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Bali News by Bali Update
BALI UPDATE #483 - 12 December 2005

Major Beachwear Exhibition Coming to Bali in March
MarediModa Bali 2006 to Brings Europe's Leading Beachwear Producers to Bali March 14-16, 2006.

The Island of Bali will play host to the first Asia-based exhibition of high-profile producers from the European beachwear industry - comprising spinners, weavers, and converters of accessory producers – from March 14-16, 2006.

Organized by the MarediModa Group - the exhibition is intended to create networking opportunities between European beachwear and beachwear fabric manufacturers – making the elements of the high-quality European Beachwear system more accessible to customers the Far East and Asia Pacific region.

Headquartered at the Bali International Convention Center (BICC) in Nusa Dua, the three-day event complements similar exhibitions organized regularly by MarediModa in Cannes and Munich.

Elaborating on why the important beachwear exhibition has chose Bali for its first Asian show, Mr. Donato Peduzzi, Director of the MarediModa Group said: "The aim is to create a bridge between the European Beachwear system and the Asian market. We want to show that we are pro-active through a strategy that will bring the top quality of the European Beachwear System to new, strongly developing markets in the Pacific area, where there is increasing demand for high-end beachwear!"

Mr. Peduzzi went on to state: "MarediModa is not just a trade fair, it's not just about commercial exchange between companies with products that respect tradition, history and the typical and inimitable qualities of Italian-made goods, but it is also a brand that wants to broaden the debate about the 'philosophy of beachwear' to all the sector's components, upstream and downstream. The time is ripe to assert the excellence of the high-quality European Beachwear system in the Far East."

Established in 1988 within the Italian Silk Association, The MarediModa Group, has become a fixed point of reference for manufacturers of beachwear, who consider the quality of the fabrics and the precision of the service, elements that are championed by the MarediModa Group as fundamental to their continuing success. The Group consists of around twenty of the most important companies in the sector. In the last exhibition conducted by MarediMode in Cannes, 116 companies exhibited. More than 60 exhibitors are expected in Bali in March 2006, representing a combined turnover of more than € 1 billion and employment for more than 3000 people.

Through its regular exhibitions in Cannes and Munich over the past 5 years, MarediModa is known to be the most prestigious show of its kind, dedicated to the swimwear fabric and accessory industry.

Come to Bali! Come to MarediModa!

Fashion industry professionals and swimwear manufacturers from the entire Asia-Pacific interested are encouraged to come to Bali March 14-16, 2006 for this unique networking opportunity.



Call to Extend Limits on Foreign Land Ownership
Realtors Claim Maximum Land Use Limits of 25 Years for Foreigners is Stifling Property Investment in Indonesia.

As reported in the Indonesian-language Bisnis Indonesia, Indonesian realtors are complaining that current restrictions on apartment ownership by foreign nationals are thwarting an otherwise strong market demand from foreign nationals seeking to purchase property in Indonesia.

Handa Sulaiman, a Director of Procon - a major property consulting firm, said the purchasing capacity and demand by foreigners for Indonesian property, especially apartments, was very high. The strong interest in purchasing property in Indonesia by foreigners is always made problematic by legal complications surrounding ownership.

In addition to restrictions that limited property use by foreigners to a maximum of 25 years, property transactions between Indonesians and foreigners are also subject to sales taxes of up to 20%. Handa complained, "such facts make (Indonesian property investment) unattractive for foreigners."

Malaysia More Welcoming

The property consultant went on to cite the example of Malaysia where a number of government-endorsed programs have been launched to encourage apartment purchases by foreigners. As a result, apartment purchases by foreigners have grown year by year since its introduction in 2002, with 2,646 apartments sold to foreign nationals in Malaysia in 2005 calculated through the month ending October.

Land Use of 60-80 Years?

Similarly, the Chairman of Real Estate Indonesia (REI), Lukman Purnomosidi, is urging the Government to consider extending the time limits for property use by foreigners from the current maximum 25 years to a period of 60-80 years.

Purnomosidi says such a move would potentially expand the residential property market by as much as US$ 5 billion per year. He went on to explain that substantial markets for luxury apartments owned by foreigners exist in a number of Indonesian cities with direct foreign air access such as Jakara, Batam, Bandung, Surabaya and Bali.

