(In addition) it is hoped that it (the partnership) will benefit both parties, encourage opportunities for SMEs to enter the main supply chain...
Jakarta (ANTARA) - The Cooperatives and Small and Medium Enterprises (SMEs) Ministry is encouraging micro, small, and medium enterprises (MSMEs) to make more products that meet international and large business standards.

"Hence, it is necessary to train the MSMEs and technically assist them in making prototypes as well as help them with certification, financing, and product design,” the deputy for SMEs at the ministry, Hanung Harimba, said in a statement issued here on Friday.

He made the remarks while opening the “SME-X 2022: The Excellence Craftsmanship of Indonesia” event in Yogyakarta on Thursday (December 8, 2022).

He said he expected the hexahelix supply chain ecosystem, which includes the government, universities, entrepreneurs, communities, media, and banking actors, to be strengthened.

Currently, the government is encouraging value added-based industries to drive export performance by providing a number of incentives, the deputy informed.

A number of Indonesian creative industries, including furniture, home decoration, and homeware, have a competitive advantage compared to those from other countries since no country has raw materials for those industries in such abundance as Indonesia, he noted.

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According to Statistics Indonesia (BPS), the export value of wood furniture in September 2022 reached US$395.5 million, or around Rp5.62 trillion.

Still, Harimba said that partnerships between large businesses and MSME players are needed to increase the exports of the commodity, in accordance with President Joko Widodo's directive to create more opportunities for MSMEs to upgrade their businesses.

“(In addition) it is hoped that it (the partnership) will benefit both parties, encourage opportunities for SMEs to enter the main supply chain -- not only the supporting material supply chain -- as well as provide technology transfer and assistance for (improving) the quality of SME products," he said.

Meanwhile, head of the Yogyakarta Cooperatives and SMEs Office, Srie Nurkyatsiwi, said that in addition to bolstering business partnerships, SMEs can be improved by increasing business capacity, financing access, and start-up establishment, as well as optimizing the application of digital technology.

Hence, she lauded the implementation of the “SME-X 2022: The Excellence Craftsmanship of Indonesia” event.

"Hopefully, the event can become a momentum for expanding the export market for SME products by involving large companies, aggregators, exporters, distributors, and agents, or by conducting (SME product) exhibitions at home and abroad,” she added.
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Translator: Baqir Alatas, Uyu Liman
Editor: Suharto
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