Plenty of Indonesia's MSMEs independently produce their own end products, he pointed out.
"(The question is) how to make these MSMEs products become part of the national as well as global industry supply chain," he said in Pendopo Dipokusumo, Purbalingga, Central Java on Saturday.
He then cited the example of MSMEs in China, Japan, and South Korea, which have become huge with large exports. This is because the MSMEs in these countries have been connected with or have become a part of the national industry supply chain, he pointed out.
He then explained how the integration of MSMEs with the national industry can be achieved using the example of an exhaust factory in Purbalingga.
Exhaust is a vital component for the automotive industry, the minister said. While the nation does not need to produce an entire car, as that would involve plenty of resources and technology, it can start with supplying exhaust to the global automotive industry, he suggested.
The revenue that could be gained from supplying such products at the global stage can be quite profitable all on its own, Masduki noted.
The minister also stressed that MSMEs should not simply stay as household enterprises, but grow and become integrated with the national industry.
"To this end, with the Job Creation Law, we will encourage large and small enterprises. There will be incentive and everything, so that they would not clash with each other," Masduki remarked.
He said his ministry will push the development of MSMEs by connecting them with the national supply chain so that small and large enterprises can be integrated and advance together.
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Translator: Sumarwoto, Fadhli Ruhman
Editor: Suharto
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