President Jokowi Launches First Export of Smelter Grade Alumina

By Office of Assistant to Deputy Cabinet Secretary for State Documents & Translation     Date 25 Januari 2022
Category: News
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President Jokowi launches the first export of smelter grade alumina (SGA) in 2022 produced by PT Bintan Alumina Indonesia (PT BAI) at the Galang Batang Special Economic Zone, Bintan, Riau Islands, Tuesday (01/25). (Photo by: BPMI of Presidential Secretariat/Muchlis Jr)

President Joko “Jokowi” Widodo Tuesday (01/25) launched the first export of smelter grade alumina (SGA) in 2022 produced by PT Bintan Alumina Indonesia (PT BAI) at the Galang Batang Special Economic Zone, Bintan Island, Riau Islands province.

The President expressed appreciation to related companies that have carried out the downstreaming of mineral and mining industries.

“I would like to extend my appreciation to companies that have the courage to build with investment, of course with the amount of risks involved. Hopefully, we can process all of our raw materials in the country,” he said.

On that occasion, President Jokowi underscored the importance of industrial downstreaming by starting to stop raw materials exports.

The President also encouraged companies to process raw materials into finished or semi-finished goods to increase the added value of those products.

“This is the price for raw materials. As previously stated by Mr. Airlangga Hartarto, we could have sold it for 15 times higher [of the price] but we could only sell it for30  only. It  can even be sold for 700 in the form of finished-goods. We cannot keep doing this,” he said.

On that occasion, the President also revealed his working visit during the groundbreaking of coal downstream project into dimethyl ether (DME) in Muara Enim regency.

President Jokowi said that Indonesia has great potential to downstream the industry.

“Regarding DME, we have a lot of raw materials for that. Our liquefied petroleum gas (LPG) imports even reached Rp80 trillion every year. We are too comfortable with this,” he explained.

Industrial downstreaming, the President said, will also bring many benefits for the state, such as individual and corporate taxes, as well as create job opportunities for the communities.

“The most important thing is to open as many job opportunities as possible, maybe 7 thousand jobs. Yesterday, there are 27 thousand jobs in Konawe, while there are 45 thousand jobs in Morowali. This is what the people need,” he added.

The President also reaffirmed that the Government will continue to stop mineral and coal exports in the form of raw materials despite protests from various countries through the World Trade Organization (WTO).

“Against the odds, I will stop the exports. We have been sued by the WTO because we stopped nickel exports. Later, there must be another lawsuit if we stop bauxite exports. It is okay, we will fight it,” he remarked. (BPMI of Presidential Secretariat/UN) (RIF/LW)

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