Menparekraf Sandiaga Uno Asks Ministries To State-Owned Enterprises Not To Buy Domestic Products

Minister of Tourism and Creative Economy Sandiaga Uno. (Photo: Doc. Antara)

JAKARTA - Minister of Tourism and Creative Economy (Menparekraf) Sandiaga Uno asked Ministries/Institutions (K/L), regional governments (Pemda) and BUMN, to realize the commitment to spending on domestic products in the contract. Sandiaga does not want micro, small and medium enterprises (MSMEs) to only be given false hope.

"Let's realize this commitment from a commitment to a contract. Don't just commit, don't let PHP (Fake Hope Giver), don't let promises stay on promise. But it has to be government barjas (goods and services) contracts and everything is recorded in LKPP e-contracts, " he said during the Showcase and Business Matching Phase Two of Government Goods/Services Shopping for Domestic Products, at JCC, Jakarta, Monday, April 25.

Sandiaga said the increased use of domestic production (P3DN), the presence of the Proudly Made in Indonesia Movement (Gernas BBI) supported by business matching activities are believed to create 2 million new jobs and can encourage economic growth in the range of 1.7 to 2 percent.

"I underline if we all work hard it will reach 2 percent," he said.

Furthermore, Sandiaga said business actors must take this opportunity. This is because this affirmative action favors the purchase and use of domestic products with a potential transaction of Rp. 500 trillion from the government and SOEs of Rp. 420 trillion.

"According to the meeting in Bali, we expect the government's commitment to spending on MSME products to reach IDR 483.2 trillion, we are getting closer to achieving the target because the deadline is May 31, 2022," he explained.

For your information, President Joko Widodo (Jokowi) has determined that the target for spending on domestic products (PDN) and micro, small and medium enterprises (MSMEs) is IDR 400 trillion for the 2022 period.

On the same occasion, the Minister of Cooperatives and Small and Medium Enterprises (Menkop UKM), Teten Masduki said that to achieve the target given by Jokowi, what is needed is not only a commitment, but the implementation or contract.

Therefore, Teten said that his party also held a Showcase and Business Matching II Shopping for Government Goods/Services for Domestic Products. This event is expected to accelerate the realization of the procurement of goods and services.

Teten explained, at the Showcase and Business Matching II event at the Jakarta Convention Center on April 25-26 2022, there will be an exhibition consisting of medical equipment products, agricultural equipment, heavy equipment, technical services, information technology and the creative economy. The aim is to show the government and the private sector that MSMEs and cooperatives have been able to provide quality technology products.

"The trust of the government and SOEs in domestic products will encourage the confidence of the business world whose potential demand is much higher. Moreover, there is a lot of demand from the private sector for producers participating in the thematic exhibition," he said.

Furthermore, Teten also ensures that one million MSME products will be included in the e-catalogue this year as well. This is in line with the strengthening of Presidential Instruction No. 2 of 2022. Currently, said Teten, the general procurement of goods and services for RUP tagging PDN has reached IDR 483.2 trillion. However, the realization has only reached Rp. 96.2 trillion.

"The next target is the on-boarding of MSME products in the e-catalog. This policy is supported by human resource assistance programs, financing support, partnership certification and others that support a conducive ecosystem for MSMEs," explained Teten.

He hopes that all ministries/agencies (KL) and local governments can also encourage providers, namely MSMEs and cooperatives so that their products enter sectoral e-catalogs and local catalogs with a minimum target of 1,000 business actors per district/city. This is in accordance with regional needs.

"If there are 1,000 business actors per district/city, I think we can reach the target of 1 million," he said.