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Policy Strategy to Stimulate Indonesia’s Palm Oil Downstream Industries Yulia Setia Lestari; Muzzar Kresna; Nur Hadiati Endah; Nailatalmuna Nitrasatri Atmaja; Eristya Puspitadewi Irwanto; Brian Pratistha
The Journal of Indonesia Sustainable Development Planning Vol 6 No 2 (2025): August
Publisher : Pusbindiklatren Bappenas

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.46456/jisdep.v6i2.726

Abstract

The Indonesian government has prioritized downstream industrial development to enhance the economic value of domestically produced palm oil. This initiative targets three strategic sectors: oleo-food, oleochemicals, and bioenergy. The advancement of these industries entails more than an expansion of upstream production; it requires a nuanced understanding of each sector’s absorption and production capacities. This study employs the Analytic Hierarchy Process (AHP) to assess investment characteristics and competitiveness within these downstream sectors. The findings identify six critical policy factors to stimulate investment: tax incentives, the establishment of special economic zones, improved plantation productivity, favorable pricing for fresh fruit bunches (FFB), enhanced access to agroindustrial financing, and the integration of upstream and downstream operations. These elements are essential for fostering a conducive investment climate and advancing the transformation of Indonesia’s palm oil sector to support broader national economic development goals.
Models of Research Collaboration to Support the Self-Reliance of Indonesia’s Pharmaceutical Industry Brian Pratistha; Evi Sylvia Nurrasjid; Amin Nurhuda; Endang Sulastri; Muniha Hikmah; Ahmad Syafiq Kamil
The Journal of Indonesia Sustainable Development Planning Vol 7 No 1 (2026): April
Publisher : Pusbindiklatren Bappenas

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.46456/jisdep.v7i1.986

Abstract

Promoting a self-reliant pharmaceutical industry constitutes one of the national strategic agendas. The government undertakes efforts toward self-sufficiency to strengthen health resilience and advance Indonesia’s economic transformation. This policy paper aims to formulate an integrated research collaboration model designed to enhance research and development capacity, increase domestic production capability, and reduce dependence on imported pharmaceutical raw materials and products. The research methodology encompasses an analysis of relevant policies and regulations, a comparative study of three countries considered to have more advanced pharmaceutical sectors, and a mapping of key actors and interaction mechanisms within the pharmaceutical research and innovation ecosystem. The problem identification findings indicate that current challenges include limited inter-institutional coordination, weak technology transfer mechanisms, and the suboptimal alignment between research funding and incentives with industry needs. This policy paper further finds that a primary prerequisite for mission-oriented research collaboration is the presence of a jointly agreed strategic vision among stakeholders, supported by collaborative funding schemes and adaptive intellectual property governance arrangements. The resulting policy recommendations emphasize the need to strengthen the role of the state as an orchestrator of collaboration and to ensure closer integration between research initiatives and pharmaceutical industrialization policies.