Through the UMK Academy, Pertamina Delivers Hundreds of MSEs to Seize Opportunities in the Export Market
Jakarta, September 11, 2022 – PT Pertamina (Persero) continues to focus on assisting its fostered partners to seizing opportunities in the export market. Until June 2022, from 30 SOEs (RB) throughout Indonesia, there are 337 Foster Partners (MB) who have gone global. While through Micro Small Business Funding (PUMK) in 2021, 116 fostered partners have successfully become Go Global MSEs. Because the programs will run through the end of the year, the number will continue to increase.
Based on data from the Ministry of Cooperatives and SMEs, the Micro, Small, and Medium Enterprises (MSMEs) export contribution nationally is still relatively low at 15.6%. The government has also set several targets for the national MSMEs development in the future, such as 24 million MSMEs must be onboarding in 2023 and 30 million in 2024, then forming 500 digital-based modern cooperative units in 2024, as well as increasing the MSMEs export contribution to 17% in 2024.
VP of CSR & SMEPP Fajriyah Usman explained that Pertamina would assists its fostered partners to increasing their product exports contribution and provide knowledge on the terms and conditions that must be prepared. Pertamina also accelerates digital transformation as a supporting factor to expand market share.
In addition, Pertamina also runs several programs, including UMK Academy, appropriate technology grants, certification and licensing, SME product displays, E-learning, SME publications, Sales through E-Commerce, SME 1000 catalog and exhibition / virtual exhibition, as well as pertapreneur aggregator.
“The obstacles faced by MSME actors when starting export activities are the stages that must be passed, for example, after receiving an order, whether to make an agreement and legal protection. Then there are also customs affairs, required certifications, mastery of foreign languages, both oral and written, and others. The participants in the Go Global class have been told about this step," she said.
Through the UMK Academy 2022, SME actors will be grouped based on their abilities and capabilities and have been adjusted to the SME roadmap of the fostered partners. Thus, monitoring can be carried out more easily and measurably. The briefing for each class was carried out on August 22-29, 2022, and virtually, attended by SME participants and practitioners who are experts in their fields.
The Go Global class is aimed at fostered partners prepared to enter the global market through export activities. The briefing material includes pricing strategies, quality for starting exports, understanding more about the global market and optimizing sustainable exports production, and the importance of environmentally sound businesses.
Wiwit Ab, the facilitator, presented the material on the first day. She offered advice on rebuilding company, taking into account that during the post-COVID-19 recovery period, SME actors must make changes to be more creative and innovative, given the growing competition between MSE itself while consumer demand is decreasing.
It is where the entrepreneurial leadership principle is needed, taking advantage to seek opportunities, daring to take measured risks, and collaborating with other MSEs to build a new image.
"Many MSEs are hesitant to restart their business because they are afraid of the risks. In this briefing class, tips and tricks are given, one of which is daring to take measured risks," she said.
In more detail, the export opportunities for micro and small businesses were presented by Vidi Vinandar. He explains that exports open up more global market prospects, help learn new skills, boost profits, and provide MSMEs more production volume. MSE export players require a simple, effective plan to increase efficiency and the reputation of their products while exporting.
"Considering that cost and time are important factors to support export access, the role of the government, state-owned enterprises, and the private sector is necessary," Vidi said.
Meanwhile, Budi Harjanto, the owner of Batik Bantul, said that by taking this class, he could get an idea of what plans to prepare and develop for his business. Considering the current marketing business strategy is local and word of mouth.
"Hopefully, the mentors and also Pertamina can provide solutions and directions for every obstacle I face so that my business can upgrade and Go Global, amen," he said.
Pertamina also has a variety of national export programs to help MSEs in Indonesia take advantage of significant export potential. These include promoting Indonesia's image through overseas exhibitions, supporting the MSEs' product competitiveness, conducting export human resource training, establishing trade cooperation, as well as market development and collaboration with the provincial government to support Gernas BBI.
Fajriyah added, that through the PUMK Program, Pertamina wants to provide energy that can move the economy--energy that fuels and energy that produces sustainable growth, as well as trying to continue encouraging each partner to upgrade and Go Global MSEs.
Pertamina also continues to support the SDGs (Sustainable Development Goals) achievement through ESG (Environmental, Social, and Governance)-based programs in all of its operational areas. It is part of the Environmental and Social Responsibility (TJSL) to realize economic benefits in the community.**