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Wednesday, 6 May 2015 - 21:04 WIB

Lack of Capital Hampers Development of Manufacturing Industry in Papua

Jayapura, Jubi – Lack of capital, raw materials and marketing skills are hampering the development of micro-and-small manufacturing businesses in Papua province, an official said.

The head of the Central Statistics Agency (BPS) of Papua Province Didik Koesbiyanto in Jayapura on Tuesday (05/05/2015) said sector micro and small manufacturing industry is one sector that is important and strategic to the development of the local economy.
“The added value generated from this sector has contributed to the economic growth of Papua, although it is not too large compared to the contribution of large and medium manufacturing industry,” he said.

He explained based on the data of GRDP 2014, micro and small manufacturing industries contributed added value by 0.44 percent.
“Although the value added of the sector is still small, but the sector is significant enough to absorb labor force and are not vulnerable to economic turmoil,” he said.

He said then it should be the government to give serious attention to the development of micro and small industrial enterprises in Papua.
“According to the standard classification of Indonesian business field 2009, a sample survey of micro and small industries first quarter of 2015, which businesses with the number of workers ranged between 1-19 people in the province of Papua,” he said.

He added businesses with the number of workers ranged between 1-19 people include 14 types of industries are food industry, wood, wood products and cork, wickerwork of bamboo / rattan, apparel, furniture, non-metal mineral products, beverages and other. (*/Tina)

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