New Delhi: The new Indonesian government formed after the general elections in February next year will take a call on procurement of BrahMos supersonic cruise missiles, which the country has been eyeing to shore up its defences amid China’s muscle-flexing in the region.
Speaking at the ‘Diplomat Diaries’ hosted by the Observer Research Foundation (ORF) in New Delhi Monday, Ina Krishnamurthi, Indonesia’s ambassador to India, added that the BrahMos deal was delayed initially due to Covid. “Defence cooperation in terms of strategic weaponry or strategic products, the biggest challenge for Indonesia was that Covid-19 stopped the tender process and then after that the finance for defence cooperation is lacking because of Covid and then post-Covid recovery.”
She added: “It is still on the table, but we need to see what will happen after February, because the cabinet cannot decide now on any strategic decisions because we are already entering the campaign next week. We need to see until the new government comes in.”
BrahMos Aerospace, a joint venture between India and Russia had in March expected to close a deal to sell supersonic cruise missiles to Jakarta worth $200 million before the end of the year. In 2022, BrahMos clinched its first foreign deal sale of shore-based anti-ship missiles to the Philippines worth $375 million.
In March, the CEO of BrahMos had said that Indonesian defence forces are extremely interested in a deal worth anywhere between $200 million to $375 million for a set of shore-based missiles as well as a version that could be mounted on warships, as reported by Reuters.
The comments by ambassador Krishnamurthi make it clear that any deal before the end of the year would not be possible, given that Indonesia will be holding, for the first time, a unified election — for the posts of president, vice-president and the legislature as well as provincial governments and regional elections.
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Sabang port
Another area of cooperation between Jakarta and New Delhi revolves around the port of Sabang in the province of Aceh in Indonesia. In 2018, Indonesia and India had agreed to set up a joint task force “to undertake projects for port related infrastructure in and around Sabang”, according to the joint statement published by the two countries.
“Fifty officials from Aceh coming to India is evidence of something happening on Sabang port…Political stability in the province of Aceh is recent. One needs to understand that the province of Aceh is a special autonomous state within Indonesia and that the decision must be taken by the local government,” Krishnamurthi said in response to a question from ThePrint during the discussion.
“I have spoken to a potential investor who has also visited the province. We are trying our best, but Aceh is a special autonomous region,” added Krishnamurthi.
On 5 November, the Indian consulate in Medan, Indonesia, hosted a reception in Banda Aceh, the capital city of Aceh province, for 60 officials from the local government who will undergo training in India under the Indian Technical and Economic Cooperation (ITEC) programme.
ITEC is a capacity building platform of the Ministry of External Affairs instituted first in 1964, according to its website.
‘India balancing voice in the Indo-Pacific’
Ambassador Krishnamurthi also called India a “significant balancing voice” in the Indo-Pacific while celebrating 75 years of Jakarta-New Delhi bilateral ties during the discussion. She commended Prime Minister Narendra Modi’s visit to the East Asia Summit and the ASEAN -India summits on the eve of the G20 meet being hosted by India.
“This year Prime Minister Modi attended the ASEAN-India summit and the East Asia Summit in the middle of preparations for the G20 leaders summit. This is commendable but also a statement of intent…India has become a significant balancing voice in the Indo-Pacific,” said the ambassador.
Krishnamurthi explained that the goal is to build on the past, the present and the future, adding that Indonesia and India are “de facto gatekeepers” of the maritime region surrounding the straits of Malacca.
“However Indonesia and India relations need to be much further developed…In 2022 trade ties reached $32.71 billion but we need to find out why our relationship has not reached its potential…There are so many potential routes to explore…The key is trust,” Krishnamurthi said.
The ambassador highlighted that amongst emerging market economies there are many similarities so the focus should be on the differences, which can be utilised to expand relations. “For example the pharmaceutical industry, Indonesia does not have the technology or the know-how, which are in abundance in India. For Indonesia, palm oil is our strength…We are lacking understanding of what we are different in.”
(Edited by Gitanjali Das)
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