Jokowi Opens Alcohol Investment Permit, Anker Beer Producer Shares Owned By The Provincial Government Of DKI Step On The Gas!

ANKER beer lychee flavor. (Photo: Doc. Beergembira)

JAKARTA - The share price of a liquor company (alcohol), which 26.25 percent of its shares are owned by the DKI Jakarta Provincial Government, PT. Delta Djakarta Tbk (DLTA), was recorded to have jumped in trading today, Monday 1 March.

This was after President Joko Widodo (Jokowi) signed a Presidential Regulation (Perpres), one of which is about the opening of an investment permit for the liquor industry.

Quoting RTI data, DLTA shares jumped 1.60n percent or 60 points to the level of IDR 3,820 per share. At the opening Monday morning, the Anker Beer producer shares were at the level of IDR 3,760 per share.

The company controlled by San Miguel Malaysia with ownership of 58.33 percent, recorded a transaction value of IDR 838.65 billion, with a volume of 220.60 million shares.

The DKI Jakarta Provincial Government, led by Anies Baswedan, actually wants to release share ownership in Delta Djakarta. However, the DKI Jakarta Provincial Government admits that it has not received approval from the DKI Jakarta DPRD.

As reported, President Jokowi opened investment permits for the liquor industry (alcohol) or alcoholic beverages from large to small scales. This rule only applies to certain areas.

This is regulated in Presidential Regulation (Perpres) Number 10 of 2021 concerning the Investment Business Sector which Jokowi signed on February 2, 2021. This regulation is a derivative rule of Law (UU) Number 11 of 2020 concerning Job Creation (Job Creation Omnibus).

"All business fields are open to investment activities, except those that are declared closed for investment or for activities that can only be carried out by the central government," writes Article 2 paragraph 1 of Presidential Regulation 10/2021.

Furthermore, according to attachment III of the regulation, the new investments can be made in four provinces by taking into account local culture and wisdom, namely the provinces of Bali, East Nusa Tenggara, North Sulawesi, and Papua.

If the investment is carried out outside the area, it must be stipulated by the Head of the Investment Coordinating Board (BKPM) based on the recommendation of the governor.

The same permits and conditions also apply to the wine alcoholic beverage industry. With this license, the alcoholic beverage industry can obtain investment injections from foreign, domestic, cooperative, and micro, small, and medium enterprises (MSMEs) investors.

Meanwhile, foreign investment may flow with a value of more than IDR 10 billion excluding land and buildings. However, it is obligatory to form a limited liability company (PT) based on Indonesian law and domiciled in the country.

In addition to regulating the matter of investing in the alcoholic industry, the government has also opened the door to investment for the retail trade of alcohol or alcohol which is included in the list of business fields that are allowed under certain conditions.