This includes products for medical devices, agricultural equipment, and food management technology that can be produced by our domestic workforceJakarta (ANTARA) - Minister of Cooperatives and Micro, Small, Medium Enterprises (MSMEs) Teten Masduki drew attention to the fact that local MSMEs' products nowadays were able to meet the domestic needs.
"This includes products for medical devices, agricultural equipment, and food management technology that can be produced by our domestic workforce," Masduki noted at a business matching event in Nusa Dua, Bali, in a statement received here, Thursday.
Furthermore, the minister pressed for the development of a supply chain ecosystem for MSME products in order to meet domestic production and reduce dependence on imported products.
The quality of local products manufactured by MSMEs is not inferior to that of imported products, Masduki pointed out.
"I have spoken to industry players in MSMEs, and their quality is not inferior to that of imported products. They are ready to produce their products supported by the government regulation," he remarked.
However, the minister acknowledged that product development is still one of the weaknesses of domestic MSMEs since they are constrained in terms of financing to conduct research.
Currently, Masduki said his side will develop a business model along with the private sector and universities.
The business model includes implementing job description for product development, design, and marketing through private parties. Meanwhile, production will be handled by the MSMEs.
"This is a partnership concept. A supply chain like this will actually strengthen our production structure, where the big ones partner with the small ones, and the small ones are no longer fighting with the big ones," he noted.
He later remarked that partnerships with big companies were important to encourage MSMEs to become competitive. In addition, it opens up greater opportunities to enter the industrial supply chain, export stake, and the global value chain.
On various occasions, President Joko Widodo (Jokowi) had stated that partnerships were necessary for MSMEs to grow competitively and contribute to equitable economic growth.
This partnership must run continuously to help MSMEs to compete in the global market.
"Therefore, the ministry has established large business partnerships with small companies in the form of supply chains," he remarked.
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Translator: M Baqir I A, Resinta S
Editor: Sri Haryati
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