資源経済

[1K0501-05-05] An Input-output Approach in Evaluating Mining-related Industries in Indonesia

Rini Novrianti¹, ○Tsuyoshi Adachi¹ (1. Akita University)

Keywords:Input-output analysis, Backward linkage, Mining industry, Resources policy

Indonesia is a country that relies heavily on its mineral resources. Data from Central Bureau of Statistics (BPS) of Indonesia indicated that, averagely, mining sector contributes 10.70% towards Indonesia’s GDP from the year 2000 to 2014, and this economically share gets even bigger in certain mineral-rich districts. Not only domestically, but the mining sector also contributed significantly to international trade. During the period of 1995 to 2008, mineral commodities averagely contributed 24.57% towards Indonesia’s export.
The government of Indonesia had decided to set a new resource policy in order to better utilize the mining sector. Input-output table and linkage analysis showed the performance of mining-related sector within the economy. Forward linkage β, or degree of sensitivity, indicated the total gross output in an industry i required to produce a unit of final demand in every industry j. Backward linkage α, or power of dispersion, showed total gross output required to produce a unit of final demand in industry j. The mineral processing sector held the largest values of the mining-related sector for both forward and backward linkages, 1.0663 and 1.3250, respectively. Based on these values, the mineral processing sector held the highest ability to increase the growth of other sectors, and also to increase the productivity from the other sectors. When the government determined to boost the overall economy of Indonesia, the mineral processing sector should be considered as the prime sector.