If there was one thing that got frustrated former Indonesian consul general Berlian Napitupulu during his two-year tenure in the city, it was the seeming lack of trade relations between the two countries.
In his interviews and appearances before several fora, Napitupulu would usually lament the lack of economic cooperation between his country and the Philippines.
As his way of explaining, he said that many of the Indonesian products that are sold by Philippine stores do not reach the country directly: these are being sold to the country by a third country. “If we eliminate the third country, surely the price of that product would go down,” said Napitupulu who ended his tour of duty in the city early this year.
Awareness campaign
As his way of contributing to the enhancement of the trade relations between the countries, Napitupulu initiated the holding of trade fairs for Indonesian products in the city and some parts of Mindanao. He has also been promoting Mindanao to the business sector of his country. “I think the city government must pay me for advertising your city whenever I go home,” he joked.
These trade fairs also brought into the city top company executives from Indonesia who wanted to look for opportunities outside their home countries. Several of these investors went to the Davao City Chamber of Commerce and Industry as well as the Davao City Investment Promotion Center as they wanted to be briefed on the attractive investment areas in the city.
Connectivity
But the biggest obstacle is that traveling between the city and other areas in Indonesia that are nearer is a challenge. To be able to reach Manado for example, one must travel first to the capitals of both countries first because of the absence of a direct service.
There were attempts in the past to connect both areas by air route, but all these attempts were never successful because of the absence of traffic.
Of late, said Eamarie M. Gilayo of the Mindanao Development Authority, another Philippine-based airline is studying the route and is expected to make test flight within the first half of the year.
The airline, however, is asking both countries to relax their regulations as part of their incentives to itself in sustaining the service.
Also, another shipping company is reviving the sea linkage between the city and Bitung so that flow of cargoes will be better.
The shipping route was first launched in April 2017 with no less than the top executives of both countries –President Rodrigo Duterte and Indonesian President Joko Widodo, in attendance.
But one big problem of the shipping company then was that it was using a huge ship, a 500-TEU (20-foot equivalent unit) vessel that the revenue it generated was not even enough for its fuels.
Gilayo said that the new company will use a 240-TEU vessel, just enough to carry cargoes from the end-points of the connectivity.
The Indonesian government has also relaxed restrictions on some Philippine products. In lieu of the restrictions, said Gilayo, it only wanted additional documentary requirements.
Another good thing is that instead of just two countries, the vessel will travel to four points – Bitung in Indonesia, Labuan in Malaysia, Muara in Brunei, And the cities of Davao and General Santos in Mindanao.”
“In short, the connectivity will involve the entire BIMP-EAGA (Brunei-Indonesia-Malaysia-Philippines-East Asean Growth Area),” said Gilayo.
This connectivity is expected to result in enhanced trading not only between Indonesia and the Philippines but within the rest of the sub-region.
By the time Napitupulu returns the city, if he has the intention of doing so, he will not lament but will be happy to know that the initiatives that he led during his stay here have borne fruit.
