance programs available across Asia such as Asia Invest, Asia Link, Asia Pro Eco and Framework Program for Research and Technological Development.
“These programs as such show European Union’s new Asia strategy to focus on trade, investment, formal education and environment management,” said DIHK-SEQUA representative Andreas Gosche.
Asia Invest assists companies in developing international strategies and in partnering with the 25 members of the European Union. Asia Link is a program to develop a network for universities to develop curriculum and research programs. The Asia Pro Eco program is to increase environmental dialog between Europe and Asia on specific topics such as environmental management, conservation concepts and environmental development.
The Framework Program for Research and Technological Development can be applied to the needs of SMEs in developing its research capacity, especially in developing new products or create innovative methods. Another program called EXPAND links businesses to trade associations in Germany based on the product category provided by the exporters. The exporter will receive a profile from the related business and its association, as well as export information, that will help penetrate the market.
SEQUA is the German Organization supporting Business Membership Organizations (BMOs). SEQUA has been operating in Indonesia for more than 20 years in the area of BMO support, specifically support to chambers of commerce.
PENSA is IFC’s technical assistance facility supporting small and medium enterprise development in Eastern Indonesia. IFC is the private sector arm of the World Bank Group. The PENSA facility has a five-year mandate and has been co-funded by IFC and the governments of Australia, Canada, Japan, Switzerland, The Netherlands, and the Asia Development Bank with initial funding commitments of $23 million.
