Economic Watch: South China’s Hainan Province Ready to Expand Cooperation With Indonesia
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Economic Watch: South China’s Hainan Province Ready to Expand Cooperation With Indonesia

HAIKOU — As China’s economy continues to recover from the negative impact of the COVID-19 epidemic, the southernmost island province of Hainan is stepping up its efforts to explore business opportunities around the world and boost its foreign trade.

Indonesia is Hainan’s largest trading partner among ASEAN countries. The volume of trade between them in 2022 exceeded 10 billion yuan (about 1.46 billion US dollars), which is three times more than in 2020.

In 2023, seizing the opportunity provided by the 10th anniversary of the China-Indonesian Comprehensive Strategic Partnership, Hainan will play an important role in advancing cooperation between China and Indonesia by strengthening joint activities in tourism, trade and culture.

At the end of January of this year, a business delegation from Prov. Hainan traveled to the Indonesian capital, Jakarta, where an initial cooperation agreement was reached with Kapal Api Global, a local leading food and beverage company.

The above-mentioned company, being the largest in Indonesia in the coffee business, decided to participate in the third China International Consumer Products Expo /CICPE/, which will be held in April this year in Prov. Hainan.

Kapal Api Global said the move is aimed at exploring potential collaborations, which could include coffee plant construction, trade settlement and product processing.

Highlighting the ever-growing business potential of Prov. Hainan, Deputy Head of the International Economic Development Office, Prov. Hainan Liu Rutao said that Hainan Free Trade Port’s preferential tax policy, especially for the import of raw materials and equipment, as well as food processing, is among a series of measures aimed at expanding economic cooperation between China and China. Hainan with enterprises from all over the world in the field of trade, investment and construction of factories.

On February 17, the delegation of Prov. Hainan held another promotional event in the city of Jakarta, which Chinese Ambassador to Indonesia Lu Kang called the “Hainan Moment” for China-Indonesian relations.

Lu Kang expressed optimism about the prospects for deepening cooperation between the two countries in the future.

Hainan Province has a historical connection and close relationship with Indonesia. The cooperation is in line with their interests and desires to strengthen economic and trade ties and humanitarian exchanges, Prov. Hainan Shen Xiaoming at a meeting with Indonesian Ambassador to China Jauhari Oratmangun.

Jauhari Oratmangun called the construction of the Hainan Free Trade Port a bright prospect, and also expressed hope for deeper cooperation with the island province. He hopes that through this, both sides will seek greater development opportunities to obtain more fruitful results of cooperation.

Source: Russian People