"Demand is important for the increase in (Manufacturing PMI)," the Ministry's Acting Director General of the Chemical, Pharmaceutical and Textile Industry, Taufiek Bawazier, stated here on Thursday.
Bawazier appealed to the public to buy local products to maintain demand levels as well as the Manufacturing PMI, given the large population of Indonesia.
"Maintaining (the Manufacturing PMI) can be done by maintaining demand because Indonesia has a population of 270 million people. All (people) need to not only love domestic products but also buy them," Bawazier remarked.
In addition, Bawazier said the Manufacturing PMI could also be increased through government spending allocations by purchasing domestic products to meet the needs of projects of the government and state-owned enterprises (SOEs).
"TKDN (Domestic Component Level) must be strengthened for all central government, regional government, and SOEs spending. You have to buy domestic products," he remarked.
Meanwhile, Bawazier remarked that attracting investment to Indonesia can also increase the Manufacturing PMI, as it is an attractive country for investors to invest their capital.
"Therefore, we need to strengthen it, so that investment also goes to the supply chain that is still lacking. We need to direct it," he further remarked.
Bawazier stated that the Indonesian Manufacturing PMI was still recording an expansion at the level of 53.9 points as of August 2023. This figure increased as compared to 52.5 points in June 2023.
Apart from Indonesia, other countries, such as India, Russia, Mexico, and Saudi Arabia, also have an expansive Manufacturing PMI, with India recording the highest index at the level of 58.6.
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Translator: Farhan Arda Nugraha, Katriana
Editor: Sri Haryati
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