As of March 2021, the number of manufacturing activities reserved for indonesian-owned SMEs [foreign-invested companies do not qualify as SMEs because of minimum capital requirements] has been considerably reduced, and only a few ones remain closed to FDI. Some others are subject to partnership agreements. For the purposes of the OECD FDIRRI, such a partnership requirement is assumed equivalent to a 'local content requirement' because it does not necessary impose an equity partnership or joint-venture obligation. The partnership requirement may be satisfied in the form of a contractual profit sharing, operational cooperation (kerja sama operasional), outsourcing, distribution or subcontracting arrangement, remains applicable.
"APPENDIX II - REGULATION OF THE PRESIDENT OF THE REPUBLIC OF INDONESIA NUMBER 49 OF 2021 CONCERNING AMENDMENT TO PRESIDENTIAL REGULATION NUMBER 10 OF 2021 CONCERNING THE INVESTMENT BUSINESS SECTOR
LIST OF BUSINESS FIELDS ALLOCATED OR PARTNERSHIPS WITH COOPERATIVES AND MICRO, SMALL, AND MEDIUM ENTERPRISES
- Soybean Processing Industry: Soybean Tempe Industry, Soybean Tofu Industry [see 2019 restrictions below]: Reserved for domestic SMEs
- Fish Wet Preservation (Pemindangan) Industry [see 2019 restrictions below]: Reserved for domestic SMEs
- Salt Processing Industries that already acquired Geographical Indications: Amed Bali Salt, Mount Krayan salt, Kusamba Bali salt: [see 2019 restrictions below]: Reserved for domestic SMEs [new]
[...]
- Coffee Processing Industry that already acquired Geographical Indications: [see 2019 restrictions below]: 100% domestic capital. [new]
- Rendang Industry (traditional Indonesian dish): [see 2019 restrictions below]: 100% domestic capital. [new]
- Crackers, Chips, Peyek Industry and the like (Manufacturing and Non- Manufacturing): [see 2019 restrictions below]: 100% domestic capital 
[...]
- Fishery Product Processing Business (Usaha Pengolahan Hasil Perikanan/UPI): Salting / Drying Fish and Other Aquatic Biota; Smoking Fish and Other Aquatic Biota; Fermenting Fish and Other Cooked Products (for fish extraction and jelly business); Ground and Surimi Meat-Based Industry: [see 2019 restrictions below]: Partnership [with local SMEs]
- Fish Canning: [see 2019 restrictions below]: Partnership [with local SMEs]
- Food Industry from Soybeans and Beans Other than Soy Sauce, Tempe and Tofu [see 2019 restrictions below]: Partnership [with local SMEs]
- Essential Oil Industry: [see 2019 restrictions below]: Partnership [with local SMEs]
- Sugar Industry: [see 2019 restrictions below]: Partnership [with local SMEs] [...]" (Presidential Regulation (PERPRES) No. 49 of 2021 Concerning Amendments to Presidential Regulation Number 10 of 2021 concerning Investment Business Fields [google translation])
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"CHAPTER I - GENERAL PROVISIONS
Article 1
In this Agency Regulation what is meant by: [...]
12. Domestic Investment, hereinafter abbreviated as PMDN, is an investment activity to conduct business in the territory of the Republic of Indonesia carried out by Domestic Investors using domestic capital.
13. Foreign Investment, hereinafter abbreviated as PMA, is an investment activity to carry out business in the territory of the Republic of Indonesia carried out by Foreign Investors, both those who use foreign capital completely and those who jointly with Domestic Investors. [...]
41. Micro and Small Enterprises, hereinafter referred to as UMK, are micro and small enterprises as referred to in the Law on Micro, Small and Medium Enterprises.
[...]
Part Two - Business Licensing Applicant
Article 9
(1) Business Actors who can apply for a Business Permit consist of: a. natural person; b. business entity; c. representative office; and D. foreign business entity. [...]
(8) Investments made by business entities as referred to in paragraph (1) letter b are categorized into PMDN and PMA.
(9) The PMA as referred to in paragraph (8) must be in the form of a limited liability company under Indonesian law and domiciled in the territory of the Unitary State of the Republic of Indonesia, unless otherwise stipulated by law.
[...]
Part Four Provisions on Investment Value and Capital
Part 1 - UMK-M [SME]
Article 11
(1) Provisions on the value of investment and capital for complying with the criteria for business capital as stipulated in the government regulation concerning facilitation, protection and empowerment of cooperatives and micro, small and medium enterprises.
(2) The criteria for business capital as referred to in paragraph (1) are regulated as follows:
a. micro businesses have business capital up to a maximum of IDR 1,000,000,000.00 (one billion rupiah) excluding land and buildings for business premises;
b. small business has business capital of more than IDR 1,000,000,000.00 (one billion rupiah) up to a maximum of IDR 5,000,000,000.00 (five billion rupiah) excluding land and buildings for business premises; And
c. medium enterprises having business capital of more than IDR 5,000,000,000.00 (five billion rupiahs) up to a maximum of IDR 10,000,000,000.00 (ten billion rupiahs) excluding land and buildings for business premises.
Part 2 - Big Business
Article 12
(1) Business entities as referred to in Article 9 paragraph (1) letter b classified as PMA [foreign-invested companies] are categorized as large businesses and are required to comply with minimum investment value provisions, unless otherwise stipulated by laws and regulations.