Another observer of the Indonesian property market, M. Rizal, urged the Government to establish pilot areas in Indonesia to introduce both land and apartment ownership by foreigners.


Threat to Revoke Indonesia Air Asia's Licence
Domestic Air Operators Increasingly Question Legality of Awair's Re-branding to Indonesian Air Asia.

Indonesia's Minister of Transportation, M. Hatta Rajasa, has declared he will not hesitate to suspend the operating licenses of Indonesia Air Asia - the new operating brand name for Awair Indonesia, if he obtains proof that more than 49% of the company's shares are held by foreign investors.

As reported on balidiscovery.com, the official name change for Awair now allows the Indonesian carrier to adopt a livery largely identical with it's Malaysian shareholder's company Air Asia and its Thai subsidiary, Thai Air Asia.

The Minister has threatened the strict shut down action if he finds that Air Asia - the Malaysian investors who purchased a 49% share in the Indonesian carrier for only US$2 now own a majority 51% share in the Indonesian air carrier; a situation specifically prohibited for a domestic air carrier under Indonesia's foreign investment laws.

According to reports carried in the Indonesian-language Bisnis Indonesia, the Indonesian National Air Carrier Association (INACA) has questioned the name change of Awair to Indonesia Air Asia, suggesting the move may represent a violation of Indonesia's air space sovereignty and, at the very least, negatively impacts on the Country's image.

Indonesian domestic operators have complained that the joint-venture arrangements between Malaysian Air Asia and Awair have allowed the Malaysian air carrier to operate Indonesian domestic routes otherwise exclusively reserved for domestic air carriers.

Meanwhile, Indonesia Air Asia is steadfast in insisting that they are not a branch of Air Asia and that the re-branding of Awair more closely resembles a franchise agreement "similar to MacDonalds."



Garuda Delays Debt Repayments to Creditors
Lower Loads after the Bali Bombing Puts Garuda in a Cash Crunch.

Indonesian flag-carrier Garuda Indonesia has bee successful in its effort to reschedule an US$50 million principal repayment due at the end of 2005 to its creditors group -European Credit Agencies (ECA).

The agreement to delay principal payments and only pay ongoing interest charges was announced by the President Director of Garuda Indonesia, Emirsyah Satar, on Wednesday, December 7, 2005.

The latest rescheduling is part of efforts by the Airline to restructure debt amounting to US$150 million and Euro 800 million owed to ECA.

Meanwhile, Emirsyah is still optimistic that Garuda's total losses for 2005 will be less than the Rp. 811 billion (approximately US$81.1 million) suffered in 2004.

Prior to the most recent rescheduling of debt, Garuda had debt repayments burdens amounting to US$115 million per year with estimated annual operating costs amounting to another US$1 billion.


Scania Goes Topless in Bali
European Transportation Executives from Scania Get Up Close and Personal with Bali During October Incentive Trip.

Scania. - the world's most prestigious manufacturer of trucks, busses and engines, recently chose Bali as the location for a fun-filled incentive trip for 33 of its top executives from Belgium.

Based from the Westin Resort Nusa Dua, the group's busy schedule in Bali included tours of the island in original "topless" modes of transportation, a chance to try their hand at rice cultivation, visits to local schools and a spectacular helicopter ride over the cliffs of Uluwatu.

Organized by CIB Incentives, Thierry Meert of that well-known Belgium incentive house said "there is no doubt this year program can be considered one of the best I have been involved with in years" and added "I am confident we will be able to recommend the destination to at least 3 other clients for 2006."


Ian McKie Bids Farewell to Bali Hilton
Bali Hilton International General Manager Moves to Helm at Hong Kong Regal Airport Hotel.

A very popular and pro-active promoter of Bali tourism, Mr. Ian McKie has announced he will soon be leaving the island to accept a new assignment in Hong Kong.

Ian McKie has served as Director of Operations for the 538-room Bali Hilton International for the past 4 years. Prior to his Bali posting, Ian held management positions with Banyan Tree Bintan and Banyan Tree Phuket as well positions with Hyatt International, Legend Hotel - Malaysia and the Marco Polo Singapore.

Commencing in early 2006, Ian McKie will take up his new post as General Manager of the Regal Airport Hotel in Hong Kong.


