Nyusi impressed by Indonesian ban on exporting unprocessed minerals

Maputo, 24 Aug (AIM) – Mozambican President Filipe Nyusi said on Wednesday that he is impressed by the approach taken by Indonesia in the local transformation of raw materials, in order to create jobs and maximise the benefits to the economy.

Nyusi was speaking after a tete-a-tete meeting with his Indonesian counterpart, Joko Widodo, who was on a two day working visit to Mozambique.

During their meeting, the two presidents reviewed material linked to defence and security, the fight against terrorism, climate change, post-cyclone reconstruction, and the need to waive entry visa, to allow easier circulation of people and goods.

In a subsequent press conference, Nyusi remarked “I was just hearing about it, but today the President of Indonesia told me that he has banned the export of raw materials. The minerals are no longer exported unprocessed. They are mined and processed there. We think it’s an experiment to capitalise on. Of course it will take time, but we’ll get there”.

Nyusi added that, among the minerals that can no longer be exported unprocessed from Indonesia are nickel, bauxite and copper, and 48 processing units have been set up.

Mozambique, he said, “could adopt similar policies, given the high potential of its natural resources, notably in the oil and gas, agriculture and energy sectors, which could encourage the development of value chains with a multiplier effect on the economy”.

This vision, Nyusi added, is based on a programme aimed at boosting industrialisation by attracting investment and increasing industrial competitiveness, under the National Program for Industrialization of Mozambique (PRONAI).

In the field of bilateral co-operation, Nyusi announced that a task force has been set up, made up of technicians from both countries, to pave the way for co-operation in concrete areas of economic development with mutual gains.

“This task force will have to discuss sectors such as industrialisation, because it has become clear that their experience could be important for industrialising Mozambique”, he said. “Also in the gas sector, since Indonesia is taking part in a project of this nature in Sofala. We’re going to take advantage of the presence of Indonesia to discuss textiles and medicines, since they also have a lot of experience in these areas”.

For his part, Widodo said that preparations are currently under way for an Indonesia-Africa Investment Forum to be held next year, which could outline partnerships between Africa and Indonesia over a five-year period, with a particular focus on the electricity, infrastructure and transport sectors.

“Now we’re going to take part in FACIM [Maputo International Trade Fair], and we’ll be able to promote the expansion of investments into the country through our private sector,” assured Joko Widodo.

During the meeting, the presidents also signed two legal instruments, namely a memorandum of understanding for the control of medicines and biological products and a letter of intent on cooperation in the field of defence and security.
(AIM)
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