JAKARTA - Minister of Micro, Small and Medium Enterprises (MSMEs) Maman Abdurrahman emphasized the importance of the local market being clean from the dominance of imported products in order to protect and strengthen Indonesian MSME entrepreneurs.
"A few MSMEs can survive because our market today is flooded with products from abroad," Maman said at the 2025 Indonesian Chamber of Commerce and Industry (Kadin) Rapimnas in Jakarta, Monday, December 1.
Maman highlighted the fashion industry as the sector most affected by the rampant circulation of imported goods, especially imported clothing and white label products that are sold without supervision.
Data shows a significant increase in imports of used clothes every year. In 2021, 7 tons of used imported clothes were entered, followed by 12 tons in 2022 and 2023. Last year, the number jumped to 3,600 tons. As of August 2025 alone, 1,800 tons of used clothes have flooded the domestic market. This condition further suppresses the living space of local fashion business actors.
In addition, the circulation of white label clothes that are mass-produced abroad also threatens the national industry. This product is difficult to track because it enters without adequate surveillance standards.
"No matter how strong access to government financing, no matter how great the training is, and no matter how good the marketing strategy is, as long as the market has not been sterilized, MSMEs cannot survive," he said.
He added that various imported products, especially from China, also disrupted the domestic industry. These products enter very easily because they are not required to fulfill strict licensing, in contrast to Indonesian MSMEs which must have a Business Identification Number (NIB), Indonesian National Standard (SNI), BPOM Certificate, and various other requirements.
"Mrs of the house should benefit, but today is actually different for local Indonesian community products that do not get adequate protection," said Maman.
Maman emphasized the importance of ensuring that the domestic market is free from the dominance of imported products, thus creating a fair and conducive ecosystem for superior products in the country. With market strengthening, the local industry will have greater room to grow and compete.
As a concrete step, he said that the government and various stakeholders would work together to close the tap for imports of goods that interfere with the domestic market. Without the dominance of foreign products, the opportunity for MSME entrepreneurs to strengthen local products will be even greater.
In the future, opportunities for the fashion sector will be more open to local industries. I invite Kadin's friends to get involved," said Maman.
He emphasized that the policy of limiting imports would be accompanied by determination of strategic sectors that would still be allowed to import in order to maintain the balance of the national industry. The government also encourages MSME entrepreneurs to enter into the supply chain of large businesses as part of a strategy to strengthen the domestic industry.
"Collaboration across ministries is needed to regulate import regulations so that MSMEs can really become the main players in their own country," he said.
BACA JUGA:
Efforts to prevent the dominance of imported products and strengthen local industries are strategic steps to answer the challenges of the Indonesian economy.
Data from the Central Statistics Agency (BPS) shows that 23.85 million poor people in 2025, while 7.28 million people of productive age are still unemployed. In the 2019-2024 period, a decrease in the number of new jobs and middle class shrinkage is also a serious challenge.
MSMEs and entrepreneurship are believed to be inclusive and sustainable solutions to overcome this problem. The government is here to ensure that MSMEs get strong protection and support in order to be able to become drivers of a fair national economy.
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