Industry Ministry to drive Indonesian industry through eight main programmes in 2027
The Ministry of Industry (Kemenperin) is strengthening the contribution and foundation of national industry through eight main work programmes in 2027 to maintain the momentum of manufacturing sector growth, increase productivity, and bolster competitiveness.
Industry Minister Agus Gumiwang Kartasasmita said the programmes are directed at reinforcing industrial structure, increasing added value, expanding markets, and driving national industrial transformation.
“Kemenperin has set a number of main work programmes for 2027, the essence of which is focused on strengthening the foundation of national industry,” Minister Agus said during a working meeting with Commission VII of the House of Representatives (DPR RI) in Jakarta on Monday.
The minister explained that strengthening national industrial capability is in line with the development direction in the Draft Government Work Plan (RKP) for 2027.
Under the RKP, economic growth is targeted to reach 5.8 percent, with manufacturing industry growth of 5.86 percent and a manufacturing contribution to GDP of 21.5 percent.
To support these targets, Kemenperin has established eight main work programmes that will serve as instruments for strengthening national industry in 2027.
The programmes include industrial human resource development, strengthening small and medium industries (IKM) as supply chains, downstreaming of natural resource-based industries and development of priority industries, as well as improving industrial productivity through the use of innovation and technology.
Furthermore, Kemenperin is also implementing programmes to increase the use of domestic products (P3DN), develop the halal industry, accelerate exports of industrial services and green industry, and promote industrial agglomeration through industrial estates.
“The eight programmes are instruments to ensure that the agenda of strengthening the domestic market, increasing productivity, downstreaming, industrial transformation, and market expansion as directed in the 2027 RKP can continue to run,” the minister said.
However, the implementation of the industrial development agenda still faces the challenge of budget constraints. In 2027, Kemenperin received a ceiling of Rp2.01 trillion, down Rp488.16 billion or 19.51 percent compared with the initial ceiling for 2026.
Therefore, Kemenperin is proposing an additional budget of Rp1.72 trillion to strengthen the implementation of priority industrial programmes.
“Kemenperin is proposing an additional budget requirement of Rp1.72 trillion to strengthen various priority programmes that have a direct impact on productivity, competitiveness, downstreaming, strengthening of IKMs, industrial human resource development, and national industrial transformation,” the minister said.