Sabadell Chamber of Commerce & Catalonia Trade and Investment collaborate with BRIGHT Indonesia in Catalonia Virtual Trade Mission 2020 to support the Catalonia government and companies’ international business development strategy. This event was held on 22-24 September 2020, featured by eight delegates of the Catalonia government and companies to conduct the business discussion.
Catalonia Virtual Trade Mission is the annual program of the Sabadell Chamber of Commerce and ACCIO Catalonia Trade & Investment on the development of the Catalonian market in Southeast Asia. This year, due to the global pandemic, the event had to be done virtually.
Jordi Malaquer De Motes, Southeast Asia Director of Catalonia Trade & Investment, explained that despite the current pandemic situation and its dire economic consequences worldwide, Catalan businesses commit to keeping their International growth efforts. This is the first step for Catalonia, one of the most developed Southern European regions, to develop its business strategy and enter the Indonesian market.
“Southeast Asia and in particular its largest market, Indonesia, remain key destinations for our companies. And we are very pleased to see that the Indonesian companies have responded equally well and opened up their doors to meet potential business partners even if via virtual means,” said Jordi.
Faiz Ahadina, Senior Partner of BRIGHT Indonesia and Indonesian Project Director of Catalonia Virtual Trade Mission 2020 stated that business meetings are the perfect environment for exchanging ideas and experiences between Catalonia business and local partners or stakeholders in Indonesia.
“To support Catalonia Virtual Trade Mission 2020, we develop a database containing key strategic information about Indonesian companies in the relevant market segments. We hope those companies can establish a sustainable business relationship with the Sabadell Chamber of Commerce, ACCIO-Catalonia Trade & Investment and Catalonia companies so that they can participate as a stakeholder in developing Indonesia’s economic progress,” said Faiz.
Eight delegates of Catalonia government and companies conducted over fifty one-on-one virtual business discussion with Indonesian potential business partner from eight specific industries:
Natural Mineral Water
Indonesia bottled water market is expected to grow at a CAGR of 16.15% during 2020-2025, as reported by Mondo Intelligence. Changing customer preferences and growing demand for clean and safe drinking water aid the exponential growth of the bottled water market in Indonesia. Rising disposable income in the country is driving the market, thus, enabling higher sales revenue for the market players, including Spanish Natural Mineral Water Company.
Established in Catalonia, the company is dedicated to sustainability and quality. They conduct strict quality control on the production process with minimal human contact, resulting in contaminant-free extraction and bottling process. Furthermore, they present a balanced and unique mineral composition that helps purify the human body. It prevents urinary tract infections and reduces uric acid, cholesterol, and hypertension. The company has been exporting its volcanic spirit for more than 15 years and is present in some of the best hotels and restaurants of more than 20 countries worldwide.
According to Mordo Intelligence research, the Indonesian pet food market projects to grow at a CAGR of 5.1% during the forecast period (2020-2025). As one of the rapidly emerging South-Asian economies, Indonesia’s growth is fuelled by the increased urbanization and industrial rates, thus, impacting the future development of pet foods.
International brands accounted for over 95% of the Indonesian Pet Food market, making imports dominate the market, attracting many foreign companies, and Spanish Pet Food Company is no exception.
Committed to providing high-quality services, the company developed advanced nutritional concepts, from using top-quality ingredients to utilizing technology concerning nutritional value. Moreover, as a company firmly rooted in the region, they also have a global vision for the business, resulting in their brands’ presence in more than 35 countries.
With its population expected to reach 270 million in 2020, the cosmetics industry’s prospects in Indonesia, Southeast Asia’s largest economy are still very bright for the coming years. In 2018, Indonesian cosmetics and toiletries exports were targeted to reach 1.67 billion USD and expected to increase to 1.81 billion USD in 2019. Moreover, with Indonesia became the largest Muslim populated country, halal certification for cosmetic is essential. The global Halal Cosmetics market size is projected to reach USD 23590 million by 2026, from USD 18110 million in 2020, at a CAGR of 4.5% during 2021-2026. Indonesia’s Ministry of Industry stresses the importance of the country’s cosmetic industry, as many regions have begun to focus on developing wellness and cosmetic products.
A Spanish Cosmetic Company from Barcelona is also interested in distributing their products in Indonesia. The company, which was founded in 1972, has become a pioneer in professional cosmetics and makeup. With revolutionary ideas and innovative products, the company has become a household brand in many spas and aesthetics centers in more than 40 countries.
