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Environtmental, Social & Governance

PT AKR Corporindo Tbk

Involving Local Suppliers

In an effort to improve the surrounding communities’ economy, AKR strives to use and utilize services and materials that can be purchased from local suppliers, which in turn contributes to increasing the Domestic Component Level (TKDN). Local suppliers are those suppliers domiciled in the territory of Indonesia. AKR’s local suppliers are those who live around the Company’s operational areas.

AKR’s commitment to empowering local suppliers is primarily carried out in the Transportation and Storage business segment. By purchasing ships or sea transportation fleets, the Company’s Domestic Component Level (TKDN) reached 39.6%. By purchasing AKR Transportasi Indonesia (ATI) trucks or land transportation fleets, the Company’s Domestic Component Level (TKDN) has reached 100%. The Company’s Domestic Component Level (TKDN) achievement has fulfilled 30 to 35% of its obligation to TDKN set by the Government.

In the process, the goods and services procurement from local suppliers still considered several aspects, such as quality and function, as well as accountability. AKR has fulfilled its obligation to fulfill 30% - 35% of the Domestic Component Level (TKDN) set by the Government with the Domestic Component Level (TKDN) achievements for 2022 as follows: