House of Representatives’ Commission VI urged the government to include cement industry and chocolate manufacturing sector in the Investment Negative List (DNI). Nusron Wahid, Azam Azman Natawijana and Didik J. Rachbini of Commission VI said the cement industry and the chocolate manufacturing sector were strongly related to the nation’s interest and should be protected from foreign investors.
Rachbini said that the national cement industry is now dominated by cartel players who fix prices. Moreover, local investors should comply with the rules made by multinational cement manufacturers if they want to export their products. "The cement industry should be included in the DNI to prevent another foreign intervention like what happened in SG," said Rachbini during a hearing with the Investment Coordinating Board (BKPM).
Meanwhile Azam Azmam Natawijana said that cement industry should be included in the DNI since local investors have the capability to invest in the industry, despite of the large capital needed.
M. Lutfi, Chairman of BKPM, said that the sectors included in the DNI have been determined in Presidential Decree, which only included mining, broadcasting and transportation in the DNI. The Draft of Capital Market Law, which is being deliberated, has not included the regulation to add the DNI. "Should the DNI need to be added, there should be an investment map to identify the strength of national industries as well as to identify which industries and sectors that need to be included in the DNI or need to be liberalized," said Lutfi.
