Lombok has received another significant boost to its tourism and property industries with the signing of an agreement between Dorna Sports, the organizers of MotoGP, and ITDC to develop a custom-built street circuit in Mandalika.

Once completed, Mandalika would be the first street race in the MotoGP calendar.

The news follows the recent announcement reported by Gapura Bali that AirAsia plans to make Lombok its regional hub.

Road construction to begin in October 2019

According to CNN, the circuit will be built on 131 hectares of land in Mandalika in southern Lombok by French developers, Vinci Construction Grands Projets (VCGP) who are the project's main investors.

Director of ITDC, Abdulbar Mansoer, explained ITDC would work in tandem with VCGP to construct the circuit and various facilities in and around Mandalika beginning in October 2019. VCGP will ensure the road paving process follows International Motorcycling Federation (FIM) and International Automobile Federation (FIA) standards according to Tempo.

Abdulbar, explained construction of the main road and supporting facilities, such as drainage systems and energy and telecommunication networks, would take around six to nine months.

“The investment value to build this (Mandalika) district amounts to USD $1 billion over 15 years,” Abdulbar told Tempo last week. The total investment he mentioned reached more than IDR 14 trillion.

Captive audience

Motor Sport Magazine claims MotoGP has an audience of around 300 million households, which they calculate to be approximately equal to around 1.2 billion people. And that sort of exposure is very likely to have a positive impact on the region's tourism industry.

Valentino Rossi has a cult following in Indonesia but he will be 42 years old when Mandalika hosts its first MotoGP. Will he compete?

But it's not just Lombok that looks likely to benefit from the global exposure. Indonesia's motorcycle industry is also gearing up for the experience. According to Market Watch, Indonesia is the world's third largest motorcycle market behind China and India and the industry enjoys a passionate following across the country.

Boost for the Indonesian racing scene

Local newswires are already putting the pressure on Indonesian riders to qualify for the inaugural event. PT Astra Honda motor hopes that the MotoGP will strengthen the development of local racers.  PT Astra Honda Motor Marketing Director Thomas Wijaya, is being quoted by Detik as saying he hoped that someday "we can deliver Indonesian riders to compete in the main MotoGP class."

At a glance

• The first MotoGP event in Indonesia was held in 1997 at the Sentul Circuit in West Java, where 9-time world champion Valentino Rossi won the 125cc class.
• Mandalika will be the first street circuit in the MotoGP calendar with a 4.32-kilometer track, 18-bends and only one straight.
• Supporting facilities will include a paddock area with 40-garages and seating for more than 93,000 spectators.
• In addition, there will be space for almost 140,000 spectators with no seats and hospitality suites for over 7,500 people.
• Detik are reporting the total cost of constructing the Mandalika Circuit is estimated to be over IDR 3.5 trillion.
• Mandalika is also being slated to host a round of the World Superbike Championship (WSBK) and a MXGP motorcross event.

Sources: Detik, The Jakarta Post, Tempo, CNN, Market Watch, Motor Sport Magazine, Tribun, Kompas, Gapura Bali

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