By: Nurul Janida
In the face of globalization and international market competition, inter-agency synergy is a key factor in enhancing the effectiveness of Micro, Small, and Medium Enterprises (MSMEs) development, enabling them to compete in export markets. Collaboration between ministries, state-owned enterprises (SOEs), and the private sector is essential to creating an ecosystem that supports the growth of export-oriented MSMEs.
The Ministry of Trade (Kemendag) has set a target of $18.84 billion in MSME product exports by 2025. Deputy Minister of Trade, Dyah Roro Esti Widya Putri, stated that to achieve this goal, Kemendag has prepared various strategies, including deploying trade representatives (Perwadag) in 33 countries. These representatives are tasked with analyzing market potential and bridging MSMEs with prospective international buyers.
Additionally, Kemendag actively organizes pitching and business matching events to connect MSMEs with global buyers. In January 2025, these business matchmaking efforts generated potential export transactions worth $5.22 million (approximately IDR 85.48 billion). This initiative demonstrates that a synergistic strategy between the government and businesses can open wider market opportunities for Indonesian MSMEs.
To strengthen digital marketing infrastructure, Kemendag has developed InaExport.id, a platform that connects Indonesian businesses and exporters with international buyers. This one-stop service facilitates online export promotion, enabling MSMEs to reach global markets without geographical constraints.
Beyond Kemendag, the Ministry of SOEs also plays a role in developing export-oriented MSMEs through various empowerment and training programs. One such initiative is the “UMKM Naik Kelas” (MSMEs Upgrade) program, aimed at enhancing the skills and competitiveness of small business owners so they can thrive in global markets. This program is also part of MSMEs’ digital transformation through the Naksir UMKM application, which compiles data on MSME potential nationwide.
Arya Sinulingga, Special Staff to the Minister of SOEs, noted that over the past five years, the Ministry of SOEs has organized numerous exhibitions and training sessions for thousands of MSMEs. These training programs provide deep insights into marketing strategies, business management, and efficient supply chain management. The current focus is to support MSMEs in advancing from Level 1 to Level 2, making them more prepared for global competition.
Meanwhile, academic institutions and research organizations contribute to building a sustainable MSME export ecosystem. Through research and innovation, MSMEs can adopt technology-driven solutions to enhance product competitiveness in international markets. Research-based product development and the adoption of more efficient production technologies are key factors in improving the quality and competitiveness of Indonesian MSMEs.
Local governments also play a strategic role in supporting MSME export development. By fostering a conducive business ecosystem and providing support such as training, mentoring, and logistics infrastructure, MSMEs can grow more easily and penetrate export markets. The synergy between central and local governments is crucial in establishing a solid export value chain.
Furthermore, partnerships with large corporations and manufacturing industries are an effective strategy to expand market access for MSMEs. Such collaborations enable MSMEs to become part of the global supply chain, allowing them to increase production capacity and expand their product distribution networks.
The sustainability of MSME exports also heavily depends on compliance with international quality standards. Therefore, MSME players need support in product certification, adherence to international trade regulations, and improvements in packaging and branding to make their products more attractive in global markets.
The adoption of digital marketing technology is also a crucial factor in increasing MSME competitiveness in export markets. Through e-commerce, social media, and other digital platforms, MSMEs can reach a broader customer base without facing physical and geographical barriers.
Additionally, synergy between MSMEs and the Indonesian diaspora abroad can serve as a strategy to expand export market access. Diaspora communities with business networks in export destination countries can act as marketing agents to introduce Indonesian MSME products to the global market.
The government also needs to strengthen economic diplomacy to open more market access for MSME products. Through various free trade agreements and bilateral economic partnerships, tariff and non-tariff barriers can be reduced, making Indonesian MSME products more competitive in international markets.
In the long run, inter-agency synergy and collaboration among all stakeholders are key to creating a sustainable MSME export ecosystem. Through strong partnerships, MSMEs can not only survive in global markets but also become a driving force for national economic growth.
With various initiatives already in place, Indonesian MSMEs are expected to be better prepared and more competitive in tackling export market challenges. Strengthening inter-agency synergy is essential to ensuring that MSMEs contribute more significantly to national economic growth and the overall well-being of society.
*) The author is a student from Malang living in Jakarta.
