Coordination meeting of Defense and Security Equipment Tools for policy, users, and producers in the field of the 2021 fiscal year.

On June 8, 2021, PT Falah Inovasi Teknologi, participated in the Coordination Meeting for Policy, Users, and Producers in the Defense and Security Sector, which was held by the Directorate General of Pothan Kemhan. In order to synchronize and synergize the three pillars of the Defense Industry, which is the Government, Users and the Defense Industry, it was held in the Bali Cendrawasih Room, the Jakarta Convention Center, Central Jakarta, led by the Deputy Minister of Defense of the Republic of Indonesia, Mr. M Herindra. This coordination meeting was attended by 187 participants. The participants are Ministries and Agencies (MoF, ministry of state-owned enterprises, Ministry of Investment Coordinating Board, Ministry of Industry, KKIP Team), TNI Headquarters, Forces, POLRI, Bakamla, Pinhantanas and Defense Industries (state-owned enterprises and private-owned enterprises).

The theme of this coordination meeting is “Optimizing Indhan in Improving the Quality of Defense and Security Production to Realize National Indhan Independence”, the choice of this theme was in accordance with the government’s efforts to improve the quality of defense and security production. Furthermore, this theme has the meaning to synergize steps in optimizing the capabilities of the domestic Defense Industry to create the independence of the Defense Industry.

In his remarks, the Indonesian Deputy Minister of Defense conveyed several things, those are: with the issuance of Law Number 11 of 2020 concerning Job Creation, it was stated that state-owned enterprises (BUMN) and private-owned enterprises (BUMS) were designated as lead integrators of defense equipment. Thus, the enactment of the Job Creation Act means opening up wide opportunities for BUMS to demonstrate their capabilities in the field of defense equipment production. This is an improvement in the competitive climate of the Defense Industry in securing technology, human resources, and documents owned. In addition, synergy is needed that must be strengthened between the Government, Users and Defense Industry.

The moderator of this Coordination Meeting for Policy Determinants, Users, and Producers in the Defense and Security Sector of the 2021 fiscal year is Mr. Andi Wijajanto, Defense Observer and Indonesian Politician. Whilst, there are five speakers:

First, the Special Staff of the Minister of Defense for Institutional Cooperation ( Marshal of the Indonesian Armed Forces (Ret.) Dr. Bambang Eko, SH, MH), informs about providing opportunities for BUMS as lead integrators as a manifestation of the implementation of Law no. 11 of 2020 concerning Job Creation and opportunities for foreign parties to invest in the Defense Industry.

Second, the Expert Staff for Priority Investment Development of the Investment Coordinating Board (Drs. Aries Indanarto) informs about the Implementation of Business Licensing through the risk-based OSS (Online Single Submission) System.

Third, the chief of the Technology Transfer and Offset Division of KKIP implementing team (DR. Ir. Yono Reksoprodjo, DIC) informs about Building 3rd tier and 4th tier (Upstream Industry) Industrial ecosystems and security in the framework of human resource infrastructure, Documents, and Technology.

Fourth, the Head of Sub-Directorate for the Railway, Aircraft and Defense Equipment Industry of the Ministry of Industry (Immanuel Tumpal Hamonangan Silitonga) informs about Optimizing the Development and Utilization of Upstream Industries in Supporting Defense and Security Products.

Fifth, the Head of Sub-Directorate for Withholding/Collection of PPh and Personal Income Tax Regulations (Heri Kuswanto, S.E., Ak., M.Sc.) delivered material on the Tax Aspects of the Defense Industry and Defense Equipment Procurement.

In the remarks of the Deputy Minister of Defense of the Republic of Indonesia at the closing of the Coordination Meeting delivered by the Director General of the Ministry of Defense Pothan conveyed the Directive to be followed up by the three pillars of the Defense Industry:

  1. The government should always carry out guidance and supervision of the State-Owned Enterprises and Private-Owned Enterprises Defense Industry.
  2. Users, in this case the TNI and Polri, as well as ministries/institutions that are also users of Defense Industry products, should continue to increase the volume of use of domestic Defense Industry products so that the independence can be achieved.
  3. Defense Industry. By the issuance of the Job Creation Law provides opportunities for BUMS as lead integrators. Defense Industry needs to synergize and build ecosystems and optimize the upstream industry (use of domestic raw materials).