Indonesia and Singapore have signed a Memorandum of Understanding (MoU), named Enterprise Singapore, in a process of implementing industry 4.0 in Indonesia.
Indonesian Industry minister Airlangga Hartarto and Singapore’s Trade and Industry Minister Chan Chun Sing recently signed the agreement at the annual meeting of the International Monetary Fund (IMF) and the World Bank (WB), in Nusa Dua, Bali.
This partnership will collaborate Indonesian industries with Singapore’s technology providers, so that they can get benefited from the new technology and innovations.
“The cooperation includes exchange of facilities between institutions about the plan or implementation of facility for manufacturing innovation and expansion of platform of innovation, which will become the digital bridge for Indonesian producers in accessing solution to Industry 4.0,” said Ngakan Timur Antara, Head of Agency for Research and Development of Industry Ministry of Industry Republic of Indonesia
Moreover, this collaboration aims to increase the country’s Gross Domestic Product (GDP), from the baseline of 5 percent to 6-7 percent in 2018-2030. The adoption of new technology and increased productivity, will also increase the net export ratio of the GDP. Furthermore, this will lead to creation of 10 million jobs in 2030.
“The big aspiration target is to place Indonesia in the ranks of 10 strongest economies in the world in 2030 . Therefore, the key is to be ready with competent human resources and digital infrastructure,” said Nagakan.
The agreement is effective from the day it was signed for two years and can be extended to another two years.
“In the present eras of digitization, the manufacturing industry has to use high automatic technology backed up by internet based infrastructure. This is important not only for the production sector but also for improving the efficiency and optimization,” said Airlangga Hartarto.
The MoU is to boost the manufacturing sectors like Textile and wear industry, chemical industry, electronic industry, automotive industry and food and beverage industry.
“We are government agency which supports development of the business sector. We also support the growth of Singapore as a global trade center,” said Chief Executive Officer of Enterprise Singapore Png Cheong Boon, who was also present at the signing ceremony.
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