Indonesia's Minister Affirms Chinese App Temu Not Yet Registered Permit
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10 September 2024 20:56 WIB
TEMPO.CO, Yogyakarta - Indonesian Minister of Cooperatives and Small and Medium Enterprises, Teten Masduki, addressed concerns regarding the Chinese-based e-commerce application, Temu, which had been rumored to have obtained a permit from the Ministry of Law and Human Rights to operate officially in the archipelago.
“Temu has not yet registered a permit. They have only been addressing their Intellectual Property Rights (HAKI) due to a coincidental namesake, a local company also called Temu,” Teten said in Yogyakarta on Tuesday, September 10, 2024.
The Temu application has garnered government attention due to concerns about its potential to disrupt the domestic product market and negatively impact the labor sector. This is because the application directly connects 25 Chinese factories with Indonesian consumers, offering daily necessities and consumer goods at competitive prices, raising fears that local products would become less competitive.
Teten emphasized the need for special regulations to govern applications like Temu, ensuring they do not harm the Indonesian MSME sector market. “If left unchecked, global platforms like Temu could lead to job losses and even the demise of MSMEs,” he warned.
He mentioned that he had previously discussed the matter with President Joko "Jokowi" Widodo, exploring the implications for future investment policies in the digital economy sector.
“All countries are protecting domestic MSME sectors from foreign competition, particularly in the current era of globalized markets. So we need to establish restrictions to safeguard our MSMEs,” Teten asserted.
He also highlighted the prevalence of imported products sold online without proper distribution permits, SNI certifications, or other required documentation. He revealed that a significant portion of these products, approximately 37.5%, were smuggled into the country.
Therefore, Minister Teten underscored the importance of addressing these issues through strategic investment policies in the digital economy. “So our digital economy benefits the welfare of our community, especially MSMEs,” he stated, emphasizing that MSMEs are the most vulnerable to the impact of online-sold consumer products, and their protection is crucial for maintaining high employment rates and achieving developed nation status.
PRIBADI WICAKSONO (CONTRIBUTOR)
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