Bali's Winter Wonderland
Tickets on Sale for Skal Bali Christmas Dinner Party Friday, December 16, 2005.


Tickets are now on sale for the SKAL Club Bali Christmas Dinner Party to be held at the Nusa Dua Beach Hotel & Spa on Friday, December 16, 2005.

The Club has adopted a "Winter Wonderland" theme for the evening with exotic dancers and visits by "sexy" Santa helpers forming just part of the evening's festivities.

Rp. 450,000 per person (approximately US$45) includes pre-dinner cocktails from 7:00 p.m.; a 4-course contemporary Christmas dinner in the Resort's Ballroom; and cocktails, beer, wine and dinner throughout the evening.

Silent Auctions and raffles prizes will also be on offer.

A special price of only Rp. 400,000 per person (approximately US$40) is available to those purchasing an entire table of ten.

Reservations are mandatory. For more information or to order tickets contact:

• The Skal Secretariat at ++62-(0)361-7840212

• Pro Motion Events at ++62-(0)361-287250

• Skal President Mr. Phil Hill at ++62-8123842473

More About Skal

SKAL - whose members are comprised of travel industry executives and managers, boasts 25,000 members worldwide in over 500 Clubs spread across more than 80 countries. The Club holds monthly gatherings at rotating venues across the Island.

Since 1997 the Bali Skal Club has successfully raised more than US$40,000 for local worthy causes including scholarships for students preparing for a career in tourism as well as organizing a number of fun-filled social events for the local tourism industry. More recently, the Bali club managed in only two weeks to raise US$ 30,000 for tsunami relief.


Police Chief Pastika Moving to Jakarta?
Local Press Report Bali's Police Chief Ir. Made Pastika will Assume New Job as Head of Narcotics Division by Late December.

Local press are reporting that Bali's popular Chief of Police, Irjen Made Mangku Pastika, will soon be promoted to the Jakarta-based post as Head of the National Narcotics Agency (BBN).

The promotion, when formally confirmed, will see the policeman once named Time Asia's Newsmaker of the Year for his role in capturing the Bali bombers assume front line responsibility in Indonesia's war on drugs. The new post would also see Chief Pastika add another star to his epaulet, becoming the equivalent of a three-star general in national law enforcement rankings.

Widely respected for his pro-active support of community policing as part of an overall plan to improve Bali's security, Chief Pastika speaks 6 languages and, as a result, has played a central role in helping Bali tourism communicate its response to terrorism to major overseas markets. Accordingly, Chief Pastika is currently on an official visit to Japan and scheduled to return to Bali on December 14, 2005.

Rumored to be replace Chief Pastika as Head of Bali's Police force is Brigadier General Soenarko who currently heads the Public Relation's Division at National Police Headquarters and who would automatically be promoted to the Inspector General rank upon assuming his Bali position.

Despite widespread page-one reports in the local press announcing the promotions, both Chief Pastika and Soenarko are without comment on the reports, insisting they have yet to receive an official telegram from National Police Headquarters confirming the promotion.


A Deepening Crisis
Bali by the Numbers: November Arrival Figures Show Arrival Crisis Continues, But Perhaps Less Severe than 2002 Post-Bombing Period.


Foreign direct arrival figures just released for November 2005 show 62,705 overseas travelers arrived in Bali during the month, a figure down -43.26% from the November 2004 arrivals (110,506).

An initial review of the November 2005 arrivals suggest the following:

• The Arrival Crisis May be Deepening: In the month immediately following the October 1, 2005 terror attack arrivals for October 2005 were down 36.83% as compared to the same month one year before. With November 2005 arrivals down -43.26% on a month-to-month basis, these new figures suggest that the current slump may be worsening with no evidence of a recovery yet in sight.

• Downturn in Business Less Severe Than 2002: When comparing November 2002 with November 2005 arrivals two somewhat cheering facts emerge. First, the downturn in business this time round is less acute; down only -43.26% in month immediately after the latest bombing as compared to a -56.74% slide in the November after the October 12, 2002 attack. Secondly, although post-bombing business is down in November 2005, total tourist numbers are, nonetheless, an impressive 189% ahead of totals achieved in November 2002.

