Tuesday, November 6, 2007




The development of industrial potency is aimed at strengthening the area’s industrial capacity, especially industries which own competitive excellence. By the existence of plan development of industrial sector, expectedly it can improve the earnings of workers or the owners of the industries. In addition, it also can place the structure of territorial industry on a firm basis so that in turn it can give additional value to the territory.

The current problem of industrial sector is the lack of territorial capacities. The existing industries are generally in small scale and still have low production capacity. This problem is especially caused by the management which is still traditionally conducted and it is due the limitation of the ownership of assets of production especially capitalization, production appliances, and the ability of acquiring technology. In addition, the other thing that may influence the problem of the lowering of the territorial industrial capacity is the shortage of producers’ accessibility to market and consumers as a consequence of the lowering of quality of infrastructure and means of transportation. Furthermore, the infrastructure of warehousing that basically can guarantee the storage of goods production for export also has become the cause of the lowering of the territorial industrial capacity. The current warehousing is not well maintained and also has not already had adequate facility.

Challenge to encounter in reference to the development of industrial sector is how to reinforce territorial industries so that they can improve the product quality, produce continually and have opportunity to create diversified business. In this regard, the enhancement of capacity of basic product and the availability of industrial infrastructures with well supporting facility are significant matters to carry out.

The adjustment of industrial sector as one of the pre-eminent sectors in the effort of accelerating development of Sabang’s area is obviously and factually with foundation. Based on the existing data, the industrial sector in the year 2000 has given contribution of 20% to PDRB of Sabang town with small industry as its biggest component. In accordance with the analysis result of shift-share, this industrial sector has promising potency to be developed even though it has not already had any relation to local resources. However, by incentive/disincentive policy conducted well, this sector is expectedly able to accelerate the dynamics of local economy which finally can improve prosperity of the people. In addition, the existence of policy of adjusting Sabang’s area as a Free Trade Zone and a Free Port is of course giving more opportunity and advantage for the development of this sector.

Based on the analysis, the industrial type that can be developed in this area as to give optimal result shall fulfill some certain criterions noted as follows:
- possessing multiplier and additional value and to local, regional, and also national economy.
- highlighting and possessing ability to maintain the environmental continuity.
- possessing ability to optimally make use of the local resources.
- possessing excessive technological content and characteristically non intensive labor as to consider the limited supporting power of space and environment.
- possessing ability to make use of Sabang’s condition optimally as a Free Trade Zone and a Free Port.

Based on the abovementioned criterions, there are some industrial types that can be developed in this area such as:
- Port service industries covering docking service, mooring service, guiding service, dock service, cargo piling service. To support this industry, there are some activities which must be made available such as docking, bunkering, and refining and also storage.
- Electronic Industry covering factory of electronic component and assembling of electronic appliances.
- Refurbishing industry in the form of assembling and rejuvenation of cars as anticipatory action to the current of ex-cars from other countries and Singapore.
- Food industry covering processing industry, preserving, canning, and packing of agricultural product, plantation, and livestock including processing industry of CPO as an effort to have opportunity of the excessive production of oil palm plantation in Aceh mainland of which at this time it is much accommodated in the port of Belawan Medan. However, in particular the industrial development of CPO processing has to highlight the efficiency of transportation system. This is in view of the access from Sabang to Aceh mainland which is by sea.
- Fishery industry covering ice factory, canning industry of fish and shrimp, packaging factory, industry of product processing like cod-liver oil, fish flour, fish abon (shredded fish meat), fish meatballs, chitosan and chitin, fish/shrimp chips, and also traditional products like petis (condiment of fermented fish or shrimp), terasi (condiment made of pounded and fermented shrimp and small fish, salted fish, wood fish, pindang (preserved large fish with salt without drying) and others.
- Petrochemical industry covering the processing of elementary chemical materials and the process of chemical product making.

The effort of this industrial development surely needs the support of good facility besides the current of investment as a developing capital. Therefore, in view of its developing plan, Sabang’s area needs incentive and disincentive equipment like source of energy, telecommunications, clean water, and also adequate transportation line besides various policy that can attract investors to invest their capital in this area.

Besides the above various big industries, the effort of developing small/home industry also needs to be developed. It is primarily because this industry has promising potency in reference to the result of shift-share analysis and contribution output to the volume rate of regional production. The effort of the development of small industry is more aimed at the supply of capitalization and also good marketing line besides training that conducted to increase the product quality.