Minister Airlangga: The Digital and Manufacturing Industry Platform is Very Necessary

By : Ridwan And Aldi Firhand. A | Saturday, September 30 2017 - 22:23 IWST

Menteri Perindustrian Airlangga Hartarto dan Menteri ESDM Ignasius Jonan

INDUSTRY.co.id - Jakarta, Platform for digital and manufacturing industry is needed. This is for efficiency and effectiveness of work and simplify the process of repair or servive. In addition, the digital and manufacturing industry platform can also simplify the process of vocational education.

This was conveyed by Minister of Industry, Airlangga Hartarto while receiving a visit from PT Tata Consultancy Service, Mr. Venguswamay Ramaswamy and Bhavian Zaveri at the office of the Ministry of Industry, Jakarta (29/9/2017).

Previously, Airlangga said, the development of the manufacturing sector with the digital platform becomes important along with the latest technological advances and the era of Industry 4.0. Moreover, the government is targeting Indonesia to be the country with the largest digital economy in ASEAN by 2020.

"The right industry policy is the key to success for a country's economic development, so we are focused on formulating and continuing to make strategic steps to address current challenges and opportunities," Airlangga said.

Indonesia has huge potential in the development of the digital economy because of the total population of 250 million people, about 93.4 million of whom are internet users. "This opportunity needs to be responded quickly by national business actors to expand market access and increase revenue," he explained.

Referring to data from Economic Center of Reform on Economics (CORE) economic review institute, the value of domestic electronic commerce in 2016 reached USD 24.6 billion, equivalent to Rp319.8 trillion (assuming exchange rate of Rp13,000 per US dollar). This potential could make Indonesia the largest digital economy in Southeast Asia.

Meanwhile, a study conducted by Google and Temasek also shows a similar trend, that the online market in Southeast Asia is projected to grow an average of 32 percent per year over the next 10 years and will reach a transaction rate of USD88 billion by 2025.