A group of Thai business leaders from the education, food, manufacturing, and agricultural industries have been impressed by the liveliness and infrastructure projects in East Java, Indonesia. However, the lack of direct flights between Bangkok and Surabaya is making investors less interested in the province.
Even though there is a big potential market of 120 million people, tax benefits, and a new port project in East Java, Thai investors encounter connecting flights, which could make the journey from Bangkok to Surabaya last up to 9 hours.
The Acting Provincial Secretary of East Java, Bobby Soemiarsono, stated in an interview with Thai PBS World that his office will push for direct flights between Bangkok and Surabaya, but the flights would require approval from the central government.
Soemiarsono mentioned, “We are planning to establish partnerships with airlines to convince them to start a direct flight from Bangkok to Surabaya. We currently have direct flights to some cities like Singapore, Kuala Lumpur, Hong Kong, and Manila. We want to expand the number of direct flights, and the direct flight from Surabaya to Bangkok is a top priority for us.”
Thailand is the 22nd largest source of foreign direct investment in East Java, with a total of 66.07 million dollars between 2010 and 2023, while Singapore ranked at the top with 6.576 billion dollars, according to Indonesia’s Ministry of Investment. Soemiarsono mentioned that the investment from Thailand into East Java is increasing every year, and the government will offer more incentives to attract more investment.
While the current Indonesia President, Mr. Joko Widodo, or Jokowi, has implemented policies to promote economic growth through investment and consumption, investors are anticipating regulatory changes by the next government to enhance the business environment. The current defense minister, Prabowo Subianto, who is expected to be the next President, has pledged to continue Jokowi’s economic policies.
Thailand’s Ambassador to Indonesia, H.E. Prapan Disyatat, is looking forward to enhanced economic cooperation between the two countries.
“The Thai government is relatively new, having been established only eight months ago. It would be a good start for Thailand and Indonesia to revitalize our bilateral economic cooperation. If the next president is the person whom we expect them to be, we would see more open and broader engagement,” the Ambassador stated.
Thai delegates also expressed their interest in investing in Indonesia due to its large potential market and their love for Thai food. The Chief Operating Officer of the Narathai Cuisine company, Nattaporn Runghajornklin, told Thai PBS World that Indonesian customers have asked for the opening of their first restaurant in either Jakarta or Surabaya.
“Indonesia is a strategic location for us because of its large population, exceeding 200 million people. The culture is similar to that of Thailand, and many Indonesians visit our restaurants in Thailand. I have been visiting Jakarta frequently, which is a well-organized city with huge potential. If I don’t have the chance to come to Surabaya, I might consider Jakarta as the first location. In Surabaya, however, I see potential in the city’s good locations and food scene. I believe we have a chance to enter this city as well,” he remarked.
Besides food, the educational opportunities are also attracting Nisanart Dharmageisirattana, who is the Director of The American School of Bangkok Green Valley. She suggests collaborating on curriculum reform and regular exchange programs with schools in East Java.
“We can assist each other in learning and developing by enhancing the national curricula, especially in character education. Today's students are overwhelmed by social media content, which makes it hard for them to remain calm in today’s fast-paced world. Through collaboration, we can form friendships and gain insights from each other’s cultures, while also gaining appreciation for each other’s education systems, arts, and languages,” she explained.
By Franc Han Shih, Thai PBS World, in Surabaya, Indonesia
