Swedish businesses eyeing PNG market for investment

Swedish investors meeting with Foreign Affairs Minister Justin Tkatchenko and PNG Foreign Affairs officials recently. Sweden is one of a few countries in Europe that still does mining while most don't mine anymore (Image: PNG Foreign Affairs)

Companies from Sweden, a European country, are interested in investing in the Papua New Guinean market because of its strategic location in Asia Pacific region.

Sweden's Ambassador to Indonesia His Excellency, Daniel Blockert told Foreign Affairs Minister Justin Tkatchenko that the companies are looking at investing particularly in the sustainable ways of mining and Health sector.

"We are one of the few countries in Europe that is a big mining nation. Most of the European countries don't do mining anymore.

"Although we are a small country, we have quite a lot of companies present in the region including Australia and Indonesia.

"The first step is mining, we don't have companies to run mines but it’s for mining equipment, technology, digitalization, mechanization including robots, methods of sustainable mining and workers' security,” Blockert said.

Ambassador Blockert said in the health sector, the biggest project the Swedish companies involved are in Indonesia and in the areas of medical equipment, training programs for midwives, cancer treatment and screening people for diseases.

"We're starting with mining to test the waters a little bit hopefully we could move on from there.

"There are challenges to do business here, it’s expensive, energy and power for some companies but that's not going to be a problem for the Swedish companies.

"Land rights is also a concern for many companies because 97 percent of the land is customary owned which makes it a challenge.

"But companies see great potential here, especially the Swedish companies that are present in Australia, they see a strong connect between Australia and PNG," he said.

Minister Tkatchenko in appreciating Ambassador Blockert and the intension of the Swedish companies, said PNG' s doors are open.

"We've got a lot to offer, it’s just getting it right and putting the correct message out there." "At the moment, the Mining Act is under review as it doesn't attract companies to invest. We hope that the scenario will change once the review is completed."

"We deal with South East Asia and the Pacific region, only recently France and other European Countries have come in and shown interest. "However, with Europe our ties may be with products such as coffee and others," Minister Tkatchenko said.

Meanwhile, Ambassador Blockert hopes to return later in the year to celebrate 50 years of diplomatic relations.