Jakarta, 3 May 2022 -- To reduce logistics costs and make Micro, Small and Medium Enterprises (MSME) products more competitive, BNI in collaboration with the Indonesian Embassy (KBRI) has set up a Distribution Center. This distribution center uses a dropship strategy which is considered effective for MSMEs in increasing their sales.
“At BNI Tokyo office, we have a meeting room that can be used by MSMEs for business meetings. We have a display of MSME products, virtual business matching that can be directly sold in Japan," said BNI Treasury & International Director Henry Panjaitan.
According to him, BNI also provides information about the characteristics of the Japanese market at export MSME centers in Indonesia which are spread across seven cities and carried out integrated promotions. BNI through BNI Xpora is also active in bringing MSMEs to prestigious exhibitions globally to showcase their products.
Seeing this, Henry said that as a company with various overseas branches, BNI has a vision to bring Indonesia to the world, including Japan. Japan has very high standards for a product, so MSMEs that can penetrate this market must also have qualified abilities.
“Because the qualification of a product is very high, the key to product success is quality, service and after sales service. This is where our role is to provide assistance in order to penetrate the Japanese market,” he said.
Jewelry and Pearls
Japan is one of the attractive countries for Micro, Small and Medium Enterprises (MSMEs) from Indonesia to market their products. Indonesian Ambassador to Japan Heri Akhmadi said the automotive, fashion, food and jewelry sectors have great potential for local MSMEs to penetrate the cherry country market.
"In Japan, micro-enterprises are a bit difficult. But there are many middle class and have the opportunity to grow. One of the MSME products that have been successful is batik exports, which increased by 300 percent, then jewelry and pearls which figure passed US$45 million dollars,"said Heri.
In addition to batik and jewelry, Indonesian food products are now starting to be in great demand. This is in line with the high role of the Indonesian diaspora as trading agents. The Indonesian diaspora spread across various countries plays an important role in increasing exports, especially for MSMEs. Diaspora can be a liaison and gateway for local MSMEs to penetrate the export market. This is important because now there are more than 70 thousand Indonesian diaspora in Japan, and by the end of the year it is predicted to reach 80 thousand diaspora.
“The increase in diaspora in Japan is because it takes about 1.3 million workers. This is the potential why diaspora can become an agent of Indonesia's trade with Japan, and become an entry point," he said. (*)