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Industrialization downstreaming met with resistance: Investment minister

Tempo - December 1, 2021

Caesar Akbar, Jakarta – Investment Minister Bahlil Lahadalia on Wednesday said the government's attempt towards industrialization downstreaming is met with resistance to counterblow it.

"I would just like to say that this is not an easy thing to do. I am aware there are those who are 'playing in the background' trying hard to foil this plan," said Bahlil in the press conference on Wednesday, December 1.

Without revealing the identities of the people or groups that are behind this "sabotage," Minister Bahlil claimed that these people tried to prevent the realization of the government downstreaming across the nickel and low calorie coal industries.

"They want Indonesia to only export raw materials," said the Minister.

The Indonesian government recently spent time attempting to attract investments that would help realize the downstreaming goal, such as the signing of the memorandum of understanding with Airproduct worth US$15 billion which will enable the downstreaming of coal and gas.

He said this will reduce the need to import LPG, which Indonesia annually spends up to Rp70 trillion for 6 tons of LPG and give way to its replacement; DME. Indonesia is also starting to downstream nickel products.

"We are starting to replace our import substitution. This is our country's chance to break free from the middle-income trap," he added.

Source: https://en.tempo.co/read/1534634/industrialization-downstreaming-met-with-resistance-investment-ministe