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Ministry of Industry to boost TKDN of pharmaceutical products

07 July 2020 10:51

JAKARTA - The Ministry of Industry (Kemenperin) continues to encourage the realization of independence and increase the competitiveness of the domestic pharmaceutical industry. This is in line with the Presidential Instruction of the Republic of Indonesia Number 6 of 2016 concerning the Acceleration of the Development of the Pharmaceutical Industry and Medical Devices which emphasizes the need to immediately realize the Domestic Component Level (TKDN) policy in the pharmaceutical field.

"The independence of the national pharmaceutical industry needs to be supported by the deepening of its industrial structure, from the upstream, intermediate to downstream industries," said Industry Minister Agus Gumiwang Kartasasmita in Jakarta, Monday (6/7).

To support the independence of the pharmaceutical industry sector, the Ministry of Industry issued Regulation of the Minister of Industry Number 16 of 2020 concerning Provisions and Procedures for Calculating the Value of Pharmaceutical Products TKDN. "Increasing the utilization of TKDN is the main key so that Indonesia can become an independent country in the pharmaceutical sector, especially in terms of pharmaceutical ingredients production,” said the Minister of Industry.

Furthermore, the application of TKDN for the pharmaceutical industry is also seen as an effort to encourage and stimulate industry players to develop the pharmaceutical raw material industry (Active Pharmaceuticals Ingredients) in the country.

Agus revealed that the ability of the domestic downstream pharmaceutical industry is currently supported by 240 companies dominated by 212 national private companies, then 24 multinational companies (MNCs), and 4 State-Owned Enterprise (SOE) companies. (LM)

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