Minister Inaugurates Plantation, Forestry Holding Companies in Surabaya

Surabaya, E Java (Antara) -- State Enterprises Minister Dahlan Iskan inaugurated state plantation firm PT Perkebunan Nusantara (PTPN) III and state forestry company Perum Perhutani as holding companies for the plantation and forestry sectors, respectively, on Thursday. "We believe that creating these holding companies will increase professionalism (among staff) and improve the image of the state-owned plantation and forestry firms," Iskan said, after signing the deeds on the transfer of state shares with president directors of PTPN I-XIV and state forestry firms Inhutani I-IV. The operations of these companies will not be directly affected by this move, Iskan affirmed, adding that he expected that the holding companies will increase state revenue from dividends and taxes by expanding their businesses. "With the creation of the holding companies, (the state plantation and forestry companies) will operate more efficiently to increase their profits and be at par with private companies," he explained. PTPN III is the holding company of PTPN I, II, IV and XIV. The government has left it up to Perum Perhutani to decide which companies from the forestry sector will become members of the holding company. The creation of the holding company for the plantation sector complies with the finance minister's decree number 469/KMK.06/2014 regarding the value of additional state capital participation in state forestry company on October 1. "The creation of the holding company for the forestry sector adheres to the finance minister's decree number 468/KMK.06/2014 regarding the value of additional state capital participation in PTPN III on October 1," Iskan stated. (*)