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Home Feature News

Industry Ministry encourages SMEs in remote regions to boost competitiveness

The Ministry of Industry is intensifying efforts to develop small and medium enterprise (SME) clusters in remote regions to enhance competitiveness.

Haris Sunandar by Haris Sunandar
April 12, 2025
in Feature News, GovAct, News
0
Reni Yanita, Director General of Small, Medium, and Miscellaneous Industries (IKMA), talked about SMEs in remote regions. Credit: Ministry of Industry

Reni Yanita, Director General of Small, Medium, and Miscellaneous Industries (IKMA), talked about SMEs in remote regions. Credit: Ministry of Industry

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Heaptalk, Jakarta — The Ministry of Industry is intensifying efforts to develop small and medium enterprise (SME) clusters in remote regions to enhance competitiveness. Strengthening these SME clusters is expected to create a multiplier effect for the broader industrial ecosystem by transforming local raw materials into high-quality products and fostering the growth of established SME communities in specific areas.

Industry Minister Agus Gumiwang Kartasasmita emphasized the ministry’s collaboration with regional governments to sustain production activities in SME clusters through targeted support. “The Ministry of Industry and local governments continue to synergize in maintaining the sustainability of SME cluster operations by providing various forms of assistance and facilitation,” he stated in an official release in Jakarta on Saturday (04/05).

Reni Yanita, Director General of Small, Medium, and Miscellaneous Industries (IKMA) at the Ministry of Industry, highlighted the special allocation fund’s growing impact on SME clusters. This funding scheme enables SMEs to access critical resources such as raw materials, production facilities, machinery, and marketing support. “Beyond immediate benefits, these clusters can eventually integrate into larger industrial supply chains and related economic sectors,” Reni explained.

One example is the Food Processing SME Cluster in Pancor Dao Hamlet, Central Lombok Regency, West Nusa Tenggara. Funded through the 2023 DAK program, the cluster operates under the management of the Sharia-based Food Processing Cooperative, with assets overseen by the local Industry and Trade Office.

Reni noted that multiple regencies/cities in West Nusa Tenggara have received special allocation funding for SME clusters between 2016 and 2024, including Bima, Dompu, West Lombok, Central Lombok, East Lombok, North Lombok, Sumbawa, West Sumbawa, Bima City, and Mataram City. “To date, West Nusa Tenggara has 20 special allocation-funded SME clusters spanning diverse sectors—textiles, crafts, metalwork, food processing, jewelry, iodized salt production, and packaging services,” she concluded.

Tags: Ministry of Industry

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