Tuesday, 1 July 2014


The future leader is expected to not only discuss about people-based economy alone, but has do a number of mapping of industry, raw materials availability, logistics facilities, and access to banking facilities. After opening the ‘West Sumatra Food and Craft VII’ at Plasa Industry, Euis Saedah, expect that in the future, leaders of this country should not only be talking about people-based economy, but to implement these things.

However, mapping is important, because there are Indonesians who work productively and there are those who are unproductive. This is attributed to the existence of experts, labor force, and source of raw materials that rely on local supply. Better not take raw materials from other regions, so it could optimize the procurement of raw materials potential of the local region. With the mapping, which point to which industry will be answered. It becomes a concrete form of people’s economy, “he said, accompanied by the Secretary of the Directorate General of SMEs of the Ministry of Industry, Bursharmaidi.

He pointed out, “Like West Sumatran products featuring craft and culinary products in the exhibition, for handicraft products, about 75% - 80% of its raw materials are available in the region. Unlike handmade fashion products, some of the raw materials must be imported from Java. Therefore, the future leaders need to think about how to fill the shortage of raw materials, so that supply can be maintained, and it can meet the needs of SMEs. In addition, there are also agencies that should supervise raw materials, such as cooperatives, so they can produce continuously.

We prevent SMEs from becoming traders, considering that to run the production process is not easy, they must have raw materials, technology, and production training personnel. Thus, the natural resources can be maintained and processed in the country. In addition to the availability of raw materials, logistics also need to be considered and maintained, given the number of SMEs from West Sumatra which reached about 6,900 entrepreneurs of various areas. Some of them market their products directly to Bukit Tinggi, but there also those who sell their products to Jakarta.

That’s why they need to be facilitated in order to reduce cost of transportation. The government is also expected to coordinate product storage so that there will be no damage or shrinkage in transit. Euis expects them to be facilitated in the procurement and administration of accounting, management, as well as bringing SMEs closer to banking access.

West Sumatra has a good potential in terms of tourism, handicrafts, and culinary. Food products of the cultural heritage which is always maintained make them the typical food of West Sumatra known all over the country. Other cultural heritage is woven handicrafts, songket (traditional Indonesian fabric patterned with gold or silver thread), embroidery, clay batik, and embroideries with its unique characteristics, such as Kerancang embroidery, Kamalo Piniti embroidery, and Kota Gadang embroidery. Therefore, according to Euis, who represented, such as Kerancang embroidery, Kamalo Piniti embroidery, and Kota Gadang embroidery. Therefore, according to Euis, who represented Industry Minister, MS Hidayat, craftsmen/women are required to explore, develop, and innovate products to develop superior products in the framework of creative industry.

The development of SME centers countries to increase every year. In 2011, it reached 7,124 business units, absorbed 2,769,301 workers, and production value reached IDR 967,409,185. In 2012, it increased to 7,126 business units absorbing 2,769,323 workers with production value reaching IDR 967,877,185. Although there is not yet a significant increase in the number of entrepreneurs, the Ministry of Industry is constantly providing training that led to the birth of new entrepreneurs. (E)

Business News - June 20, 2014

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