The natural resources, the strategic geographical position, and the political stability of Minahasa Raya make this area a target of potential business centers and investments.

Below are listed some of the potential business opportunities. For more information about the opportunities and procedures for doing business in Minahasa, Manado and Bitung, please contact:

KADIN Sulawesi Utara (The North Sulawesi Chamber of Trade and Industry)
Jl. A.A. Maramis No. 282 B. Lapangan
Kecamatan Mapanget, Manado
Sulawesi Utara - Indonesia
Tel. (62-431) 813-808
Fax (62-431) 813-553
email: kadin@manado.wasantara.net.id

KAPET (KAwasan Pengembangan Ekonomi Terpadu) is the Integrated Economic Development Zone for Minahasa Raya which covers:

1. Wori-Molas Tourism Development Area
   This area is spread along the beach from the western to the northern part of North Sulawesi, with an area of 1,773 Ha. This area includes seven tourism sites developed in 1997 and nine other hotels and resorts in the planning stages. Although this area is categorized as a tourism development area, there is a plan to develop two fishery activity sites and one industrial activity site.
   
   
2. Likupang Tourism Development Area
   The Likupang tourism development area covers an area of 4,200 Ha which includes Bangka and Talise, the area surrounding the Paradise Hotel in Likupang, a golf course developed in 1997, and seven other tourist facilities (such as hotels and resorts) in the planning stages, along with two locations for the fishery sector, plus one mining location.
   
   
3. Bitung-Airmadidi Industry Development Area
   This area covers a space of 53 Ha. There are seven tourist attractions: Airmadidi old tomb garden (Waruga), Batuangus and Tangkoko wildlife reserve, Air Prang beach, Tanjung Merah, Tasik Oki, and Batu Nona. Eight more investment sites are planned in the industry/agri-industry sector including the KABIMA Industry area, plus one site in the fishery sector (a fish dock).
   
   
4. Tomohon-Tondano Tourism and Energy Resources Development Area
   Investment in this area mainly focuses on the tourism sector and energy resources. It covers an area of 1,400 Ha. In 1997 there were four sites of energy resources, i.e. the Tanggari I Power Station, Tanggari II, Tosea Lama, and a geothermal resource. There is also another tourist attraction in Tondano called "Tondano Festival".
   
   
5. Modoinding Horticulture Development Area
   Located in the southern part of Minahasa Regency, this area provides a wide range of opportunities for investments in the horticulture sector. Its soil and high altitude make this area very suitable for the planting of vegetables, fruit, and flowers. 
   
   
6. Remboken Ceramic Development Area
   In addition to investment in the tourism sector, investment in this area focuses also on the ceramic industry. The soil mostly consists mostly of clay -the main material for ceramics. Coupled with the surrounding tourist destinations there is a great potential for the ceramic industry.    
   

Potential Natural Resources

1. Tourism Sector
   There are 98 Km  of beaches in North Minahasa, Manado and nearby islands such as Bunaken, all having potential for tourism development. Lake Tondano, in addition to its function as a pure water resource, has a  freshwater fishery and tourism development area.
   
   
2. Agriculture Sector
   Agriculture in the KAPET is dominated by industrial crops such as coconut (282,500 Ha), cloves (48,700 Ha), and vanilla (4,000 Ha). Coconut production is 276,924 tons per annum on average, while the clove production is around 300 tons per annum on average. Except for coconut and clove, vanilla is still a relatively newly-developed crop.
   
   
3. Energy and Mining Sector
   The operating energy resource is the PLTA Tanggari I station with a capacity of 18 MW. There are also five geothermal resources, two of which produce 2.5 MW electricity. Besides, there is also a natural gas resource in Lahedong, which is not yet operational. Lake Tondano, with the area of 3,240 Ha can also function as a hydroelectric power reserve. The basic commodity potential for cement production in the mining sector is limestone (CaCO3), clay and sand.

Main Prospects:

1. Agriculture
2. Fisheries
3. Tourism
4. Mining & Energy
5. Education & Human Resources Development
6. Services

Business Prospects

1. Coconut Oil Processing

   Most plants are small-scale oil-producing plants that cater only to the domestic market. There are quite a number of these plants around Minahasa Raya, since the area has the highest coconut density in Indonesia. All small coconut oil plants are labour-intensive and raw materials are purchased at farmgate prices. The manufacturing process results in a powdery by-product that can be used as the main ingredient in fishmeal and other animal feeds. In addition, coconut husks are sold to manufacturers of activated charcoal.

