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The Government’s Aluminum Downstreaming Program Absorbs Thousands of Workers

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Jakarta — The integrated aluminum downstreaming program implemented by the Indonesian Mining Industry Holding (MIND ID) in Mempawah, West Kalimantan, has significantly impacted the regional economy. Through upstream and downstream industrial development, this initiative has created approximately 3,130 new jobs in various related sectors.

MIND ID Corporate Secretary, Pria Utama, stated that this success is clear evidence that downstreaming not only increases the added value of commodities but also brings direct benefits to the community.

“We believe that downstreaming should have a direct impact on the surrounding community. The jobs created are a concrete manifestation of MIND ID’s mission to be a driver of inclusive and sustainable economic growth,” he said.

The workforce absorption comes from various strategic projects, including the Smelter Grade Alumina Refinery (SGAR) Phase I which has absorbed around 1,000 workers, SGAR Phase II which is under construction with an absorption of 880 workers, the New Aluminum Smelter Plant which is still in the planning stage with a projection of 1,000 workers, and the Washed Bauxite Facility which is planned to absorb 250 workers.

Pria emphasized that MIND ID is committed to prioritizing local workers from the project’s surrounding areas. Every worker recruited will receive ongoing training and development to enhance their capacity and future competitiveness.

“This will certainly also lay the foundation for long-term downstream development and industrialization in the region, ensuring more sustainable value creation from the mining sector,” he added.

In addition to providing direct jobs, this downstreaming program is also expected to trigger a significant multiplier effect on supporting sectors, from infrastructure and construction services, mining services, logistics and transportation, to local MSMEs in the culinary, accommodation, and other goods and services sectors.

“Active downstreaming activities will certainly require significant collaboration with the community. We are confident this will drive significantly greater employment growth in supporting sectors,” Pria concluded.

In line with the mandate of the 1945 Constitution, MIND ID emphasizes that natural resource management must be directed towards the greatest prosperity of the people. Through aluminum downstreaming in Mempawah, the government, along with state-owned mining companies, is striving to create sustainable economic and social value while strengthening Indonesia’s position in the global aluminum supply chain.

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