Indonesian Political, Business & Finance News

Bamsoet Urges Synergy Between LKPP and Business World in Procurement of Goods and Services

| Source: DETIK Translated from Indonesian | Regulation
Bamsoet Urges Synergy Between LKPP and Business World in Procurement of Goods and Services
Image: DETIK

Member of the Indonesian House of Representatives (DPR RI) and 15th Chairman of the People’s Consultative Assembly (MPR RI), as well as General Chairman of the Association of Indonesian Trading Companies for Distribution, Agency, and Industry (ARDINDO), Bambang Soesatyo, has emphasised the importance of collaboration between business associations and the government in strengthening the governance of government procurement of goods and services.

Government procurement of goods and services has a very substantial value, exceeding Rp1,200 trillion in the national state budget (APBN) and regional budgets (APBD) each year. This figure presents a significant opportunity for national business players, including SMEs and domestic distributors, to actively participate in the government’s supply chain.

“Government procurement of goods and services must become the engine of the national economy. Through the role of associations like ARDINDO, we aim to ensure that domestic business players are increasingly prepared, compliant, and capable of professionally meeting government spending needs,” said Bamsoet in a written statement on Wednesday (15/4/2026).

Bamsoet conveyed this during a meeting with the Head of the Government Goods/Services Procurement Policy Agency (LKPP), Sarah Sadiqa, and LKPP’s senior officials in Jakarta.

The 20th Chairman of the DPR RI and 7th Chairman of Commission III of the DPR stressed that digitalisation is the key to improving procurement governance. The government, through LKPP, continues to promote the implementation of e-procurement, including the use of electronic catalogues and online shops.

By 2025, transactions through the national e-catalogue had surpassed Rp500 trillion, indicating a significant shift from manual to digital systems.

“Looking ahead, we must move towards a fully paperless and digital-based system. Procurement administration will no longer rely on physical documents or wet signatures, but on systems that are faster, more secure, and accountable,” said Bamsoet.

The Deputy General Chairman of Golkar Party and Deputy General Chairman of the Indonesian Chamber of Commerce and Industry (KADIN) explained that the participation of associations in the government’s online shop ecosystem must be fair and in accordance with applicable regulations.

Bamsoet urged that all business players have equal opportunities to participate, without discrimination, while prioritising the quality and competitiveness of domestic products.

“We want this procurement ecosystem to be inclusive, open, and competitive. All business players have equal opportunities as long as they meet the requirements and can provide the best quality,” elaborated Bamsoet.

The Deputy General Chairman/Head of the State Defence Agency of FKPPI and Deputy General Chairman of Pemuda Pancasila added that ARDINDO has prepared a digital platform called Ardindo Apps, specifically designed to support government procurement needs.

This platform is expected to integrate with the government’s online shop ecosystem managed by LKPP, facilitating agencies in searching for products, conducting transactions, and managing documents in real time.

“The synergy between LKPP and ARDINDO must serve as an example of how the state and the business world can work hand in hand. The goal is clear: to create a modern, efficient procurement system that drives sustainable national economic growth,” concluded Bamsoet.

For information, ARDINDO officials present included General Secretary Herman Heru, General Treasurer Yogi Soepaat, Deputy General Chairman Berry B. Purba, Organisational Division Chairman Faiz Martak, and West Java ARDINDO Chairman Raditya Indrajaya.

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