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The Impact of Cheap Goods on Domestic MSMEs in Jakarta

Jakarta

Minister of Cooperatives and Small and Medium Enterprises (UKM) Teten Masduki admitted that he had not received a clear answer regarding the reasons why goods were sold in TikTok much cheaper.

He said he had met with Tiktok to ask for cooperation and empathy with domestic MSMEs.

“We’ve met with TikTok. We want to collaborate. We have a cooperative. I asked why is this price so cheap? It’s definitely going to hit MSMEs, they definitely won’t be able to compete with such cheap prices,” he said to the media crew, Thursday (14/9 /2023).

According to Teten, the cheap items sold on TikTok are unreasonable. He also asked the origin of the goods being sold cheaply. However, there is no clear answer yet.

“Until now they haven’t given it to us. They said the seller sold the item,” he added.

As a result, many domestic MSMEs are not competitive and stop producing. He also admitted to the dilemma between influencers or domestic MSMEs.

“Production MSMEs which are now unable to produce any more are paralyzed. They say they can no longer compete. The government’s dilemma is whether we want, on the one hand, influencer sellers who benefit from e-commerce social media to have no products. On the one hand, we face MSMEs dead producers. Which one do we want to defend?” he said.

Teten also appealed not to let this kill domestic MSMEs because 97% of jobs come from MSMEs. Because, there will be many negative impacts, such as unemployment will increase, purchasing power will decrease, and the market will also weaken

(hns/hns)

2023-09-14 13:49:10
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