The Food and Beverage Industry is Indonesiaʼs Biggest Economic Security the Food and Beverage Industry is one of the most heavily reliable sectors that continuously increases the rate of manufacture and economy in this country. The most important role in this strategic sector is seen through the significantly consistent contribution towards domestic products (PDB), nonmigrating indrustries alongside the increase of investments.
Based on the data stated by the Bureau of Statistics by the first quarter of 2019, the growth rate of PDB, the Food and Beverage Industry has reached 6,77%. The value rate stated has peaked above the growth of the National PDB Industry by a great 5,07%. The sector stated has also contributed 35,58% towards the PDB Non-Migrant Industry as well as 6,35% towards the National PDB Industry.
Meanwhile, the Industry of Food Exportation has also contributed to a growth of 11,71% as the Industry of Beverage Exportation has increased 3,16%. During 2019, that sector was able to implement an investment of 383M (USD) and Rp. 8,9 Trillion by the first quarter of 2019. In terms of employment, alongside Airlangga, the Food and Beverage sector has employed 1,2 Million individuals in 2018.
Based on the data stated, PT. Visi Globalindo Data Utama (VISI) has predicted that by the second half of 2019, the Food and Beverage Industryʼs growth rate will reach up to 7,10% – 7,41%. The stated rate is notably highet than predicted social economic growth which was predicted to grow no higher than the value of 5,2%. As it is also higher than the first quarter of 2019. The positive growth rate has been impacted by the Governmentʼs move through the Ministry of Trade that has been committed to build the manufacturing industry through accelerating the implementation of industrial 4.0. That too was implemented through the initiative of ‘Making Indonesia 4.0ʼ that may potentially transform the industry to become more efficient and capable of global competitiveness. The Food and Beverage Industry has become one of the five most prioritised sector in the implementation of the 4.0 Industry program. The program mentioned is implemented by the legal protection of Governmental Law (PP) Number 45 in the year 2019.
This Governmental Law controls the giving of a super deduction tax incentive of 200% for the companies that provide guidance and growth towards specific competency-based human resources, as well as 300% for the companies that conducts research and growth activities in Indonesia. With the various positivities alongside governmental support, it is expected that the Food and Beverage Industry will continue to grow positively and create an impact towards other industries in Indonesia to progress the as well as them.