Government urges developers to provide spaces for SMEs<\/p>\n
To accelerate the development of small and medium enterprises
\n(SMEs), the government is urging the developers of industrial
\nestates to provide spaces for small businesses in their
\nproperties.<\/p>\n
State Minister of Cooperatives and Small and Medium
\nEnterprises Suryadharma Ali said SMEs made a vital contributions
\nto manufacturing and should be given spaces at industrial
\nestates.<\/p>\n
\"SMEs play a vital role in supporting large manufacturing
\nbusinesses. It would be great if they were allowed to operate at
\nthe industrial estates close to companies they support,\"
\nSuryadharma said. He proposed developers allocate some 20 percent
\nof their land to SMEs.<\/p>\n
Indonesia has more than 42 million SMEs, contributing more
\nthan 50 percent of the country's GDP.<\/p>\n
Earlier, Minister of Industry Andung Nitimihardja also
\nsuggested that developers of industrial estates give incentives
\nto SMEs by offering them spaces at affordable prices.<\/p>\n
A report from property consultant company Procon Indah shows
\nthat rental prices for warehouse buildings at industrial estates
\nin Greater Jakarta and Banten stood from between Rp 15,000 and Rp
\n25,000 per square meter a month and for standard factory
\nbuildings at Rp 25,000 to Rp 50,000 per square meter a month.<\/p>\n
General manager for business development of Jababeka
\nIndustrial Estate Rudy Sentosa said that his company had signed
\nan agreement with the Ministry of Cooperatives and SMEs to
\nallocate spaces for SMEs in its area.<\/p>\n
\"Under the agreement, signed on April 6, Jababeka agrees to
\nallocate 15 hectares for 300 medium enterprises and 150 small
\nenterprises. It is expected that these SMEs will connect to large
\nenterprises operating in our estate,\" he said.<\/p>\n
Jababeka has more than 3,000 hectares with over 1,100 large
\nmanufacturing companies operating there.<\/p>\n
Indonesian Industrial Estate Association executive director
\nFahmi Shahab said the main issue was not how much land should be
\nallocated for SMEs but what the government would offer the
\ndevelopers to support SMEs.<\/p>\n
\"If the government asks the developers to set special prices
\nfor SMEs, will it subsidize the construction and maintenance
\ncosts?\" he told The Jakarta Post.<\/p>\n
\"I think the best way would be for the government to develop
\nspecific estates for SMEs, either within existing industrial
\nestates or nearby. The government can't put the burden on the
\ndevelopers.\" The association would organize a forum to discuss
\nthe issue in September, he said. (006)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/government-urges-developers-to-provide-spaces-for-smes-1447893297",
"image": ""
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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