Automotive Spare Parts
ASEAN is host to two of the world’s most important emerging markets for Automotives – one of them is Indonesia. Based on the latest data from the Association of Indonesian Automotive Industries (Gaikindo), automotive sales in Indonesia rose 2.6% year-on-year (y/y) to 94.461 vehicles in October 2017. In the period of January-October 2017, a total of 898,218 cars were sold in Indonesia. Meanwhile, with GDP forecasted to reach USD 1.3 trillion in 2020, large urban centers will emerge, driving a more balanced growth and providing new opportunities.
Looking at Indonesia’s potential market sector, a Spanish disc brakes manufacturer decided to oversee the Indonesian automotive industry. Founded in 1969 as an enterprise from the industrial printing sector, the company started designing and making disc brakes in 1997. It has incorporated all the technological knowledge. Moreover, they are the manufacturers of high-quality disc brakes for motorcycles, mopeds, ATV, UTV, UXV Quads, bikes, and their brands are sold in more than 30 countries.
The Indonesian downstream chemical industry has contributed significantly to the national economy, reaching the GDP value of IDR 91.7 trillion in the first half of 2019. Moreover, Indonesia is targeting to bring in investment of US $31.5 billion in the chemical industry until 2023. According to the Central Statistics Agency (BPS) data, the industrial sector of chemical goods also showed positive performance, reaching a 10.4% growth rate over the same period.
With the massive potential, a reputable Spanish Chemical Company grew its interest in the Indonesian market. The company offers a broad range of products for customers, and they combine sound scientific knowledge with long-standing experience in the chemical industry. Focusing on four business areas – Diagnostic, Life Science, Pharma, and Process Solutions, the company aims to be a distinguished supplier worldwide.
Water Supply Equipment
Throughout Asia, the issues around comprehensive and efficient water supply and sanitation systems become acute challenges. For Indonesia, the pattern is similar. More than half of its 267 million population depends on the urban lifestyle, causing further stray water supply and sanitation systems. In the rapidly expanding urban areas, the national government recognizes that water supply is a priority. Moreover, the government has a vision for Indonesia to play a critical role in addressing global climate change. The government made a socioeconomic development planning system at the national level, consisting of a 20-year national long-term development plan and a 5-year national medium-term development plan. The current National Medium-Term Development Plan (RPJM) 2020-2024 became effective in directing plans for development, including water and sanitation for all people.
Headquartered in Barcelona, a Spanish Company for Water Supply Equipment, is interested in investing in Indonesia. The company was established in 1974 with the idea of designing and manufacturing the best filtration equipment. They have developed specialized filtration products for specific projects and situations. Also, by having several international offices and branches, their products and services have accounted for over 15.000 references worldwide.
Security Test Equipment
The Global Environmental Test Chambers market accounted for $842 million in 2019 and is expected to reach $1168.39 million by 2027 during the forecast period. Environmental test chambers are devices utilized for different simulated environmental testing, such as production testing, reliability testing, etc. The test chamber includes exposing and testing of products to the controlled environmental conditions. By geography, Asia Pacific is going to have profitable growth during the forecast period as the region consists of economically advanced countries.
One leading Spanish supplier of simulation equipment is now engaged in entering the Indonesian market. The company offers a high-quality product range from simulation equipment, test benches, and measurement & control. With over 30 years of experience and over 10.000 installed equipment globally, the company provides materials and the best technical service.
Weighing Electronics Equipment
According to Transparency Market Research on the global load cell market, in the forecast period of 2019-2027, the growing popularity of load cells & weighing electronics worldwide will increase at a modest CAGR of 4%. Southeast Asia is a crucial region for outsourced and offshored manufacturing in electronics global supply chains. Given its large size and trajectories for technological advancement, the electronics industry is considered a manufacturing sector in which Indonesia becomes a potential market for the business to develop.
Increasing demand for load cells and weighing electronics equipment makes a Catalonian company engaged in the Indonesian market. With more than 25 years in the industry, the company experts in load cells and considering electronics manufacturing. Their ability to develop new products means that they are continuously improving, and they take the concept of research and development one step further to ensure complete satisfaction.
Catalonia Virtual Trade Mission 2020 successfully strengthening the cooperation and partnership between Catalonia and Indonesia. With Indonesia as the largest Southeast Asia market, Catalonia is confident in establishing a sustainable business relationship and working further with BRIGHT Indonesia.