Aim for Localization, Gov Sets Target for 60 Percent Local Components in Medical Devices

Photo by: PR Office of Cabinet Secretariat /Agung

Budi Gunadi Sadikin, the Minister of Health, declared that the Government aims to utilize 60 percent local components for the production of domestic medical devices.

“For now, we are still using some foreign components. It is fine, but we cannot do this for too long. We want 50 – 60 percent of medical devices and medicines to be developed and manufactured domestically from upstream industry to downstream industry,” stated by the Minister from the official website of Ministry of Health, on Monday (08/09).

Budi acknowledged that currently, most medical devices in Indonesia are imported, whether they're finished products or raw materials. From 2019 to 2020, about 88 percent of medical devices were imported, leaving only 12 percent sourced domestically. For now, the Government is focusing on making the health system more sustainable by developing locally-made medical devices, reducing reliance on imports.

“At the beginning of the pandemic, it was difficult to find face masks and personal protective equipment (PPE). In order to provide medical devices domestically, we carry out health system sustainability transformation, as mentioned in the third pillar of the health transformation. So, when pandemic occurs, we will not rely on other countries,” he explained.

Minister Budi expressed confidence that Indonesia will gradually become capable of producing its own medical devices for national use, even though for now, our capabilities are limited to low-tech devices. He hopes the local health industry will continue growing to eventually produce high-tech ones.

“Now we have started the production. If it is possible, all devices will be manufactured locally. We start with bed for patient, infuse pump, surgical table, bed monitor. Previously, we were difficult to find face masks and PPE. So, we start it step by step,” he noted.

Additionally, the Minister seeks support from producers and small to medium enterprises, to achieve independence in the health sector.

Along with improving the quality and capacity of local health devices, the Health Minister is also pushing for more purchases of domestic medical equipment. This commitment aligns with the President's Instruction Number 2 of 2022 to promote the success of the "Proud of Local Products Movement" (Gernas BBI).

“Next year, Mr. President demands that domestic medical devices purchase increase to 95 percent. We hope that in the future, more companies can produce local medical devices that highly use local components,” he added.

Source : Cabinet Secretariat of the Republic of Indonesia