Indonesian Political, Business & Finance News

BPOM and AmCham Discuss Strengthening Regulation and Investment Opportunities in the Health and Food Industry

| | Source: NUSANTARATV.COM Translated from Indonesian | Regulation
BPOM and AmCham Discuss Strengthening Regulation and Investment Opportunities in the Health and Food Industry
Image: NUSANTARATV.COM

Indonesia’s Drug and Food Supervisory Agency (BPOM) met with the American Chamber of Commerce in Indonesia (AmCham Indonesia) to discuss developments in drug and food regulatory policy and opportunities to strengthen collaboration in support of innovation and investment in the health and food industries.

AmCham Indonesia is an association representing various American companies operating in Indonesia, including those in the pharmaceutical, food, cosmetics, and health products sectors. The organisation serves as a communication channel between the business community and government in efforts to create a conducive investment climate and strengthen economic relations between Indonesia and the United States.

BPOM Chief Taruna Ikrar stated that the drug and food industry makes a very significant economic contribution and therefore requires efficient regulations that support investment.

“The total revenue from the drug and food industry is very large. Therefore, we want to ensure that BPOM can also contribute to supporting national economic growth through efficient and conducive regulations for investment,” Taruna Ikrar said in Jakarta on Monday.

To support this, BPOM is continuously undertaking various regulatory reforms to accelerate services whilst providing certainty for business players in the sector.

“If we accelerate the evaluation of drug permits from 300 days to 90 days, many previously unnecessary costs can be streamlined. For the industry, waiting time represents significant costs,” he said.

Beyond accelerating the drug evaluation process, BPOM is also improving the efficiency of various other services, including expediting the issuance of Import Certification Letters (SKI) to ensure smoother logistics flows and more effective business operations.

During the meeting, Taruna also referenced economic cooperation between Indonesia and the United States under the Agreement on Reciprocal Trade (ART). He explained that this cooperation does not reduce national authority in drug and food supervision.

Rather, the cooperation can increase regulatory efficiency through utilisation of evaluation results from other countries’ regulators as scientific references through reliance mechanisms.

Taruna added that dialogue between regulators and industry players is an important element in building a regulatory ecosystem that is transparent, adaptive, and globally competitive.

Through constructive communication, collaboration between BPOM and AmCham Indonesia is expected to strengthen support for innovation, investment, and public health protection.

The AmCham Indonesia delegation at the meeting was led by Managing Director Donna Priadi. Also present were representatives from AmCham member companies including PepsiCo, Coca Cola Indonesia, Cargill, Haleon, Reckitt/Mead Johnson, and L’Oréal Indonesia.

Donna explained that American companies have been present and operating in Indonesia for decades and have become an important part in the development of the national health and food industries. She also noted that Coca Cola Indonesia will celebrate 100 years of its presence in Indonesia in 2027.

At the meeting, AmCham conveyed American companies’ long-term commitment to continue investing in Indonesia and strengthening cooperation with the government to create a stable and sustainable investment climate.

“What is most important for investors is the investment climate and certainty of regulations and policies to continue operating and developing in Indonesia,” said an AmCham representative.

AmCham Indonesia also announced plans to implement a trade mission for American business players to Indonesia in April 2026. The agenda is expected to open new investment and business cooperation opportunities in various sectors, including health and food.

Responding to these plans, BPOM welcomed them positively and reaffirmed its commitment to encouraging increased investment in the health and food industry in Indonesia, including utilisation of national natural resources as raw materials for value-added health and cosmetic products.

“BPOM expresses its readiness to facilitate investment as long as it meets the safety, efficacy, and quality standards of products circulating in society,” Taruna said.

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