Foreign ministry studies possible fertilizer investment in Jordan

Jakarta (ANTARA News) – The Indonesian Foreign Ministry said it is studying possible investment by Indonesia in phosphate and gas based fertilizer industry in Jordan.

The study by the Center of Study and Development of Policies (BPPK) of the Ministry, was prompted by an agreement exempting Jordan commodities from import duty in the European Union in compensation for Amman agreeing to keep refugees from Syria from crossing to Europe.

“We are studying opportunity of cooperation. Jordan, however, has hinted that Jordanians should make up at least 25 percent of the total number of workers to be employed any industrial project to be developed,” head of the BPPK Siswo Pramono said here on Wednesday.

Investment by Indonesia in fertilizer industry in Jordan should be profitable from the pint of view of production cost and export aspect, Siswo said.

The price of natural gas at US$2 per MMBTU in Jordan is cheaper than US$5 in Indonesia. In addition the phosphor producing country is closer to export destination – the United States and Europe – than Indonesia.

“We also has discussed the investment opportunity with PT Pupuk Sriwijaya and PT Pupuk Indonesia, and other companies using natural gas and phosphate feed stock,” Siswo said.

Jordan has a number of investment projects that could be utilized by Indonesia such as development of renewable energy, clean water processing industry, infrastructure, tourism, and health.

By investing in Jordan, Indonesian companies take part in rebuilding Middle East hurt by unending conflicts.

After the free trade agreement in mid 2016, it easier for Jordan commodities to enter the European market.

The agreement also requires Jordanian companies to employ at least 15 percent of refugees from Syria in an attempt by the European Union to help Jordan, which has accommodated thousands of refugees from the conflict torn Syria.

Source: ANTARA News