Apart From Sampoerna Smoke-Free Tobacco Exports, Coordinating Minister Airlangga Hopes For The Creation Of Economic Values

Photo: Doc. Coordinating Ministry for the Economy

Coordinating Minister for Economic Affairs Airlangga Hartarto virtually inaugurated the first production and release of smoke-free innovative tobacco products by PT HM Sampoerna Tbk in Karawang, West Java, Thursday 12 January.

The first export was made to Malaysia and the Philippines, then exports were planned for 40 other countries.

"The investment carried out by HM Sampoerna is expected to have a positive impact on encouraging innovation, as well as creating economic value in many sectors, including the MSME sector, traditional retail, partnerships with farmers, and R&D development," said Coordinating Minister Airlangga in a statement quoted Friday, January 13.

The development of an innovative Tobacco Processing Industry continues to be encouraged by the Government and is also expected to increase investment. The Tobacco Processing Industry also has a wide multiplier effect and is one of the quite high labor absorption sectors.

HM Sampoerna has realized an investment of 186 million US dollars, exceeding previously targeted investment commitments. Production facilities began operating in the fourth quarter of 2022 with a capacity of 15.45 billion sticks per year and involved approximately 500 skilled workers supported by research and development facilities.

On the same occasion, Secretary of the Coordinating Ministry for Economic Affairs Susiwijono Moegiarso said that the first export of this innovative tobacco product is clear evidence of a strategy of one of the manufacturing industry sectors.

"So we get two, investment can, for export means this is encouraging our trade balance. Then the multiplier effect in the real sector can be all," concluded Sesmenko Susiwijono.

Meanwhile, Sampoerna President Director Vassilis Gkatzelis on this occasion also appreciated the Government of Indonesia for its conducive investment climate and commitment in maintaining national economic stability.