If Elected As President, Anies Promises To Continue Jokowi's Downstreaming Program

Anies Baswedan. (Photo: Mery Handayani/VOI)

JAKARTA - Presidential candidate (Readpres) Anies Baswedan said he was ready to continue the downstream program currently run by President Joko Widodo (Jokowi).

He said downstreaming could not be stopped. However, Anies said, this downstreaming is not enough.

According to him, downstreaming also needs to be driven by reindustrialization.

"We will continue downstreaming while encouraging reindustrialization, which economists often reveal many times. The hierarchy cannot be stopped, but it is not enough that there must be reindustrialization," he said at the Indonesian Economist 100 Sarasehan event, in Jakarta, Wednesday, November 8.

Furthermore, the former governor of DKI Jakarta said, with the reindustrialization, he would create 15 million new jobs in the next five years.

"Hopefully this Reindustrialization will create jobs for at least 15 million new employments in the next 5 years. This is made that orientation happen," he said.

Previously, President Joko Widodo (Jokowi) emphasized that the people must have the courage to remind the next leader to continue downstreaming in all fields.

"So don't export raw materials, later please remind future leaders not to export raw materials, people must dare to remind them about it," said President Jokowi, quoted from the Presidential Secretariat's YouTube from Jakarta, Saturday, August 19.

Jokowi for the umpteenth time reminded the importance of downstreaming in all fields. Downstreaming is an effort to make raw materials into semi-finished goods, or finished goods before exporting.

Furthermore, Jokowi emphasized that the Indonesian nation has been more than 400 years old since the time of Vereenigde Oostindische Compagnie (VOC), always exporting raw materials. Even though they get money from the export of raw materials, the amount is very small.

He again gave an example of the downstream nickel that has been successfully carried out by the current government. Before downstreaming for the 2020 period, nickel downstream only provided a profit of IDR 32 trillion in one year. After downstreaming, the profit increased to IDR 510 trillion.

Jokowi emphasized that the state received royalties and taxes from the exporter company. On the other hand, with downstream, employment is open in the country.

"Because the country from nickel once again gets value added tax tax, gets corporate income tax, gets employee income tax, gets royalties, can state revenues instead of taxes, can be export duties, can be a lot," he said.

"And specifically like Freeport, because we are the largest shareholders, we still get dividends, so that's what's called downstreaming," he added.