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Pertamina unit business, Petrochemical Trading, hopes government build petrochemical refinery to supply the local needs. So far, Pertamina refinery is still mainly used for producing fuel.

"ertamina only takes 30 percent in national petrochemical industry,"  the Vice President of Petrochemical Trading, Denny Wisnuwardhani, said on Friday. Petrochemical production from Petrochemical Trading relies on several refineries in Indonesia, such as Cilacap, Plaju, and Balongan.

Indonesia is left behind compared to four biggest petrochemical production countries in Asia. About 50-100 percent of petrochemical industry in China is owned by its government. Saudi Arabia owns 50 percent, Malaysia 70 percent, and South Korea 100 percent and those countries also invest in Indonesia.

On tax holiday scheme, four companies are planning to invest in Indonesia. First company is Posco Korea with total investment six billion USD. The second is Kuwait Petroleum in Balongan II Refinery with total investment in eight billion USD. The next is Saudi Aramco in Tuban refinery and Honam Petrochemical in Titan Petrokimia Nusantara Company in about 4.5 billion USD.

Wisnuwardhani said the last year production target of Smooth Fluid 05 (SF05) which became the oil base mud component in drilling was 70.000 metric tonnes (mt), but the realization was only 27.000 mt.

The trading target of petrochemical products this year hits 1.7 million mt, the Marketing Support Manager Petrochemical Trading Oos Kosasih said. "The margin target is 650 billion IDR," Kosasih said.