Government Encourages National Industry to Implement Digital Technology

JAKARTA – The government encourages the national industry to implement digital technology to improve global competitiveness.

Airlangga Hartarto, Minister of Industry, said that the utilization of digital technology can help national industries produce quality products, safe and standard.

This is to support the 4.0 industry revolution that focuses on applying the use of the Internet as the main support in the production process.

“The government projects Indonesia to be the largest digital economy in Southeast Asia by 2020 by targeting 1,000 technopreneurs. Business valuation reached US $ 100 billion, and total e-commerce value of US $ 130 billion, “Airlangga Hartarto said in an official statement on Friday (15/09/2017).

Airlangga added that e-commerce growth also relies on e-payment penetration and infrastructure.

“Payment platforms related to retailers like Alipay, Gopay, and Paypal are driving adoption of the use of digital payments,” he said.

The Ministry of Industry not only invites large scale business actors, but also small and medium industries (SMEs) to capture opportunities in digital development such as artificial intelligent, robotic, and 3D printing.

A number of large manufacturers are ready to enter the industry era 4.0, including cement, petrochemical, automotive, and food and beverage industries.

“Ministry of Industry also encourages this digital environment to increase the growth of SMEs in the country. We formulate digital environment involving market place, logistics company, and Fintech, “he added.

According to him, the Ministry of Industry has built the National Industrial Information System (SIINas) which is integrated with the digital system that is e-Smart IKM. This program is believed to be able to expand the local product market in the online world.

“We identified several IKMs already utilizing the market place, such as food and beverage, jewelry, cosmetics, fashion and handicraft,” he said.

He explained that the Indonesian government has also prepared infrastructure to support digital economic development activities. “One of the real forms is the development of Nongsa Digital Park (NDP) in Batam,” he said.

The area will be the basis for a number of creative industry players in the digital field such as startup development, web, applications, digital programs, movies and animations.