Small Industries Affected by Sumatra Floods to Receive Rp 329 Billion

The Ministry of Industry (Kemenperin) is targeting the recovery of 8,034 small industries during the 2026–2028 period. Minister of Industry Agus Gumiwang Kartasasmita stated that the target group consists of business actors affected by the Sumatra floods that occurred in late 2025.

“The recovery areas include Aceh, North Sumatra, and West Sumatra,” he said during a working meeting with Commission VII of the Indonesian House of Representatives (DPR RI) at the parliamentary complex, Jakarta, on Monday, 8 June 2026.

Recovery will be implemented in stages, with a target of 3,403 small industries in 2026. This includes 2,321 industries in Aceh, 238 in North Sumatra, and 844 in West Sumatra. The total budget required for this year is Rp 170.53 billion. “For 2026, the funding for this programme is proposed through the Additional Budget (ABT) scheme, which has been submitted to the Ministry of Finance,” Agus noted.

Furthermore, the recovery target for 2,464 small industries in 2027 will focus on 2,093 industries in Aceh, 127 in North Sumatra, and 244 in West Sumatra, with a required budget of Rp 120.51 billion.

Finally, the recovery target for 2,167 small industries in 2028 will cover 1,822 in Aceh, 91 in North Sumatra, and 254 in West Sumatra, requiring a budget of Rp 38.38 billion. “The total required budget is estimated at Rp 329.4 billion,” said Agus Gumiwang.

According to Agus, this recovery programme encompasses assistance with machinery and simple production equipment, raw material aid, technical assistance, access to financing, market expansion, Halal certification, and business legality. He expressed hope that Commission VII of the DPR RI would collaborate to support the recovery programme for the flood-affected industries in Sumatra as projected by the Ministry of Industry.