Rosan says DSI to be based at the Danantara complex, inauguration planned for next week

Jakarta (ANTARA) - Minister of Investment and Industry, also Chief Executive Officer (CEO) of Danantara Indonesia, Rosan Roeslani, said that Danantara Sumber Daya Indonesia (DSI) will have offices in the Danantara Building and is scheduled to be inaugurated next week. ‘Next week (it will be a state-owned enterprise), its office is in Danantara; the offices have already been prepared in Danantara,’ Rosan told reporters at the Presidential Palace complex, Jakarta, on Friday. He confirmed that DSI’s status will be that of a state-owned enterprise (BUMN), not a national private company. ‘BUMN,’ he said briefly. In a separate interview, Rosan also explained the reason for appointing Luke Thomas Mahony as President Director of PT DSI. Rosan assessed that Luke has strong experience in the mineral sector and trading, including leadership experience in several mineral companies. In addition, Luke has a good network and excellent performance since joining Danantara Indonesia. According to Rosan, Luke’s experience in multinational companies, including PT Vale Indonesia, was also a consideration in the appointment. Rosan also noted that Luke understands Indonesian. The formation of DSI is motivated by the persistent practices of ‘under invoicing’ and ‘transfer pricing’ in several Indonesian export commodities for many years. Under invoicing refers to a practice whereby importers or exporters deliberately report a lower value or price in the invoice than the actual transaction value. Transfer pricing is a policy of setting prices in transactions between companies with special relationships (affiliates), whether in goods, services, intangible assets, or financing. In its implementation, DSI will be run in two stages. In the first stage, running from 1 June to 31 December 2026, DSI will act as an assessor and intermediary between sellers and buyers of certain export commodities. In the latest government regulation, Prabowo said that with the regulation issued, state-owned enterprises become the sole exporters for crude palm oil, coal and ferro alloys. ‘The sale of all our natural resource outputs, we begin with crude palm oil, coal, and ferro alloys; we are required to ensure that it is carried out through the state-owned enterprises appointed by the Government of the Republic of Indonesia as the sole exporters,’ said President Prabowo.