idEA: Protection for MSMEs Should Be Proportional and Transparent

Jakarta (ANTARA) - The Indonesian E-commerce Association (idEA) states that strengthening protections for micro, small, and medium enterprises (MSMEs) in the digital market should be carried out proportionally and transparently, taking into account the industry’s financing structure. “In its implementation, it is important that regulations—including those related to tariffs or fees on platforms—are carried out proportionally, transparently, and considering the cost structure in the industry,” said idEA Secretary General Budi Primawan when contacted by ANTARA from Jakarta on Thursday. Budi conveyed that cost transparency, flexible service choices, and ongoing education for sellers in the digital market can support MSME development while maintaining the sustainability of digital trading platform businesses. “In this way, business actors still have room to grow, while preserving the sustainability of the platform’s business model,” he said. Budi also emphasised the importance of cross-ministerial coordination in formulating policies to protect MSMEs in the digital market. He stated that idEA continues to communicate with the Ministry of Cooperatives and SMEs as well as the Ministry of Trade to convey input from industry players regarding MSME protection efforts. “The hope is that the policies taken can maintain a balance between MSME protection, business certainty, and healthy growth of the digital ecosystem,” said Budi. “The government is committed to ensuring protection and enhancing the competitiveness of MSME entrepreneurs selling on e-commerce platforms. To date, there has been no specific regulation governing this matter,” he said. According to him, this step is being taken to follow up on aspirations and complaints from MSME actors regarding increases in the costs of using digital trading platforms. The platform usage costs in question include deductions imposed by platforms on sellers for each sales transaction.