COVID-19 Which Hit 60 Percent Of The Industry

Illustration. (Photo: Ministry of Industry)

JAKARTA - The global corona virus pandemic or COVID-19 has an impact on the domestic industry. This is because the epidemic that has taken place since the beginning of this year has made the industrial sector experience a decline. In fact, 60 percent are said to have been seriously hit.

Secretary General (Sekjen) of the Ministry of Industry (Kemenperin) Achmad Sigit Dwiwahjono said, in the midst of the COVID-19 pandemic, only about 40 percent of industries still receive demand for production.

"Almost all industrial sectors have experienced the impact of the spread of COVID-19. In short, 60 percent of the industry is suffering and 40 percent is moderate or there is still demand," he said, in a virtual hearing (RDP) with Commission VI of the DPR, in Jakarta, Tuesday, April 28.

Achmad Sigit explained that the negative impact of COVID-19 on this industrial sector has resulted in several problems in general. Starting from delayed payment contracts, termination of employment (PHK) due to production capacity which according to and some have experienced cancellation of orders from several industries.

Not only that, continued Achmad, there are also industries that have experienced a decline in turnover due to declining sales of several industries. This problem arises because in the midst of the COVID-19 pandemic, the price of raw materials has increased

"The price of raw and auxiliary materials has risen, because the country of origin has limited access," he explained.

According to Achmad Sigit, this condition needs to be given more attention by the government, especially those experiencing the greatest impact. Starting from the cement industry, electronics and telematics, the four and two-wheeled trading industry, and the textile industry.

However, Achmad revealed, in this pandemic condition, there are several industrial sectors that still have high demand. Among them are the personal protective equipment sector, medical devices and ethanol, the pharmaceutical and phyto-pharmacy industry and the food and beverage industry.

Secretary General (Sekjen) of the Ministry of Industry (Kemenperin) Achmad Sigit Dwiwahjono. (Photo: Ministry of Industry)

Previously, Deputy Chairperson of Commission VI Gde Sumarjaya Linggih, when opening the meeting, had mentioned the actual conditions related to the impact of COVID-19 on the industry. Because, based on data, the COVID-19 outbreak is not only detrimental to the health side. He said the agenda for this meeting was to find out about these conditions.

"One of the sectors affected by COVID-19 is industry. The impact on the sustainability of small and medium industries by decreasing sales, increasing availability and prices of raw materials, hampered production, decreasing public purchasing power, laying off workers, deficits due to decreased sales," he said.

The RDP was attended by Secretary General of the Ministry of Industry Achmad Sigit Dwiwahjono, Director General (Dirjen) of Agro Industry of the Ministry of Industry Abdul Rochim, and Director General of Chemical, Pharmaceutical and Textile Industries of the Ministry of Industry Muhammad Khayam.

Also present at the virtual meeting were the Director General of Small and Medium Enterprises (IKMA) of the Ministry of Industry Gati Wibawaningsih, as well as the Head of the Industrial Human Resources Development Agency (BPSDMI) of the Ministry of Industry Eko SA Cahyanto.