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Bukit Asam Responds to Jokowi`s Order on Import

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18 August 2018 13:58 WIB

The coal mining area of PT Bukit Asam in Air Laya Tanjung Enim, South Sumatera. TEMPO/Parliza Hendrawa

TEMPO.CO, Jakarta - State-owned mining company PT Bukit Asam (PTBA) pledged to utilize local products in a bid to suppress the proportion of import products in its projects following the order made by President Joko `Jokowi` Widodo. The president instructed all SOEs to lower the usage of imported products.

“We will use the local product if it is available and so long its quality and price is competitive,” said PTBA secretary Suherman in Jakarta, Saturday, August 18.

The imported product, Suherman explained, is strongly needed even in a fewer number because several spare parts are not produced in the country.

Jokowi gave the instruction since rupiah exchange rate was continuously declining in the past few days. The exchange rate reached around Rp14,500 per dollar, increased from mid-July 2018 at Rp13,900. The order also aimed at strengthening the foreign exchange reserve.

SOE Minister Rini Soemarno also reminded all national firms to increase the local industrial content (TKDN). However, the government allowed companies to continue projects that were on the stage of financial closing despite utilizing imported products.

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