Statement of President of the Republic of Indonesia during a Visit to Nickel Processing Factory, in Konawe Regency, Southeast Sulawesi Province, 27 December 2021

President of the Republic of Indonesia (Joko Widodo)

Well, I have said it frequently that the downstreaming has been realized, indeed, in Morowali, in Konawe, that will give added value significantly. I have mentioned earlier that [the added value] can be 14 times higher than what we have got from our exports in years, such as [the exports of] this nickel ore, mountains of raw materials. Today, we process them here and the added value will benefit the domestic economy.

Moreover, it creates job opportunities, such as here, 27 thousand workers can be recruited by the company. It also generates income for the country, the tax, and other business opportunities, for instance, the nickel ore is freighted by domestic companies.

I think the advantage for us stopping the export of nickel raw materials is it provides many benefits. Therefore, next year we will continue our plan to stop the export of bauxite raw materials, and then followed by copper, gold, and tin.

I think that concludes my statement. You may please have the floor.

Chief Director of PT. Gunbuster Nickel Industry (Wisma Bharuna)

Indeed, we hope that by downstreaming, today the downstreaming [of nickel ore industry] is already developed in stainless steel [industry]. Followingly, Indonesia, which already has coil, hot rolled coil, and cool coil factories, can encourage the development of other factories that produce cooking pans, spoons, and so on domestically. So, we do not need to import them, we can use our own products that will finally bring prosperity for us all. There will be also transfer of technology, metallurgy, children will be smarter, and more job opportunities nationwide. That’s all, Sir.

President of the Republic of Indonesia (Joko Widodo)

Thank you.

(AW/MMB)