House of Representatives Commission XI urges South Kalimantan to accelerate industrial downstreaming

Banjarmasin (ANTARA) - Commission XI of the House of Representatives has urged the South Kalimantan provincial government to accelerate industrial downstreaming as a new pillar for local original revenue. “The vast wealth of natural resources in South Kalimantan province must begin to be optimised through industrial downstreaming, namely by processing raw materials such as coal, palm oil, and rubber within the region,” said Deputy Chairman of Commission XI of the House of Representatives, Fauzi H. Amro. Downstreaming would add value and significantly increase local original revenue, he stated during a meeting with South Kalimantan Governor H. Muhidin at the Mahligai Pancasila Building in Banjarmasin on Thursday, accompanied by the Commission XI delegation. In the meeting, Fauzi H. Amro appreciated South Kalimantan’s economic growth of 5.67 per cent, which is above the national average. According to him, South Kalimantan’s economic growth is supported by the mining, plantation, and trade sectors. Fauzi H. Amro assessed that downstreaming would become a unique strength for South Kalimantan with its abundant natural resources. “We know that mining in South Kalimantan contributes 26 per cent to the economic growth context. So, what does that mean? If downstreaming is implemented, it will become an extraordinary source of local original revenue,” he said. “Not only contributed to the centre, but it will become a strength in adding to the local original revenue in South Kalimantan province,” he added. Fauzi H. Amro further added that, besides downstreaming natural resources, South Kalimantan must also immediately optimise budget absorption and develop the tourism sector, particularly river-based tourism. “The tourism potential that must be promoted, because South Kalimantan has vast rivers, which is a unique potential in the tourism of South Kalimantan province,” he said. Assistant for Economy and Development of the South Kalimantan Provincial Secretary, Ariadi Noor, representing the South Kalimantan Governor, expressed appreciation for Commission XI of the House of Representatives’ attention to economic growth in South Kalimantan. Of course, said he, the South Kalimantan provincial government requests full support from the central government for the development of four strategic industrial zones (KIK), namely the Seradang KIK in Tabalong Regency, Mantuil KIK in Banjarmasin, KIK in Tapin Regency, and Jorong KIK in Tanah Laut Regency. According to him, to achieve an economic growth target of 8.1 per cent, investments of up to Rp250 trillion are needed. “Including regulations from the central government,” he said.