Collaboration Between Indonesia And China In The Construction Of An MRNA Vaccine Factory, Economist: We Can Learn From The Bamboo Curtain Country

JAKARTA - Center of Reform on Economics senior economist Yusuf Rendy Manilet said the collaboration of a vaccine factory between Indonesia and China, which will be built next year, will save logistics costs.

"The existence of a factory in Indonesia for mRNA vaccines will save the government's logistics costs if for example importing from China or other countries that produce vaccines", Yusuf said, quoted from Antara, Wednesday, August 25.

He explained that Indonesia could learn from China in producing vaccines given the potential for COVID-19 to become endemic, so collaboration is important for the survival of the community.

According to him, the ability to produce vaccines is an important part of the guidelines for the next few years. The government said it would produce two types of COVID-19 vaccines to supply domestic needs starting next year.

In April 2022, Indonesia will produce an mRNA vaccine which is carried out in collaboration with Indonesian companies and Chinese companies. On the other hand, in May-June next year, local vaccines with the Merah Putih brand, developed by five universities and two institutions, will also be produced to meet the supply of vaccines in the country.

Yusuf explained that the Merah Putih vaccine, which will be produced next year, is complementary to the mRNA vaccine.

"With sufficient supply, I think the government can take care if it turns out that vaccination is needed next year", said Yusuf.

According to data from the Central Statistics Agency, the import value of Indonesian pharmaceutical products during the first semester of 2021 was recorded at 1.33 billion US dollars.

This figure has more than doubled compared to the same period last year which was only USD 570.64 million. Currently, Indonesia has injected 90 million doses of vaccine and ranks ninth in the world in the number of vaccine injections.

Throughout August 2021, the government targets to inject 100 million doses of vaccine and reach 200 million doses by the end of this year.

Hisar Sirait, a senior economist from the Kwik Kian Gie Institute of Business and Informatics, said that the cooperation in establishing a vaccine factory between Indonesia and China will provide a positive side through foreign capital flows.

According to him, the investment will create job opportunities and increase the absorption of both medical and non-medical workers which in the end can provide welfare benefits for the community.

"It is hoped that the factory will not only produce COVID-19 vaccines but must be able to provide research space for the production of other vaccines so that efforts to strengthen the health sector in terms of vaccine availability are more secure", concluded Hisar Sirait.