“ With Indonesia’s position as a top three country in terms of economic growth, there will be continued interest from international investors. ”
In 1979, I noticed many people queueing in various stores around Brebes selling insectides to kill pests which infected their crops; this was a significant problem at the time. Furthermore, there was only a limited amount of these pesticide products at that time coupled with a lack of infrastructure thus hampering the distribution channels of pesticides to other regions outside of Jakarta. It was because of this setback that motivated me to purchase and resell pesticides back to Brebes. The high demand for insecticides also motivated me to find a way to assist farmers to avoid crop failure. Currently, we have exported our products to Vietnam, Singapore, and Australia for the Andromeda and Galaxy brands. Nonetheless, we have close to 100 brand products for insecticides, fungicides, herbicides, rodenticides and fertilizers under Sari Kresna Kimia. Today, Sari Kresna Kimia is a top five company for pesticide products in Indonesia.
We also have a property arm within Kresna Holding which we are looking to expand further on in the coming years. One of our property projects is the Lavish Residences in the Kemang area of Jakarta in addition to areas in Bintaro and Bali. We have landbanks in Jalan Panjang, Jalan K.S. Tubun, Metropolitan Mall in Bekasi, Belitung, Tegal, and Jambi, however, we will remain focused on developing in the Jakarta area.
Going forward, we are striving to become the number one industry leader similar to Apple Inc. and Google. If at some point, we are unable to become the number one leader in our industry, we are looking to become the best by offering innovative products similar to Samsung. Moreover, we are also open in becoming a company that is different than the rest in that we will take something that is ordinary and revamp it to make it unique in its own right such as Starbucks, Breadtalk, KFC, and McDonald’s. Kresna Holding is also looking to apply as a publicly-listed company in the next two years.
The current government’s measures have certainly helped our company’s property arm, but we have not seen much changes with the agrochemical industry because this business venture is dependent predominantly on weather patterns and foreign exchange rates. To my knowledge, there are a lot of foreign direct investment pouring into the country thus giving way to a more stable US Dollar exchange rate. With Indonesia’s position as a top three country in terms of economic growth, there will be continued interest from investors for this nation. I am confident that there will be significant economic growth in 2017 based on what our company’s performance over the past three months.
We are interested in entering other markets outside of Australia, Singapore, and Vietnam, but nonetheless, we remain focused on the Indonesian market; among the markets we are interested in includes Pakistan, India, Thailand, and China. Our company’s places 67% of our focus on the local market while the remaining 33% is for exports and other international endeavours.
Although we are interested in increasing our presence in the ASEAN, a challenge that often affects agrochemical industry players is in regards to the product registration process in every country that we are looking to enter. This not only requires a lengthy time period for the paperwork, but also a significant amount of money.
We are open to partnering with local and international companies to support our effort in becoming a publicly-listed company in a few years’ time. The synergies that we are interested in includes partnerships, technology transfer, and joint ventures. What is important for us is that both parties can achieve mutual benefits.
For Sari Kresna Kimia, we will continue to uphold our company’s principle in becoming a company that is number one, the best, and to be different. The more important aspect for our company is to improve upon our human resources because a company’s success is dependent upon its people. We have seen this take place in Singapore, South Korea, and Japan that have succeeded through their human capital despite having limited natural resources. As a country abundant in natural resources, Indonesia should be able to also succeed hence requiring a need for this country to develop its human resources. Taking this into consideration, our human resources department plays a crucial role towards the success of our company.