Sumbawa’s Economic Transformation: Key Developments in 2023

iMedia
By iMedia
3 Min Read

Driving Economic Change in Sumbawa

Lombok Zone – The Sumbawa Regency government is making significant strides in its economic transformation under the flagship Program 05 Jarot–Ansori. This initiative focuses on the industrialization of local products and the boost of strategic investments in the region.

In partnership with Deputy Regent Drs. H. Mohamad Ansori, Regent Ir. H. Syarafuddin Jarot is committed to enhancing the downstream processes in agriculture, fisheries, and local resources to provide greater economic value to the community.

Key Progress in the First Year

During the initial year of their administration, several notable achievements have been secured:

  • Integrated Chicken Downstreaming: The local government has facilitated a significant investment of approximately Rp1.3 trillion for the integrated chicken project in Serading, which has entered the groundbreaking phase. This project aims to strengthen the livestock production chain from upstream to downstream, creating new job opportunities.
  • Development of Salt Industrial Area: In addition to livestock, the government is promoting the salt industry by consolidating around 10,000 hectares of land in the Plampang–Empang region. This sector has an estimated investment potential of Rp2.5 trillion, aiming to position Sumbawa as a national salt production hub.
  • Preparation for National Strategic Aquaculture Project: The local administration has proposed the development of shrimp aquaculture in the Moyo Utara area as part of the National Strategic Project (PSN), with a potential investment of about Rp2.1 trillion. This program is expected to enhance economic growth and competitiveness in the fisheries sector.

Strengthening Government and Private Sector Synergy

These investment initiatives are being executed through active collaborations involving the local government, the NTB Provincial Government, and strategic private partners. This approach aims to ensure regulatory certainty, infrastructure support, and sustained investments.

Policy Review: Shifting from Production to Added Value

The realization of Program 05 indicates that Sumbawa’s development focus is shifting from merely producing primary commodities to fostering a value-added economy through industrialization.

This transformation is crucial, as previously, most local commodities were sold in raw form, limiting the economic benefits to the community. By emphasizing downstream processes and industrialization, the anticipated benefits include:

  • Creation of new job opportunities
  • Growth of local processing industries
  • Increased income for farmers, ranchers, and fishermen
  • Enhanced Local Revenue Sources

From a budgeting perspective, this policy reflects a strategic development approach that doesn’t solely rely on regional budget spending (APBD) but optimizes private investment to drive regional economic growth. As a result, the APBD can be focused on providing essential infrastructure, regulations, and investment facilitation.

This effort demonstrates that in their first year, the Jarot–Ansori administration has laid the groundwork for a long-term economic transformation aimed at sustainably improving the welfare of the community.

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