(MENAFNEditorial)
JAKARTA February 26 2015 – Minister of Communication and Information Technology Rudiantara planned to issue a decree related to the application of the level of domestic content (TKDN) for smartphone handsets and telecommunication network system in mid-2015.
The decree was a part of the government’s strategic policy to reduce the trade balance deficit that reached at least US$3 billion per year thus it should be encouraged so that Indonesia not just become a consumer market.
"Without the domestic content policy it is just the same as allowing the persistence of the trade balance deficit of US$3 billion per year" he told Indonesia Business Daily on Wednesday (2/25/2015).
However before issuing the decree he added the Ministry of Communication and Information Technology would conduct a public consultation as part of good government governance (3G) particularly related to the percentage of domestic content. "However all of it also has to be adjusted and consider the national producers capability."
On a separate occasion the telecommunications industry observers and former Indonesia’s Telkom executive Suryatin Setiawan agreed that the government policies through the implementation of domestic content level for the handset hardware and network system was pretty good.
However he also believed Indonesia's efforts to pursue and encourage the growth of the domestic handset industry and network system was difficult moreover to compete with vendors that have been operating. Read more...
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