"We believe that (the growth) can reach four percent, with industrial expansion and vast market potential," Khayam noted here on Thursday.
A total of 44 national lubricant producers operate in the country, with total installed capacity of two million kiloliters per year.
The annual production of lubricants has reached 908,360 kiloliters comprising 781,189 kiloliters of automotive lubricant and 127,170 kiloliters of industrial lubricant.
The industry has absorbed a total of 4,898 workers in 2018, of which 3,157 were employed in the production sector, while the rest worked in 140 importer firms and 580 were distributor agents.
Khayam remarked that with local demand reaching two million kiloliters, the country will need to import the product.
He is upbeat about new investment and expansion of the domestic lubricant industry to substitute imported products.
Since September 10, 2019, the ministry has made it mandatory for all lubricant products to meet the Indonesian National Standard (SNI) to ensure consumer protection and creation of a conducive climate for its business.
The move is projected to thwart the distribution of low-quality lubricant products in the domestic market that could impinge upon public health and safety, as well as affect environmental protection in addition to distorting the domestic lubricant market. .
EDITED BY INE