Rubber Factory Inaugurated in West Aceh, Bringing New Hope for Local Communities

Meulaboh, July 8, 2025 — The inauguration of the crumb rubber factory operated by PT Potensi Bumi Sakti (PBS) in Gle Siblah Village, Woyla Subdistrict, West Aceh Regency marks a turning point for the region. The ceremony, held on Tuesday (8/7), was officiated by Hashim Djojohadikusumo, CEO of Arsari Group, alongside Governor of Aceh Muzakir Manaf (popularly known as Mualem), Wali Nanggroe Teungku Malik Mahmud Al-Haytar, and West Aceh Regent Tarmizi, SP, MM.

This new industrial facility comes as a breath of fresh air for the local population amid ongoing struggles with high unemployment and poverty in the region. West Aceh Regent Tarmizi noted that the regency currently faces over 50,000 open unemployment cases, with the poverty rate reaching 17.6 percent.

“Mr. Hashim came at a very crucial time, helping us open up job opportunities in West Aceh,” said Tarmizi. “In the first round of recruitment, the company received over 4,200 applicants for just 120 available positions. This shows how urgent the need for employment is here.”

Tarmizi further emphasized the importance of innovation at the regional level in response to the decreasing Special Autonomy (Otsus) Fund and limited revenue sources. “We don’t want to disappoint the President. We are obligated to find real solutions for public welfare. The presence of PT PBS is proof of job creation and local economic revitalization,” he stated.

Tarmizi also expressed hope that, in the future, processed rubber products such as SIR 20 could be exported directly through a dedicated seaport in West Aceh. “We’re currently preparing a feasibility study for the port. God willing, West Aceh will have its own export port. We sincerely ask for support from Mr. Hashim and all stakeholders,” he said.

Governor Muzakir Manaf used the occasion to reaffirm that Aceh is safe, peaceful, and open for business. He called on the media to help spread the good news across Indonesia.

“Aceh is peaceful and absolutely safe for investment. Unemployment remains high, and this factory will help absorb a significant number of workers. I’m confident more industries will emerge here—such as the cigarette factory and rice mill currently being built in North Aceh, and others being planned in South Aceh,” he explained.

The governor urged all community leaders and local authorities to maintain peace and order. “Security is our most valuable asset. Without it, investors will hesitate. Let’s ensure a stable and welcoming environment for all,” he said.

He also highlighted the pressing issue of youth unemployment, revealing that thousands of Acehnese graduates leave for Malaysia every year in search of work due to limited opportunities at home. “This is a challenge we must face together,” he added.

Governor Manaf also used the moment to seek support for the planned RoRo ferry route connecting Aceh and Penang, Malaysia, which would enhance cross-border economic access.

PT Potensi Bumi Sakti’s new factory sits on a 25-hectare site, with development beginning back in 2013, during Mualem’s term as Vice Governor. Now, after more than a decade of perseverance, the factory is finally operational.

The inauguration ceremony was attended by prominent figures including Vice Governor Fadhlullah, Speaker of Aceh Parliament (DPRA) Zulfadhli, Commander of Iskandar Muda Military Region Maj. Gen. Niko Fahrizal, Aceh Police Chief Insp. Gen. Achmad Kartiko, Aceh Attorney General Yudi Triadi, and other regional officials and community leaders.

Speaking during the event, Hashim Djojohadikusumo expressed pride in the project’s long-awaited completion.

“It took nearly 12 years to realize this project. I’m proud that today we finally see it standing and operating,” said Hashim.

The factory is equipped with high-capacity processing machinery, able to produce 2,500 tons of dry rubber each month, with plans for further expansion depending on raw material availability.

“The machinery is capable of processing 10 tons of wet rubber per hour, which equals about 5 tons of dry rubber. Our daily target is 100 tons of dry rubber,” he explained.

Hashim also hinted at potential expansion of production lines should local rubber supply meet the required volume.

The West Aceh Regent hopes the plant’s output can eventually be exported directly from West Aceh, although he acknowledged that limited infrastructure—such as the absence of a port—remains a challenge.

“We hope to one day export directly from our own port here in West Aceh. But for now, we don’t have the facilities,” said Regent Tarmizi.

Despite these hurdles, the inauguration of PT PBS marks an important milestone for West Aceh. It represents not only the realization of a long-standing project but also the beginning of a broader effort to revive industrial growth and provide much-needed employment for the people of Aceh.