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Experts sees investment potential in alcoholic beverage regulation

Tempo - March 1, 2021

Antara, Jakarta – Public policy expert Agus Pambagio said the legalization of alcoholic beverage-related investments mentioned in Presidential Regulation No. 10/2021 could potentially attract foreign investments.

According to him, the presidential regulation corresponds to local wisdom, especially for regions that have the potential to attract foreign tourists based on an area that has local alcoholic beverages as its attraction.

"This regulation already coincides with local wisdom and involves many workers too. Such as Bali's Sababay Winery which has entered the world market. If that was closed then investors would not arrive," said Pambagio in Sunday's statement.

He added that this policy on the ease of doing business indirectly increases people's income in regions that are known tourism sites. "The government wants to boost tourism, but without alcohol, no tourists will come," he argued.

Another example of Indonesian regions that will benefit from this law include Papua, Bali, East Nusa Tenggara, and North Sulawesi, which is a derivative from Law No. 11/2020 of the much resisted Job Creation Law.

Previously, PAN faction speaker at the House of Representatives (DPR), Saleh Partaonan Daulay – who is less enthusiastic about the potential of alcoholic beverage investments – urged the government to review the Presidential Regulation that oversees laws for alcoholic beverage investments in certain provinces and prevent the contents of the article from creating problems in the future.

"I am certain that there are few benefits from investments in the alcoholic beverage industry but with larger disadvantages," said Daulay on Sunday, February 28.

Source: https://en.tempo.co/read/1437498/experts-sees-investment-potential-in-alcoholic-beverage-regulatio