DEPUTY Prime Minister Hon John Rosso led a Papua New Guinea delegation to the Java Integrated Industrial and Ports Estate (JIIPE) Special Economic Zone (SEZ) in Gresik, Surabaya, Indonesia, on Monday, August 19, 2024.
This visit is part of PNG’s broader efforts to attract trade and investment from Indonesian companies. The initiative follows recent discussions between Indonesian President Joko Widodo and PNG Prime Minister Hon James Marape.
Indonesia, PNG’s closest neighbor, is one of the world’s emerging market economies and the largest in Southeast Asia. With a nominal GDP of US$1.371 trillion (K5.4) trillion) in 2023, Indonesia ranks as the 16th largest economy globally and the 7th largest by GDP (PPP).
The PNG delegation included International Trade and Investment Minister Richard Maru, Labor Minister Kessy Sawang, Madang Governor Ramsey Pariwa, Secretary for International Trade and Investment Jacinta Warakai-Manua, State-Owned Enterprises officials, PNG Ambassador to Indonesia Simon Namis, and embassy staff.
During the visit, the delegation received a detailed briefing from JIIPE management and representatives from PT Freeport Indonesia, providing insights into the SEZ’s operations.
JIIPE, designated as a national strategic project by President Widodo in 2021, offers superior connectivity through multimodal transportation, a deep seaport, comprehensive utility services, and expedited permits. It hosts over 17 tenants, including Bank of Indonesia and PT Freeport Indonesia.
Deputy Prime Minister Rosso highlighted the significance of the visit, especially in light of PNG’s own SEZ development projects in Madang and Lae. He noted the relevance of Indonesia’s experience to PNG’s goals.
“Indonesia has navigated SEZ development, learned from past mistakes, and can offer valuable lessons. The JIIPE model mirrors what we aim to achieve at our ports in Madang and Lae,” Deputy Prime Minister Rosso said.
Minister Maru, responsible for SEZ development in PNG, emphasized the alignment between Indonesia’s SEZ experience and PNG’s objectives.
“In Madang, we have land and a deep-water port, ideal for developing an SEZ focused on fisheries and other industries,” Minister Maru said.
“In Lae, we plan to develop a smelter to process gold and minerals from Wafi-Golpu and other mines, creating thousands of new jobs. Indonesia’s experience is invaluable, and their willingness to assist us is greatly appreciated.”
