Up to 1,800 Small Industries in Depok Hold Export Potential

JAKARTA – As the country with the most developed e-commerce system in ASEAN, Indonesia’s micro, small and medium scale businesses (UMKM) possess great potential to widen their markets in the ASEAN region through the internet.

This fact has driven the government, through the Trade Ministry (Kemendag), to hold a focus group discussion with the theme of “E-Commerce Integration for UMKMs” in Depok, West Java. This event is held in accordance with the ASEAN Agreement on E-Commerce as well as a form of cooperation between the Kemendag, the Coordinating Economic Ministry (Kemenkoperek), the Free Trade Agreement (FTA) Centre in Jakarta and the Depok government’s Trade and Industry Agency. 

“We hope that this focus group discussion would help stimulate active participation by Indonesian UMKMs to take full advantage of the ASEAN Agreement on E-Commerce and that our UMKMs will help contribute to economic growth,” the Kemendag’s ASEAN Affairs director Antonius Yudi Triantoro said on Tuesday (20/4).

The Kemendag is also encouraging the participation of UMKMs at the ASEAN Online Sale Day 2021, which will run on 8 August, as a way to promote their goods to the ASEAN region.

The head of the Depok government’s trade and industry agency Zamrowi stressed the importance of government support to ensure the success of Indonesia’s UMKMs. This includes assisting UMKMs in terms of navigating through notoriously difficult steps such as certification, intellectual rights and standardization from the SNI.

“Certification is needed to improve the competitiveness of UMKM products that will be sold abroad,” Zamrowi said.

In 2020, Depok recorded an increase of exports to US$146 million, rising 25% from the 2019 figure of US$117.1 million. Depok’s main exports include pharmaceutical products, furniture, electronics, food & beverages, fashion items and spices. Also, Depok is also home to around 1,800 small-scale industries that are deemed to have export potential.