Medan – Kuala Tanjung Industrial Estate in Batu Bara Regency, North Sumatra, was originally designed to be a Western International Port Hub.
Then initiated into a superior area with a variety of industries and supporting facilities, so as to have a bright and promising future.
An observer of North Sumatra Economy(USU), Wahyu Ario Pratomo said that the presence of Kuala Tanjung Industrial Estate (KIKT) plays an important role for economic growth in BatuBara and Sumut and Indonesia.
“If this area can develop, it will be extraordinary. Because the economy is going forward. And certainly, create new business fields and be able to absorb a larger workforce,” said Wahyu Ario, Thursday, February 18, 2021.
Wahyu who is also regional economic of the Ministry of Finance North Sumatera mentioned, Batu Bara including districts whose contribution to GDP Sumut is quite large, even entered the top five in North Sumatra.
“That is, the contribution of companies such as Wilmar, Pelindo, and Inalum is very large for the GDP of BatuBara Regency and North Sumatera Province,” said Wahyu.
If KIKT has developed and there are various industries, he continued, it will give a considerable multiplier effect for Batu Bara and North Sumatera.
Surely there will be growing new economies around it, such as emerging restaurants, real estate, trade, services, malls, hotels, and others.
However, said Wahyu, it can be realized if all infrastructure, as well as facilities and infrastructure provided for the special area, is available and can be fulfilled.
According to him, the guarantees needed by investors include guarantees of licensing management, getting special incentives, especially taxation, guarantees to obtain raw materials, and others.
“During this time that is often an obstacle, the existence of people in licensing that makes investors reluctant to enter. Similarly, tax incentives and promised facilities must be implemented in accordance with its implementation. Because of this in a Special Economic Zone, the treatment is also really special, not with the terms and conditions apply,” he said.
Need Incentives for Investors
Senior Economic Observer of North Sumatera, Prof Bachtiar Hasan Miraza stated that the potential of Kuala Tanjung Industrial Estate is very large and wide, but it remains how the policies and regulations of the local government are implemented correctly and provide special incentives to investors.
“Policies and regulations are enough. The government’s intentions are also clear. There are only incentives and guarantees of certainty for investors,” said professor of the Faculty of Economics USU.
He added that the government should provide services and incentives to existing companies in order to develop better as a promotion to attract investors to establish industries in Kuala Tanjung. “Good service to the existing industry makes their performance improved. Good performance will encourage the influx of new investors,” he said.