Agricultural sector shift

Agricultural sector shift

The province plays important role to the Indonesian economyaas it has contributed 15.67% of the national economy. In 2001, the economic growth of west java figured out 4.06% (including oil & gas). The structure of the West Java economy has been shifting into industrial manufacturing from the agriculture sector.

Based on the growth and contribution to the regional economy, the economic sectors fall into 3 categories, namely first substantial contribution and above average growth-rate sector such as industrial manufacturing, trade, hotel and restaurant sectors.

Second, agriculture sectors that contributed relatively high although it has diminishing contribution. The third, potential sectors such as transportation and communication. Industrial manufacturing has significantly generated the regional economy.

Almost 60% of Indonesian manufacturing industries are located in west Java. They accounted approximately 22.6% of the national industrial sectors. But, high dependent of imported materials makes the sector sensitive to the economic crisis. As a result, the industrial manufacturing policy is directed to strengthen the industrial structure on the basis of local materials, technology oriented, and having global and local competitiveness.