SPATIAL ECONOMIC STUDY OF INDUSTRIAL REGIONAL DEVELOPMENT IN SIMALUNGUN DISTRICT

Abstract

This article is part of the project to compile the Simalungun Regency Industrial Development Plan (RPIK). as a form of tridharma activities of Simalungun University lecturers. The research aims to find out and analyze what is the target of industrial regionalization which is realized from the development of the Industrial Growth Center Area (WPPI), the development of Industrial Designation Areas (KPI), the development of Regional Industrial Estates (KI) and the development of Small and Medium Industrial Centers (Sentra SME). The research concluded: (1) Based on the approach of industrial allotment land area in the RTRW, the availability of raw materials, labor and supporting infrastructure that Tapian Dolok Sub-district and Bandar Sub-district have the most potential to immediately become an industrial area as an SME Center in; (2) The types of commodities that are directed to be developed at KI in Tapian Dolok Sub-district include Food / Beverage Processing SME Centers, Agricultural Machinery / Equipment Industry, Rubber Processing Industry; and Plastic Processing Industry. Meanwhile, KI in Bandar Sub-district is directed to develop Food/Beverage Processing SME Centers, the Furniture Industry, the Rubber Processing Industry, and Paving Blocks. Meanwhile, in the other 9 sub-districts, the existing and potential SME centers should continue to be developed. It is recommended that the indicators of the success of Industrial Development in the Simalungun RPIK 2023-2043 and its 7 targets, which are expected to achieve double-digit growth from average growth of 9 percent in 2021 to around 11 percent in 2042 and the contribution of the industrial sector in GRDP to reach 20 percent (from 11.58 percent in 2021 will increase to around 32 percent in 2042), can only be achieved if the industrial regionalization program is immediately implemented.