Cak Imin: Indomaret And Alfamart Kill The Economy Of MSME Actors

JAKARTA - Coordinating Minister for Community Empowerment (Menko PM) Muhaimin Iskandar or Cak Imin highlighted the existence of modern retail networks such as Indomaret and Alfamart which he assessed had eroded the community's economy at the village level.

Cak Imin assessed that the dominance of the two big retailers made micro, small and medium enterprises (MSMEs) lose their economic space in the local market.

This was revealed by Cak Imin in his remarks at the "One Year Community Empowerment Forum: The First Step for National Transformation" at Danareksa Tower, Central Jakarta.

"We understand very well the giant retailers that enter our villages have even killed the people's economy. Including killing MSME players. Frankly, the octopus giants are called Indomaret and Alfamart, which really carries threats and dangers to the growth of our small and medium enterprises," said Cak Imin, Tuesday, October 28.

According to him, local governments are now facing major challenges to protect the village economy so as not to be eliminated by a large distribution system controlled by national retail corporations. Several regional heads have even begun to prepare regulations to restrain business expansion which is considered not to provide space for small business actors in their area.

"Many regents are very worried and then many regents build regional regulations to anticipate octopuses that are so strong from downstream to upstream, producers to distribution to one point," said Cak Imin.

Therefore, Cak Imin emphasized that the Red and White Village Cooperative program under President Prabowo Subianto's leadership was carried out to make the village economic ecosystem more independent and just.

The chairman of the PKB assessed that cooperatives could be the answer to the economic deadlock of the village which has been difficult to grow in the midst of the dominance of modern markets.

"Ladies and gentlemen, village cooperatives bring new hope so that the government and this country are here to build a new growing economic ecosystem. So that the village is truly a new economic force that is able to survive in any difficult circumstances," he said.

Furthermore, he assessed, empowerment of MSMEs is not enough just by providing capital assistance and market access. The government must also ensure that there is protection from the invasion of imported products and strengthen the position of informal workers who are still vulnerable to economic risks.

"Empowerment of MSMEs is not only a matter of capital, markets, and products, but we must continue to ensure the protection and onset of imported products, informal worker positions, and risks of business failure," he said.

He said strengthening the local economy was a quick way to a more equitable welfare. Small business actors and cooperatives, he continued, are the main foundation for the nation's independence.

*We will continue to encourage and have us start realizing a equitable local economic ecosystem. Tough local business actors are the foundation of the nation's independence and the milestone of people's welfare," he said.