JAKARTA, KOMPAS.com – The Minister of Cooperatives and SMEs (MenKopUKM), Teten Masduki rejected a social media platform from China, TikTok runs a social media and e-commerce business simultaneously in Indonesia.
Teten said similar rejections had been made by two other countries before, namely the United States and India.
“India and the United States dare to reject and prohibit TikTok from running social media and e-commerce businesses simultaneously. Meanwhile, in Indonesia, TikTok can run both businesses simultaneously,” Teten said in a press release received by Kompas.com, Tuesday (5/9 /2023).
In a Working Meeting with Commission VI of the DPR RI (4/9), Teten added that TikTok may be sold but cannot be combined with social media.
“From research, from surveys, we know that online shopping is navigated, influenced by conversations on social media. Not to mention the payment system, they handle all the logistics. This is called monopoly,” said Teten.
Also read: 4 Content Ideas for Product Promotion on Tiktok
Apart from the need to regulate the separation of social media and e-commerce businesses, Teten also said that the government needs to regulate cross-border commerce so that domestic MSMEs can compete in Indonesia’s digital market.
“Retailers from abroad are no longer allowed to sell their products directly to consumers. They must first enter through the normal import mechanism, only then can they sell their goods on the Indonesian digital market. If they sell their products directly to consumers, Indonesian MSMEs definitely cannot compete because Our MSMEs have to take care of distribution permits, SNI, halal certification, and so on,” said Teten.
The government also needs to prohibit digital platforms from selling their own products or products that come from their affiliates.
Also read: KemenKopUKM Asks for Tiktok’s Commitment to Ensure MSMEs Get Fair Treatment
That way, digital platform owners will not play with their algorithms to present fair business practices.
Teten said the government must also ban import activities for products that can already be produced domestically.
The government also needs to regulate the price of goods that can be imported into Indonesia.
According to Teten, only goods whose price is above US$100 will be allowed to enter Indonesia.
“The government also needs to ban goods that have not been produced domestically even though the price is below US$100. The goal is that these goods can be produced by MSMEs in the country,” said Teten.
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2023-09-05 14:31:00
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