Indonesia’s sovereign wealth manager Danantara on Friday launched six downstream projects worth US$7 billion across 13 regions, aiming to boost economic growth, create jobs, and strengthen industrial resilience.
The groundbreaking, conducted simultaneously from Jakarta, marks the launch of the first six projects under Danantara’s plan to roll out a total of 18 priority developments, targeting faster industrialization, stronger regional economies, and expanded employment, Chief Executive Officer Rosan Roeslani said.
"These projects are not only about investment, but also about job creation, regional development, and national economic growth, which we believe will have a significant positive impact,” Rosan told reporters after the ceremony in Jakarta.
The first phase includes two bauxite-processing projects in Mempawah, West Kalimantan, and Kuala Tanjung, North Sumatra, with combined investment of about US$3 billion, aimed at deepening Indonesia’s mineral value chain.
It also covers a bioethanol plant in Glenmore, East Java, with annual output of 30,000 kiloliters, and a biorefinery in Cilacap, Central Java, designed to produce up to 6,000 barrels per day of sustainable aviation fuel.
Danantara is also developing integrated poultry facilities in Malang, East Java; North Gorontalo, Gorontalo; South Lampung, Lampung; South Sulawesi; East Kalimantan; and West Nusa Tenggara, expected to add 1.5 million tons of chicken meat and 1 million tons of eggs annually, while generating up to 1.46 million new jobs.
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Another key component is the construction of salt processing plants and mechanical vapor recompression facilities in Gresik, Manyar, and Sampang in East Java, which will expand PT Garam’s production capacity by 380,000 tons per year.
Rosan said all projects had undergone comprehensive feasibility studies and assessments, adding that Danantara aims to accelerate execution to support the government’s downstream industrial strategy and reduce reliance on raw material exports.
The US$7 billion investment, equivalent to about Rp110 trillion, is expected to strengthen Indonesia’s energy security, food supply, and industrial base, while helping drive sustainable and inclusive economic growth.
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Translator: Ahmad Muzdaffar Fauzan, Martha Herlinawati Simanju
Editor: Rahmad Nasution
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