Analysis of Industrial Minerals Mining Sector in the Effort of Supporting the Economic Development of West Java Province, Indonesia
[1]
Ukar Wijaya Soelistijo, University of Islam Bandung (UNISBA), Department of Mining Engineering, Faculty of Engineering, Bandung, Indonesia; Institute of Technology Bandung Department of Mining Engineering, Faculty of Mining and Petroleum Engineering, Bandung, Indonesia; Center for Education and Training of Mineral and Coal, Ministry of Energy and Mineral Resources, Bandung, Indonesia.
[2]
Sri Widayati, University of Islam Bandung (UNISBA), Department of Mining Engineering, Faculty of Engineering, Bandung, Indonesia.
[3]
Mikdad Hamad, University of Islam Bandung (UNISBA), Department of Mining Engineering, Faculty of Engineering, Bandung, Indonesia.
West Java Province has large resources of industrial mineral (non-metallic minerals and rocks).Based on the result of economics analysis of West Java Province such as location quotient (LQ), economic multipliers, backward and forward linkages are indicated as indicated as the followings. Backard lingkage (aj) of the industrial mineral sector is small (<1) off 0.746. Forward linkage (bi) of industrial mineral sector is also small (<1) off 0.710. While regencies that have LQ>1.0 are Sukabumi, Bogor, Ciamis, Cirebon, Majalengka, Kuningan, West Bandung and Banjar. It means that it can comply its on needs or self-sufficiency even it can meet the other region’s demand for industrial mineralsis quite good. So far, where the output multiplier is 1.37, the investment multiplier is 1.38, employment multiplier 1.23, income multiplier 1.23 and added value multiplier of 1.26 or significantly high. It indicates that the mining sector can provide added value to the other economic sectors. Moreover, the surplus multiplier of the industrial mineral sector can reach 2,304or significantly high, it means that the investors is well attracted to invest in this sector. Also this sector could be pointed out as the prime sector in the Province of West Java.Based on the results of computation using 2010 I-O Table an the projected 2013 and 2035 I-O Tables it is found out that the final demand (Y) in 2013 is IDR 1.070.118 Trillion and IDR 3.319 Trillion in 2035 with the assumption of 6.01% economic growth rate per year. By using optimization linier programming is identified that the optimized Ŷ is IDR 1.070,443 Trillion and the Ŷ of 2035 is IDR 3,319 Trillion, or the ratio of the optimized Y/Ŷ of 2013 is 0,997 and the related ratio of 2035 is 1.0. It means that the economy of West Java Province is actually inefficient and would be more efficient toward 2035.The methodology applied in this study is based on macroeconomic, Input-Output (I-O), LQ, and engineering model.
Industrial Minerals, Economic Linkages,Multiplier, LQ
[1]
Anonymous (a), (2014).Rock and Mineral Section Report in 2014, Office of Mining and Energy, West Java Province.
[2]
Anonymous (b), (2015). Gross Regional Domestic Product of West Java Province and all Regencies/cities in West Java province in 2003 until 2013, Statistic Central Agency West Java Province.
[3]
Anonymous (c), (2015). Input-Output Table Jawa Barat Province, 2010, Statistic Central Agency West Java Province.
[4]
Bulmer, V., Thomas, (1982). Input-Output Analysisin Developing Countries: Sources, Methods and Applications, John Wileyand Sons Ltd, London.
[5]
LabysWC, (1973). Dynamics Commodity Models: Specification, Estimation, and Simulation. Lexington Books, D.C. Health and Company, Lexington, Massachusetts, Toronto, London,
[6]
Miernyk, W.H., (1965). The Elements ofInput-Output Analysis, Published in New York by Random House, Inc.,and in Toronto, Canada.
[7]
Soelistijo, UW.,(1995). Dasar-Dasar Penerapan ModelInput-Output dalamanalisis Evaluasi Ekonomi Regional, Center of Research and Development of Technology, Mineral and Coal, DESDM.
