Minister Of Industry Agus Gumiwang: SNI And TKDN Become Key Instruments To Grow National Industry

Minister of Industry (Menperin) Agus Gumiwang Kartasasmita. (Photo: Doc. Antara)

Minister of Industry (Menperin) Agus Gumiwang Kartasasmita revealed, the Indonesian National Standard (SNI) and the Domestic Component Level (TKDN) are key instruments to grow the national industry.

"There are two instruments that we can do to increase the growth of the domestic industry. The first instrument is SNI," Agus Gumiwang said in Jakarta, quoted from Antara, Thursday, May 30.

SNI, continued the Minister of Industry, can be used to control imports. As an instrument, SNI must be used to protect the domestic industry.

The second key instrument is TKDN. The Minister of Industry agreed that TKDN must be evaluated in terms of a threshold or procedure for implementing TKDN values for a number of industries, for example now it is considered that there is a TKDN threshold that is too high to be achieved like photovoltage for example.

"This must be adjusted (adjust) which so far the TKDN threshold is too high, so we have to adjust it according to lowering it," said Agus Gumiwang.

Then there are also commodities or products whose TKDN threshold is still too low, of course it must be increased. The Minister of Industry said that what must be evaluated is the adjustment of the TKDN threshold, not to abolish the TKDN policy.

"We must not forget about the principles of TKDN. First principles, TKDN encourages and develops investment. Second, TKDN grows industrial trees that are still empty. Third, TKDN expands added value," he said.

Minister of Industry Agus Gumiwang Kartasasmita has allocated a budget of IDR 116 billion to facilitate the issuance of Domestic Component Level (TKDN) certification in 2024.

In addition, the Ministry of Industry has also budgeted IDR 28.4 billion through the Special Allocation Fund (DAK) for assistance in making TKDN certificates in 99 regions throughout Indonesia.