Meeting With The DPR, Directorate General Of IKFT Of The Ministry Of Industry Reveals Four Challenges Faced

Commission VII DPR RI conducted an RDP with the Directorate General of IKFT of the Ministry of Industry together with a number of associations at the Parliament Complex, Senayan, Jakarta, today. (Photo: Theresia Agatha/VOI)

JAKARTA - Director General of Chemical, Pharmaceutical and Textile Industries (IKFT) of the Ministry of Industry (Kemenperin) Taufiek Bawazier said, there are at least four challenges that the sector is facing.

This was conveyed by Taufiek in a Hearing Meeting (RDP) with Commission VII DPR RI together with a number of associations at the Parliament Complex, Senayan, Jakarta, Wednesday, November 12.

The first challenge is about prices in the domestic market.

According to Taufiek, so far domestic products are filled with imported goods.

"So, if the price in the market is not filled with domestic products, it will certainly affect the utilization and growth of the industry in the IKFT sector," said Taufiek.

Second, is a raw material problem. The third is related to logistical issues.

"This also greatly affects variables for strengthening competitiveness," he said.

The fifth challenge is related to regulations.

"Institutional regulations, because we don't have the special authority to regulate them," he said.

According to Taufiek, one of the most influential variables for the development of the IKFT sector is the market.

The reason, he said, was that 80 percent of the portion of the sector was absorbed by the domestic market and 20 percent were exported.

"So, supporting policies in that direction, especially intervention from manufacturing to markets, is a price factor," he explained.

Previously, the Minister of Industry (Menperin) Agus Gumiwang Kartasasmita said the non-oil and gas processing industry or IPNM grew by 5.58 percent until the third quarter of 2025.

This was conveyed by Agus at the One Year Prebowo-Gibran Government Featured Program Event in Jakarta, Wednesday night, November 5.

"We want to underline the performance of the non-oil and gas management industry which in our view is not bad, quite encouraging. The growth of the non-oil and gas processing industry was recorded at 5.58 percent, much higher than the national economic growth recorded at 5.04 percent," said Agus.

Agus added that the manufacturing industry is also the largest contributor to the national economy's source of growth, reaching more than 1 percent.

"The manufacturing sector is the largest contributor to the source of growth to the economy, which is 1.04 percent," he said.