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In-Security Business

Tuesday, May 8, 2001

Lately, factories have been favored targets for two types of crime: extortion by local residents and plunder by thieves. If security continues to be so fragile, the nation's economy is bound to suffer.

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Indonesia's status as a high-risk nation for investment is becoming more and more justified, as factories remain on edge. If industries located in conflict areas such as Irian Jaya, Aceh, Maluku, or Kalimantan, fold because security cannot be guaranteed, we may speak of "force majeure." But what about industry situated in less obvious conflict areas that face similar risks? A number of textile mills in West Java's Bandung area, for example, have ul...

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