JAKARTA - The chemical industry is the top three (Top 3) contributors to the performance of the non-oil and gas processing industry and spurs national economic growth. Therefore, the Ministry of Industry continues to focus on developing investment in the chemical industry to be able to substitute imports of chemical materials and goods.
"In 2021, the export value of chemicals and chemical goods reached USD 18.86 billion. In the midst of the pandemic and economic recovery, we continue to strive to improve the trade balance deficit in the chemical industry sector," said Plt. The Director General of Chemical, Pharmaceutical and Textile Industries (IKFT) Ignatius Warsito represented the Minister of Industry at the Inauguration of the PVC Factory Expansion (Phase-7) and the Launching of Exports of PT Asahimas Chemical in Cilegon, Banten, Friday (1/4).
Warsito explained that his party is currently compiling a commodity balance as a form of commitment to mapping or providing data and information on the consumption and production situation of certain commodities for industrial needs. "So that going forward, it will provide a balance to our trade balance. In fact, this expansion is a momentum in realizing the independence of our industry," he explained.
According to Warsito, the petrochemical industry is a strategic sector at the upstream level which is the basic capital and main prerequisite for the development of downstream industries such as plastics, fiber cloth, textiles, packaging, electronics, automotive, medicine and other important industries.
During 2020 to 2030, the government is trying to oversee the construction projects of the giant chemical industry with a total investment value of USD31 billion. The investment is intended to strengthen commodities in the upstream chemical sector and be able to substitute petrochemical products that are still imported, such as Ethylene, Propylene, BTX, Butadiene, Polyethylene (PE), and Polypropylene (PP). (LM)