JAKARTA - Minister of Industry, (a
"However, if you look more broadly, for as long as people will continue to buy gold, silver, precious stones and gemstones because they have two functions, namely as an investment and an accessory that can be worn and collected," said Agus in a written statement, Friday, May 29.
Agus assessed that the surge in gold prices at the end of 2025 indeed encouraged people to look at precious metals as an investment instrument. However, he stated that jewelry remains a consideration because it not only serves as an investment asset, but also as a fashion and collection product.
He said, data from the World Gold Council showed that global demand for gold bars continued to increase 16 percent year-on-year to 1,402 tons in 2025. However, gold jewelry consumption in Indonesia was recorded as declining 27 percent, from 22.8 tons in 2024 to 16.6 tons in 2025.
According to Agus, the decline does not necessarily erode the performance of the national jewelry industry. According to him, the jewelry industry still shows a significant contribution to Indonesia's trade balance.
Cumulative exports of jewelry and precious goods grew 64.72 percent in 2025. The value rose from 5.5 billion US dollars in 2024 to 9.1 billion US dollars in 2025.
Director General of Small, Medium, and Multi-Industry (IKMA) of the Ministry of Industry (Kemenperin) Reni Yanita said that the majority of small and medium-sized jewelry industry players (IKM) chose to continue to focus on producing jewelry rather than switching to the precious metals business.
Reni stated that the data from the Central Statistics Agency (BPS) and SIINas concluded that there were 539 units of jewelry industry businesses in Indonesia consisting of 49 large industries, 79 medium industries, and 411 small industries. The sector has absorbed 21,116 workers throughout Indonesia.
In addition, said Reni, the Trademap.org report shows that 83.96 percent of Indonesia's main export products of the jewelry industry are jewelry items and parts of precious metals other than silver with a value of 7.64 billion US dollars.
Reni assessed that the competitiveness of the Indonesian jewelry industry lies in the creativity of design and the touch of local cultural identity which is a unique attraction in the global market.
He assessed that industry players also have the flexibility to innovate using various types of materials, such as gold, silver and other minerals according to market conditions and the ability to purchase raw materials.
Meanwhile, the Director of Various Industries of the IKMA Directorate General of Industry, Reny Meilany, said that the public still has many options for investing in gold jewelry with more varied levels and gravities.
"For local consumers, gold jewelry with small karat and gramage and attractive designs can still be a favorite savings as well as a form of investment," he said.
Meanwhile, PT Untung Bersama Sejahtera (UBS) President Director Eddy Yahya stated that not all industrial actors are ready to enter the precious metals business.
Because according to him, the sector requires strong branding and product security guarantees as an investment instrument.
"Entrepreneurs cannot arbitrarily expand their business. The price of raw materials changes almost every day, while consumers tend to choose products with a lighter gold content or gramacy to be more efficient," he added.
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