Economists Encourage Apple To Build Factory In Indonesia To Increase Manpower Absorption

Illustration. (Photo: Unsplash)

JAKARTA - Economist and Professor of the Faculty of Economics and Business, University of Indonesia, Telisa Aulia Falianty encourages Apple to build production facilities in the country, thereby increasing labor absorption while encouraging technology exchanges.

Dirinya di Jakarta, Senin 6 Januari, mengatakan pembukaan lapangan kerja tersebut bisa dimulai untuk aktivitas penggemakan perangkat (hardware), lalu berlanjut ke level yang lebih tinggi sambil mempersiapkan kesiapan sumber daya manusia (HR).

For example, phase one is for hardware, phase two is for software, and the new phase three is high-tech digital or is full-fledged. Therefore, at least for phase one, not 1 billion US dollars, but it can be tripled," he said, quoted by Antara.

He argues that to support this, the government needs to prepare a middle ground for efforts to encourage the level of domestic components (TKDN) and other things needed by Apple in Indonesia.

He added, to meet high-tech manufacturing investment needs such as Apple, collaboration between ministries and institutions is needed, considering that efforts to increase investment need to be supported by legal certainty, human resources and digital talent, as well as strong cybersecurity.

This is also related to the Ministry of Industry's (Kemenperin) plan to increase the minimum value of TKDN mobile phones from 35 percent to 40 percent.

According to him, by looking at the economic conditions of the world which also tends to be protective in the era of US President-elect Donald Trump, strategies to increase the value of TKDN can open up more jobs.

The TKDN figure is still realistic to be achieved by the business world. In today's Trump era, the protectionist, I think this policy is relatively more acceptable," he said.

Previously, Minister of Industry Agus Gumiwang Kartasasmita said that his party encouraged Apple to use the first investment scheme or construction of production/factories facilities. Previously, until 2023, Apple took the option of a third investment scheme, namely an innovation scheme by establishing an Apple Academy.

"Our consideration in encouraging Apple to take the option of a factory development scheme is to create jobs from these investments," said the Minister of Industry in Jakarta, Monday, January 6.

The Ministry of Industry views that Apple's investment discourse, which is stated at 1 billion US dollars, still does not meet the principle of justice, seen from four aspects, namely Apple's investment in other countries, investment in mobile phone manufacturers, handheld computers, and tablets (HKT) other than Apple in Indonesia, added value and income for Indonesia, as well as employment in the ecosystem.