"I think Pancasila is the true essence of Indonesia. In interpreting Pancasila Day, industry players must be oriented towards advancing Indonesia by building Human Resources (HR) and increasing the added value of Indonesian natural products to strengthen our industrial structure," Kartasasmita noted in a written statement received here on Wednesday.
Under the dedication and efforts to uphold the values of Pancasila, the ministry initiated Making Indonesia 4.0 as a roadmap and Indonesia's strategy to enter the era of digital industry or industry 4.0. Making Indonesia 4.0 was launched by President Joko Widodo in 2018.
The minister believes the initiative holds vast potential to double labor productivity to boost global competitiveness and increase the export market share. Through this roadmap, Indonesia is projected to rank among the top 10 economies of the world.
"This morning, President Jokowi also said that the Industrial Revolution 4.0 must be utilized as much as possible to deepen our understanding of the values of Pancasila," the minister pointed out.
The government has focused on the development of seven priority industrial sectors through the initiative: the food and beverage industry, textile and clothing industry, automotive industry, chemical industry, electronics industry, medical device sector, and pharmaceutical sector.
In a bid to implement the values of Pancasila and nationalism in the industrial sector, the minister also continues to push for realizing the 35-percent import substitution program by 2022.
The steps taken encompass substitution of imports of raw goods and inputs of goods produced domestically.
Seven programs are being implemented to accelerate the import substitution program and encourage the acceleration of industrial growth in 2021, including encouraging the use of local content and domestic goods usage intensification (P3DN), gas price policy, mineral resource downstream program, and industrial estate development.
Additionally in place are digital capability center development programs, industrial vocational development programs, Small and Medium Industry (IKM) development programs, and Proud of Made in Indonesia Products (BBI) program.
The ministry also continues to optimize the Domestic Content Level (TKDN) in each national industrial product to support productivity of the manufacturing sector.
This step aligns with the ministry's policy to increase the value of TKDN to 50 percent by 2024 as outlined in the 2020-2024 National Medium-Term Development Plan (RPJMN).
"I am optimistic that the values of Pancasila and nationalism would continue to boost industry in the country," the minister affirmed.
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Translator: Risbiani Fardaniah, Katriana
Editor: Fardah Assegaf
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