Aceh – Indonesia, Acting Regional Secretary of North Sumatra Province (Sumut) Timur Tumanggor has called on local governments to increase the use of domestic products (PDN) and empower micro, small, and cooperative businesses (UMK-K). This step is considered essential to drive the regional economy, strengthen the business sector, and deliver better services to the public.
The Acting Regional Secretary made these remarks while attending the Monitoring of Government Goods/Services Procurement Implementation and Optimization of Domestic Products and UMK-K Usage through Procurement Consolidation at the Raja Inal Siregar Hall, North Sumatra Governor’s Office, Jalan Pangeran Diponegoro No. 30, Medan, on Wednesday (30/9/2026).
“We want more government spending to directly benefit local business actors, open economic opportunities, and strengthen products manufactured by the people of North Sumatra,” he said.
Therefore, Timur requested that procurement consolidation be reinforced right from the planning stage. Additionally, the clearing house forum needs to be developed as a risk mitigation instrument in implementing government procurement of goods/services.
Timur noted that based on monitoring data from the National Public Procurement Agency (LKPP), North Sumatra Province’s achievement for domestic product utilization reached 95.62% in 2025. Meanwhile, UMK-K participation stood at 36.41% and e-purchasing at 55.39%.
According to Timur, the achievements in domestic product utilization and e-purchasing reflect positive progress. However, UMK-K participation still needs improvement to reach the set target of 40%.
He also mentioned that one strategy to realize corruption-free governance in government procurement of goods/services is through Monitoring, Controlling, Surveillance for Prevention (MCSP). This strategy encourages local governments to consolidate the procurement of goods/services, both through the Electronic Procurement System (SPSE) and electronic catalogs.
“I hope that in the future, all regencies and cities can strengthen this mechanism by involving the Goods/Services Procurement Division (UKPBJ), Government Internal Supervisory Apparatus (APIP), and related regional agencies,” he expressed.
Meanwhile, Acting Director of Local Government Advocacy at LKPP Firmansyah stated that the consolidation of goods/services procurement aims to create a more efficient procurement process while providing greater benefits to the government.
He mentioned that out of 33 regency/city governments plus the North Sumatra Provincial Government, 18 agencies have met the 95% domestic product utilization target. Meanwhile, UMK-K participation across all regions in North Sumatra has reached the 40% target. Furthermore, 23 local governments have achieved the 30% e-purchasing target.
“As for the clearing house, only three local governments currently have one: the North Sumatra Provincial Government, Labuhanbatu Regency, and South Labuhanbatu Regency,” he noted.
Firmansyah explained that a clearing house is an ad-hoc discussion forum intended to resolve procurement issues or offer advice and recommendations to procurement officials (PA/KPA) in ministries, agencies, and local governments so that procurement objectives can be fulfilled. (Edi)