[8]
Soelistijo, UW.,Suherman I., Saepudin R., Mujib, Nas C.,2003. Ekonomi Regional dan Model Penerapannya: Pengembangan sumber daya mineral dan energy dalam rangka otonomi daerah di Indonesia, Center of Research and Development of Technology, Coal and Mineral, DESDM.
[9]
Soelistijo UW, (1993). The Indonesia Challenge: The Added Value of Mineral Resources. Mineral TechnologyResearch and Development Centre, Directorate General ofMines.
[10]
Soelistijo UW, and B. Santoso, (2003). A Brief Overviewof The Scarcity of The Indonesia Gold Mining, Buletin Tekmira, ISSN 0854-7890, Nomor 28, Tahun 11, Bandung, Mei.
[11]
Soelistijo UW, (2013). Political Economy of Resourcesand Its Development: The Case of Indonesia. American Journal of Business, Economics and Management. Vol. 1, No. 1, 2013, pp. 16-24.
[12]
Soelistijo UW, (2013). The Influence of Geopolitics andStrategic Factors upon the Development of Natural and Human Resources in Indonesia. Social Sciences. Vol. 2, No.6, 2013, pp. 200-211. doi: 10.11648/j.ss.20130206.15
[13]
Soelistijo UW, (1991). Manajemen Teknologi. Jakarta: Sespanas LAN.
[14]
Soelistijo, UW, (2011). Control of Illegal Mining (PETI) in Indonesia: Policy and Program. Indonesian Mining Journal, ISSN 0854-9931, Volume 14 Number 1, February 2011, R&D Centre for Mineral and Coal Technology, tek MIRA).
[15]
Soelistijo, UW, (2012). Several evaluation and analytical indicators of regional autonomy implementation impacts in Indonesia: Energy and Mineral Resource Sector Development. Indonesian Mining Journal, ISSN 0854-9931, Volume 15 Number 2, June 2012, R&D Centre for Mineral and Coal Technology, tek MIRA).
[16]
Soelistijo, UW, (2013). Beberap aIndikator Nilai Tambah Ekonomi Indonesia: Sektor Energidan Sumber Daya Mineral (Several Indicators of the Indonesia Economy Added Value: Energy and Mineral Resource Sector). Jurnal Teknologi Mineral dan Batubara, ISSN 1979-6560, Vol. 9 No. 1, January 2013, Puslitbang Teknologi Mineral dan Batubara).
[17]
Soelistijo, UW, B. Santoso, T. Suseno, (2014). An Eye-Bird View of Facing Scarcity of Gold Mining in Indonesia. Scientia Research Library ISSN 2348-0416 USA CODEN: JASRHB Journal of Applied Science And Research, 2014, 2 (1):11.(http://www.scientiaresearchlibrary.com/arhcive.php)
[18]
Soelistijo, UW, L.O. Aswandi, (2014). “Future Trend of Mineral Industries Development in Indonesia.”Earth Science. Vol. 3, No. 2, 2014, pp. 58-67. doi: 10.11648/j.earth.20140302.14, 2014.
[19]
Soelistijo, UW, (2011). “Dinamika Penanaman Modal Asing (PMA) Bidang Pertambangan Umum di Indonesia”, Mimbar, Jurnal Sosialdan Pembangunan, Volume XXVII, No.1 (Juni 20111), Unisba.
[20]
Soelistijo UW, Mili MW, [2015]. Controlling and curb of development: The case of national management of Indonesia mineral resources. Resources. Social Sciences. Vol. 4, No. 1, 2015, pp. 5-22. doi10.11648/j.ss.20150401.12.
[21]
Soelistijo UW, PL Anjani, HI Pratama, Pili HL, Herdyanti MK, [2015). Trend of Mineral Commodity Price and its Impact on the Indonesia Economy 1990-2025. Earth Sciences. Vol. 4, No. 4, 2015, pp. 129-145.doi: 10.11648/j.earth.20150404.11.
