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MSMEs/UMKM Helps Papua to Growth their Economy

by Senaman
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Micro, Small, and Medium Enterprises (MSMEs) in Papua are an important factor in the province’s economy. MSMEs in Papua account for 99.99% of the total businesses in the province, which have an employment rate of around 97% of the national workforce. MSMEs in Papua have the potential to build the local economy and reduce poverty in the province.

Papua is a province that has the potential to build businesses based on natural wealth and human resource potential. The Ministry of Agriculture provides MSME empowerment programs in the processing and marketing of food crops, horticulture, plantations, and livestock. The Ministry of SOEs also provides MSME empowerment programs through the SOE-assisted SME festival.

Papua has the potential to build a seafood and fisheries processing industry, which can be a driving factor in the province’s economy. The Ministry of Maritime Affairs and Fisheries provides MSME empowerment programs in the fields of marketing marine and fishery products, structuring and utilizing marine services, and utilizing coastal and small islands.

Papua also has the potential to build a manufacturing industry, which can be a driving factor in the province’s economy. The Ministry of Cooperatives and MSMEs provides MSME empowerment programs in the areas of facilitation of standardization and certification of trademarks, quality tests, brands, packaging, barcodes, geographical indications, halal, and copyright of KUMKM products.

Types of Micro, Small and Medium Enterprises (MSMEs) in Papua include:

  1. Processing and Marketing of Food Crops, Horticulture, Plantations, and Livestock Products
  2. Processing of Marine and Fishery Products
  3. Manufacture of Industry
  4. Processing of Natural Products, such as wallets, crowns, noken, batik cloth, perfumes, soaps, and medicines
  5. Culinary, such as chips, syrup, and sweets
  6. Fashion
  7. Agribusiness
  8. Handicrafts and Souvenirs
  9. Betel nut vegetable and fruit selling
  10. Automotive business, such as car repair and rental

The Department of Industry and Trade of Biak Numfor Regency mentions six types of businesses of interest to millennial micro, small, and medium enterprises (MSMEs) in this area. The Merauke Regency Industry and Trade Office also empowers indigenous Papuans through MSMEs.

The Papuan local government also develops MSME empowerment programs through the PNPM Mandiri Respect for Communities program, whose main objective is to restore the self-esteem of Papuans and restore the trust of the Papuan people in the local government.

In addition, the local government also developed the PNPM Mandiri Urban program, whose main objective is to build the independence of communities and local governments in reducing poverty in urban areas.

With the MSME empowerment programs that have been provided, Papua has the opportunity to build the local economy and reduce poverty in the province. MSMEs in Papua can develop and have the potential to become a driving factor in the province’s economy.

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