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RI Govt to break ground on six downstream projects by January end

Jakarta (ANTARA) – Indonesia plans to break ground on six downstream industrial projects by the end of January 2026, part of a push to boost growth, cut reliance on raw exports and strengthen the economy’s industrial base, State Secretary Minister Prasetyo Hadi said on Thursday.“By the end of this month, there are plans for around six downstreaming projects to undergo groundbreaking,” Hadi told reporters at the Presidential Palace complex.He said the projects are designed to drive activity in the real sector and reinforce the fundamentals of the national economy.The downstreaming drive is a core pillar of the 2025–2029 National Medium-Term Development Plan and the Asta Cita policy platform of President Prabowo Subianto and Vice President Gibran Rakabuming Raka.The program aims to triple the value added of export commodities, create jobs, lift state revenue, reduce dependence on raw-material exports and strengthen manufacturing.West Kalimantan will host at least one of the projects, Hadi said. Another 12 downstreaming projects are expected to be launched in February 2026.“West Kalimantan is one of them. So there are six projects. We ask for support so that the remaining 12 projects can follow in February, and at the latest by March all of them can be started,” he added.The government’s sovereign wealth fund, Daya Anagata Nusantara Investment Management Agency, or Danantara Indonesia, has also flagged a series of downstream projects slated for groundbreaking in February.Danantara Chief Executive Officer Rosan Roeslani said the strategic investments will span bauxite and aluminum processing, bio-aviation fuel, refining and poultry farming.“There are bauxite and aluminum projects in Balikpapan, then bio-aviation fuel, and a refinery. There are also poultry farming projects in five locations,” Roeslani said in a doorstop interview on Wednesday, January 14.He added that a coal gasification project to produce dimethyl ether, a cleaner-burning fuel alternative, is also likely to break ground in February 2026.The downstreaming agenda has been central to Indonesia’s strategy to move up the value chain, particularly in resource-rich sectors such as mining and energy, and to attract investment into processing industries that can generate higher export earnings and more skilled employment.