House of Representatives Commission VI Visits Phapros, Calls for Stronger National Pharmaceutical Self-Reliance

Semarang, July 10, 2026 – PT Phapros Tbk, a leading pharmaceutical company in Indonesia, welcomed a specific working visit by Commission VI of the Indonesian House of Representatives (DPR RI) at its Simongan plant in Semarang on Friday (July 10). The visit was also attended by representatives of BP BUMN, PT Danantara Asset Management, PT Bio Farma (Persero), and PT Kimia Farma (Persero) Tbk as part of oversight of governance in state-owned pharmaceutical enterprises and efforts to strengthen national pharmaceutical self-reliance.

One of the visit's focuses was assessing progress in replacing imported pharmaceutical raw materials with locally produced alternatives within Kimia Farma Group, while reviewing Phapros' operational readiness and performance as a strategic facility supporting domestic pharmaceutical production.

Dr. Anggia Erma Rini, M.K.M., Chair of Commission VI of the DPR RI and head of the delegation visiting the Phapros plant, noted that Indonesia remains relatively dependent on imported pharmaceutical raw materials. This poses a challenge to pharmaceutical self-reliance. She emphasized the need to optimize locally available raw materials, including developing herbal-based ingredients and utilizing Indonesia's biodiversity, supported by strong research, as alternatives to imports.

“Synergy among ministries and state-owned enterprises in the pharmaceutical sector needs to be strengthened, particularly between the Ministry of Health, the Ministry of Industry, and Bio Farma Group, so that policies genuinely support the use of domestically produced products. The use of nationally manufactured medicines in government programs must also be increased. The government needs accurate data on the proportion of domestic medicines used in national healthcare programs,” Anggia said.

She added that state-owned pharmaceutical enterprises must keep improving their competitiveness. As competition intensifies, relying on existing markets alone is no longer sufficient; product innovation, new product development, and quality improvement are vital to compete with imported products.

During the visit, Commission VI also sought to assess the effectiveness of cooperation between BP BUMN, Danantara Indonesia, and Bio Farma Group in asset management and investment financing for the upstream pharmaceutical industry. Structural obstacles faced by domestic pharmaceutical raw-material manufacturers—including economies of scale, technology, and human resources—were also discussed.

Through direct observation and dialogue with relevant stakeholders, Commission VI sought a factual picture of cooperation across the ecosystem, from central government policy and Danantara's asset management to domestic production capacity, research commercialization, technology, and collaboration among state-owned pharmaceutical companies.

Strengthening the Financial Position of State-Owned Pharmaceutical Companies

At the same event, Febriani Eddy, Managing Director of Business at PT Danantara Asset Management, stated that pharmaceutical self-reliance must begin with stronger financial conditions among companies. She noted that Danantara had 21 strategic programs in 2025, including a program to restore the health of state-owned pharmaceutical enterprises that would continue into the following year.

Febriani also highlighted the importance of economies of scale in developing domestic pharmaceutical raw materials. In her view, pharmaceutical industry self-reliance must be achieved gradually through a sustainable industrial ecosystem.

PT Phapros Tbk, the principal site of Commission VI's visit, has operated in Semarang since 1954 and currently manufactures more than 200 pharmaceutical products. Its flagship product Antimo leads its category. In addition to supplying the domestic market, Phapros engages in contract manufacturing and has exported to Cambodia since 2013, making its production facilities relevant to the wider national pharmaceutical supply chain.

The visit also included a discussion of the National Pharmaceutical Industry Resilience Strategy presented by Shadiq Akasya, President Director of PT Bio Farma (Persero). Attendees included the Deputy for State-Owned Enterprise Value Enhancement at BP BUMN, Endra Gunawan; President Director of PT Kimia Farma (Persero) Tbk, Djagad Prakasa Dwialam; and President Director of PT Phapros Tbk, Intan Abdams Katoppo.

As a subsidiary of PT Kimia Farma (Persero) Tbk, Phapros recorded net profit of IDR 761.5 million in the first quarter of 2026. This performance was presented as an indicator of the company's strengthening position in supporting the transformation and competitiveness of the state-owned pharmaceutical industry.