   Prospects : Modern coconut oil-processing plants and activated carchoal plants.

2. Traditional Handicrafts

   Indonesia is generally known for timber and wood products, owing to its large forest areas. Hence the country's handicrafts - specifically North Sulawesi's (whether it is from wood, ceramics, or other materials)-  may perhaps rank as export-quality. Currently, these handicrafts serve the tourist market of Manado, so the craft traders in larger urban centers of ASEAN and Hongkong are invited to explore the possibility of selling Minahasa Raya's handicrafts in their shops.

   Prospects: Supply to retail outlets overseas.

3. Knockdown Houses

   Many would characterize Indonesia's knock-down houses as "simple and practical". Constructed from different kinds of wood, these houses are built on a made-to-order basis. The house is first erected with floors, walls, ceilings and roof, and disassembled when ordered. These houses are then shipped in 20 or 40 foot container vans to their destinations, where they are assembled on the spot. Five of these houses have already been shipped to Mindanao, and marketing of these houses is encouraged in other areas of ASEAN, and internationally as well.

   Prospect: Distributors sought in Singapore, Brunei and Malaysia.

4. Coconut Wood Furniture

   Fine coconut furniture can be found in Indonesia. From beds to headboards to tables and chairs, to cabinets, the coconut furniture manufacturing plant in North Sulawesi can make them all. Because it uses only wood from trees no more than 12 meters high, difficulty is encountered in purchasing fine coconut wood. This, coupled with a large number of customer orders, has led to a one year waiting period from order to delivery. Therefore, coconut woodworking and furniture manufacturing qualifies as a potential investment area in North Sulawesi.

   Prospect: Factory for large scale production.

5. Bitung Industrial Estate

   The industrial park in Bitung is a 250-hectare site divided into an export zone, wet and dry factories, housing, and recreation, among others. A key factor in its growth is the completion of the Bitung International Container terminal this year (2001). Japanese investors have already provided the required funding, and construction has begun. Further, industry-rich Taiwan has indicated an interest in relocating about 150 factories to the Bitung Estate when container terminal operations kick in. At the present time the Bitung Industrial Estate is open to investment, and special incentives apply to firms investing especially in the export-processing zone.

   Prospect: Manufacturers looking for low-cost production centers.

6. Likupang Tourism Estate

   Sprawled over 450 hectares, the Tourism Estate in Likupang (northernmost town in Sulawesi Island) includes three hotels, two golf courses, diving and water sports, retirement homes and medical facilities in its master plan. The first hotel, the Paradise Resort Hotel, is operational and can cater to 100 guests (full plan totals 315 rooms). Already, the Meridien and Sheraton groups have expressed interest in joining the Estate, and the Estate Manager further plans to invite the Holiday Inn group to manage the Paradise Hotel in the future. As with the Bitung Industrial Estate, a key factor in the development of the Tourism Estate is the completion of the new passenger terminal at Sam Ratulangi International Airport next year. Subsequently, flights from Japan to Bali may be allowed (and encouraged) to stop over in Manado.

   Prospects: Investments in one of Sulawesi's brightest long term economic potentials.

7. Large Industries

Other Trade and Investment Prospects

1. Agricultural Produce

   Minahasa Raya's soil is highly fertile, making it a high-yield area for crops like corn, onions, cloves and potatoes. A large fraction of these harvests (particularly potatoes) supply the island of Java and other provinces. Indonesia's cheaper agriculture produce still has the capacity to cater to consumer markets of EAGA and ASEAN.

2. Marine Tourism and Cruises

   Minahasa Raya has almost limitless opportunities in marine tourism and cruises, owing to its state-protected reefs and abundant aquatic life. A stopover at Manado/Bitung while on a cruise may be worth the tour package, with tourists getting a taste of North Sulawesi's ethnic heritage and modern culture.

3. Seafood Canning

   Seafood canning is another of the province's potentials. In addition to Bitung's tuna canning plant, investors may want to consider canning other aquatic resources, such as squid, sardines, mackerel, clams and molluscs. Indonesia's cheap, yet skilled labor has already proven Minahasa Raya to be a viable location for PT. Sinar Purefoods.

4. Granite Quarrying

Sources:
- North Sulawesi Chamber of Trade and Industry
- Government of Minahasa Regency