• Asian Pacific Arrivals - A Mixed Bag: In terms of total Asian-Pacific arrivals, the negative gap in business narrowed somewhat in November 2005, improving slightly from a downturn of -46.11% in October to only -33.56% in November 2005. Major Asian-Pacific inbound markets – Australia, Japan, South Korea, and Taiwan - comprising Bali's top 4 main source markets, all continued their southward slide in November suggesting a worrisome growing skittishness in the region as regards travel to Bali. The Australian market was down -54.81% adding a further-4.19% drop from the October figures; Japan's negative gap widened to -61.23% in November, substantially worse than October's downturn (-48.26%); South Korean visitors dipped -49.50% for November, worsening from the -46.75% decline booked in October; and Taiwan's November decline was a massive -62.83% heading further south from the -37.40% decline recorded in October.

• ASEAN on the Mend? Indications from the November 2005 arrivals is that the worse may be over as regard ASEAN arrivals. November overall arrivals from all ASEAN countries were down -39.87%, an improvement over the -51.98% decline recorded in October, the month immediately after the latest bombing. Similarly, Malaysia and Singapore began to claw their way back, down only -37.47% and -44.12% respectively in November.

• The Americas Holding Steady Travelers from the Americas demonstrated continuing resilience in November, down a relatively modest -21.36%, a slight improvement over October's downturn (-22.26%).

• Europeans Taking Terrorism in Stride? November's arrival figures show a maturing attitude to acts of terror by European travelers, down overall only -13.43% in November 2005 as compared to the same month in 2004. While slightly higher than the even more modest -9.64% decline recorded in October, the Europeans are showing an amazing degree of fortitude when compared to their reactions in the post-bombing November in 2002 when arrivals from that market dipped -59.02%. Both the Dutch (1.59%) and French (9.9%) markets made continued gains in arrivals in November 2005. Meanwhile the Swiss (-15.40%), Italian (-47.89%), German (-24.37%), and U.K. (-11.76%) all declined in November. With the exception of the relatively miniscule Italian inbound market, the declines among Europeans were much less pronounced than Bali's closer to home markets in the Asia-Pacific.


The Alimentary Facts on a Great Cup of Coffee
Fancy a Cuppa? Bali-Based Company Offering the Rarest and Most Exclusive Coffee – Kopi Luwak – to the World.

Aficionados of the perfectly prepared cup of freshly-brewed coffee can only really consider themselves in the major leagues of coffee connoisseurs after they have savored the unique flavor of Luwak Coffee - an Indonesian specialty coffee that has a annual total production of less than 500 kilograms and can sell for as much as US$1,000 per kilogram.

Now marketed world-wide by Bali-based Animal Coffee, this highly prized coffee, once only known to a very limited circle of coffee gourmets, is now available to a wider audience via the Internet.

Kopi Luwak?

The secret to this unique coffee is in its harvesting or, should we say, how it's harvested. All the coffee beans used in the final product have first passed through the digestive tract of the Asian Palm Civet - Paradoxus hermaphroditus – a small cat-like animal that lives in on many Indonesian islands. Nocturnal by nature, these cats sustain themselves on fruits with their favorite meal the red, ripe beans of plantation coffee. Selective and finicky, the Civets choose only the choices beans. Once ingested, natural proteins responsible for coffee’s natural bitterness are leached out by the animals stomach juices before re-emerging at the other end of the creature’s alimentary tract.

Motivated by the rarity and resulting high market rice of Kopi Luwak rural villager search jungles and civet habitats surrounding coffee growing areas, hand collecting the eliminated coffee beans from the jungle floor. Only after a meticulous washing, drying and roasting process do these beans qualify as Kopi Luwak and make their way to the tables of the world's most discerning coffee drinkers.

And for those who think Kopi Luwak must represent the last-word in exotic coffee experiences, we've just heard that Animal Coffee will soon launch another product line - Bat Coffee.

Kopi Luwak now available in attractive gift boxes and shipped world-wide, from the Animal Coffee Web Site containing more information than many might ever want to know on the unique production process of the world's rarest coffee.

Just when you were trying to eliminate coffee, a cat manages to beat you to it!

More information: Animal Coffee Website


Please, Show Us the Money!
Still Waiting 2 Months After Terror Attack for Much Needed Jakarta Funding to Aid Bali Tourism Recovery.

