Singapore firm is 1st tenant in joint-venture township

Park by the Bay, a joint venture between Sembcorp Development and Indonesian developer Jababeka, is located about half an hour's drive from Semarang, the provincial capital of Central Java.
Park by the Bay, a joint venture between Sembcorp Development and Indonesian developer Jababeka, is located about half an hour's drive from Semarang, the provincial capital of Central Java.PHOTO: SEMBCORP

A Singapore company, Tat Wai Enterprise, is the first to have finished building a factory in the new Park by the Bay township in Kendal Industrial Estate in Central Java province. The company expects the factory to be fully operational next year.

The interior furnishing firm's founder, Mr Alfred Tan, yesterday had the double honour of taking Prime Minister Lee Hsien Loong and Indonesian President Joko Widodo on a tour of his new plant, after the two leaders inaugurated the joint venture project in Semarang.

"I'm glad that Singapore SME furniture manufacturer Tat Wai is the first tenant," Mr Lee said earlier in his speech at the opening ceremony of Park by the Bay.

Located about half an hour's drive from Semarang, the provincial capital of Central Java, Park by the Bay sits on the coast facing the Java Sea.

The joint venture between Sembcorp Development and Indonesian developer Jababeka marks a new trend of Singapore companies venturing beyond places such as Jakarta and Batam.

 

Park by the Bay will be a self-contained industrial township with ready-built factories, land parcels for commercial and residential development, and resort projects.

The 2,700ha site has attracted a total investment value of more than 4.3 trillion rupiah (S$451 million) so far. This could create some 4,000 jobs in Semarang.

Mr Lee said the joint venture is an excellent example of how Indonesia and Singapore can work together for mutual benefit.

Mr Joko noted that it is important to ensure that basic infrastructure such as roads, communications and electricity are available to support such projects.

A version of this article appeared in the print edition of The Straits Times on November 15, 2016, with the headline 'S'pore firm is 1st tenant in joint-venture township'. Print Edition | Subscribe