Downstreaming Drives Strengthening of Domestic Processing Industry
Jakarta – The Indonesian Chamber of Commerce and Industry (Kadin) continues to encourage digital downstreaming as part of the national economic transformation, one of which is through strengthening the data center industry.
Chairman of the Indonesian Chamber of Commerce and Industry, Anindya Bakrie, stated that data centers are vital infrastructure in supporting digital sovereignty and the development of strategic industrial sectors.
“I see this as truly an effort by the nation’s children, 100 percent locally owned, but in terms of quality it is not inferior to global players. Data infrastructure is a data center,” he said while attending the launch of the JK6 Data Center.
According to Anindya, data centers such as JK6 are concrete examples of digital downstreaming in Indonesia.
He emphasized the importance of making data a strategic and intelligent asset, by utilizing technologies such as artificial intelligence (AI) as part of industrial transformation.
“We have to think strategically and intelligently. That means, in addition to being strategic, we also have to master technology, and all of that starts from the data center,” he added.
He also pushed for more foreign data to be stored in Indonesia, as long as its security and confidentiality can be guaranteed.
“If possible, more foreign data should be stored in Indonesia. But of course its security must be maintained,” he stressed.
Meanwhile, Minister of Communication and Digital, Meutya Hafid, said that JK6 is one of the largest data center facilities in the country, with a capacity of up to 36 megawatts.
He appreciated the involvement of thousands of local workers in the development of the digital infrastructure.
“Behind this building is a national collective spirit. More than 3 million man-hours and almost 8,000 local workers contributed to building it,” said Meutya.
On the other hand, the National Border Management Agency (BNPP) also encourages industrial downstreaming in border areas as a strategy to strengthen the local economy.
BNPP Deputy, Inspector General of Police Edfrie R. Maith, stated that downstreaming of superior commodities and developing local tourism are the main focuses.
“We want the processing industry to grow directly on the border, so that local commodities such as agriculture and fisheries have added value,” he said.
Maith also emphasized the need for adequate investment and infrastructure to support the downstream process.
“If we only sell raw materials, it is indeed quick to make a profit. But we lose great potential and are vulnerable to market fluctuations,” he explained.
BNPP noted that exports from PLBN such as Entikong, Badau, and Aruk reached tens of billions of rupiah, dominated by processed fishery, agricultural, and MSME products.