According to comments made by the Chief of the Bali Tourism Authority, I Gede Nurjaya, in the Indonesian-language Bisnis Bali, Bali is still awaiting promised supplemental promotional funds to hasten local tourism's recovery following the October 1, 2005 terror attack.

Of the recommended Rp 59 billion (approximately US$5.85 million) in additional support suggested to the Central Government to enhance Bali's security and support various promotional activities, reportedly none of that amount has yet to make its way to Bali.

The proposed budget for Bali's recovery included additional funds to bolster security on the island, a series of hosted trips to Bali for the press and international travel industry, overseas promotional missions to key markets, and the establishment of a Bali Press Center.

With many hotels experiencing occupancies below 30%, many local tourism figures are calling for an immediate and urgent response from the government to prevent a deepening of the economic fallout from the post-bombing downturn in tourism to Bali.


European - Asian Border Meeting in Bali
ASEM Conference in Bali: Immigration Officials from 39 Countries Meet in Bali for 3 Days.

Top-ranking immigration and border control officials from 39 European and Asian countries gathered in Bali for a three-day meeting December 5-7, 2005 held at Nusa Dua seeking avenues of cooperation to curve illegal immigration, cross-border crime, drug dealing, money-laundering and terrorism.

The Asia-Europe Immigration Director General's Meeting (ASEM) concluded a number of far-reaching agreements to be introduced before a deadline of 2010, including the introduction of electronic passports that include full-face photographs, fingerprints and a record of the eye retina of the passport's holder. According to Indonesia's Director General of Immigration, Iman Santoso, Indonesia will begin the process of making it more difficult to falsify passports with the introduction of microchips in Indonesian travel documents starting from 2006.

Also featuring prominently on the meeting's agenda was cross-border coordination between immigration departments that will track travelers movements, verifying that individuals who have departed their home country actually do arrive in the declared destination abroad.

The ASEM gatherting was the 4th meeting of its kind among the international immigration officials from across Asia and Europe.

International Cooperation Needed to Fight Terrorism

Indonesia's Minister of Justice and Human Rights, Dr. Hamid Awaluddin, in comments made after formally opening the conference in Bali said that international movement of people between nations brings many economic and cultural benefits to the world while at the same time creating numerous problems for the governments involved. Citing terrorism as just one of these problems, Minister Awaluddin emphasized that modern international terrorism can only be combated through cross-border cooperation.

Information Sharing Among ASEAN Immigration Offices

Reportedly receiving wide-spread support at the ASEM gathering are plans to establish a ASEAN-wide immigration intelligence network among the members of the Association of Southeast Asian Nations. This system, once fully implemented, will allow immigration offices from among the 10-member countries of ASEAN to freely exchange intelligence and share information on suspects and criminal sought by their respective police departments, those suspected of trans-national crime, or individuals banned entry from any of the member nations.

The discussions in Bali were conducted under conditions of strict security and confidentiality as official exchanged ideas and tactics for better border control management.


 
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Bali Update #286
March 11, 2002

Bali Update #285
March 04, 2002

Bali Update #284
February 25, 2002

Bali Update #283
February 18, 2002

Bali Update #282
February 11, 2002

Bali Update #281
February 04, 2002

Bali Update #280
January 28, 2002

Bali Update #279
January 21, 2002

Bali Update #278
January 14, 2002

Bali Update #277
January 07, 2002

Bali Update #276
December 31, 2001

Bali Update #275
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Bali Update #274
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Bali Update #273
December 10, 2001

Bali Update #272
December 03, 2001

Bali Update #271
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Bali Update #270
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Bali Update #269
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Bali Update #268
November 05, 2001

Bali Update #267
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Bali Update #266
October 22, 2001

Bali Update #265
October 15, 2001

Bali Update #264
October 08, 2001

Bali Update #263
October 01, 2001

Bali Update #262
September 24, 2001

Bali Update #261
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Bali Update #260
September 10, 2001

Bali Update #259
September 03, 2001

Bali Update #258
August 27, 2001

Bali Update #257
August 20, 2001

Bali Update #256
August 13, 2001

Bali Update #255
August 06, 2001

Bali Update #254
July 30, 2001
 

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