(2) Provisions for the minimum investment value for PMA as referred to in paragraph (1), namely the total investment is greater than IDR 10,000,000,000.00 (ten billion rupiah), excluding land and buildings per business sector KBLI 5 (five) digits per project location. [...]
(6) In addition to the provisions on the minimum investment value as referred to in paragraph (2), for PMA, minimum capital requirements are regulated.
(7) The minimum capital requirements for PMA as referred to in paragraph (6) are issued/paid up capital of at least IDR 10,000,000,000.00 (ten billion rupiah), unless otherwise stipulated by laws and regulations.[...]" (REGULATION OF THE INVESTMENT COORDINATING BOARD OF THE REPUBLIC OF INDONESIA NUMBER 4 OF 2021 CONCERNING GUIDELINES AND PROCEDURES FOR RISK-BASED BUSINESS LICENSING AND INVESTMENT FACILITIES [google translation])
-----------------------------------
"Part Two - Partnership Patterns
Paragraph 1 - General
Article 104
(1) Partnerships between Micro Enterprises, Small Enterprises and Cooperatives with Medium Enterprises and large enterprises shall be carried out by taking into account the principle of partnership and upholding sound business ethics.
(2) The principle of partnership as referred to in paragraph (1) includes the principle of mutual:
a. need;
b. trust;
c. strengthen; And
d. profitable.
[...]
Article 105
(1) The partnership includes the process of transferring skills in the fields of production and processing, marketing, capital, human resources and technology in accordance with the partnership pattern.
(2) Transfer of skills as referred to in paragraph (1) is provided through training, capacity building, apprenticeship and mentoring to Micro and Small Enterprises.
Article 106
(1) The partnership as referred to in Article 105 is carried out through the pattern of:
a. plasma-nucleus;
b. subcontract;
c. franchise;
d. general trading;
e. distribution and agency;
f. supply chain; And
g. other forms of partnership.
(2) Other forms of partnership as referred to in paragraph (1) letter g, at least:
a. profit sharing;
b. operational cooperation;
c. joint venture (joint uenfitre); And [...]" (GOVERNMENT REGULATION OF THE REPUBLIC OF INDONESIA NUMBER 7 YEAR 202I REGARDING EASE, PROTECTION AND EMPOWERMENT OF COOPERATIVES AND MICRO, SMALL AND MEDIUM ENTERPRISES [google translaiton])
-----------------------------------
Previously
-----------------------------------
"APPENDIX II - REGULATION OF THE PRESIDENT OF THE REPUBLIC OF INDONESIA NUMBER 44 YEAR 2016 CONCERNING LISTS OF BUSINESS FIELDS THAT ARE CLOSED TO AND BUSINESS FIELDS THAT ARE OPEN WITH CONDITION TO INVESTMENT
LIST OF BUSINESS FIELDS THAT ARE OPEN WITH CONDITIONS: RESERVED FOR OR IN PARTNERSHIP WITH MICRO, SMALL, AND MEDIUM-SCALE ENTERPRISES AND COOPERATIVES
[Manufacturing - food and others]
- Business with specific capacities (Crude vegetable and animal oils industry (edible oils), Copra, fiber, coconut shell charcoal, dust, nata de coco industry, Coconut oil Industry, Palm oil Industry, Cotton seeds Industry, Peeling, cleaning, drying, and sorting of plantation products Industry (cocoa and coffee beans) Industry, Cashew for dried cashew nut and cashew nut shell liquid (CNSL) Industry, Peppercorn for dried white peppercorn and dried black peppercorn Industry, Cane sugar, sugar cane top and sugar cane bagasse Industry, Black tea/green tea Industry, Dried tobacco leaves Industry, Rubber for sheet, concentrated latex Industry, Jatrophacurcas oil industry [...] Fish preservation industry, Soybean tempe industry, Soybean tofu industry, Moist Cake industry, Industry of food from soybean and legumes, other than soya sauce, tempe, and tofu, Industry of crackers, chips, crispy peanut fritters (peyek), and the like, Red sugar industry, Tuber peeling and cleaning industry, [...]: Reserved for SMEs.
- Fishery product processing business : salting/drying of fish and other water biota industry, Fishery product processing business : smoking fish and other water biota industry, Fishery product processing business : yeasting/fermentation fish and other cooked products (for extraction and fish jelly)industry, Fishery product processing business : Minced fish and surimi processing-based industry, [...] Pickled fruits and vegetables industry, Soy sauce industry , Powdered and sweetened condensed milk industry, Dried tobacco and processed tobacco industry, [...] Manufacture of jewelry articles of precious metal for personal use, Manufacture of jewelry articles of precious metal for non-personal use, Manufacture of jewelry articles of non-precious metal for non-personal use, Precious stone industry, Handicraft industry that is not classified elsewhere, Sugar Industry (white crystal sugar, refined crystal sugar and raw crystal sugar) based on partnership in the form of nucleus plasma, in an area 20% of the farmland area.: Partnership [with local SMEs]
[...]
APPENDIX III - REGULATION OF THE PRESIDENT OF THE REPUBLIC OF INDONESIA NUMBER 44 YEAR 2016 CONCERNING LISTS OF BUSINESS FIELDS THAT ARE CLOSED TO AND BUSINESS FIELDS THAT ARE OPEN WITH CONDITION TO INVESTMENT - 
LIST OF BUSINESS FIELDS THAT ARE OPEN UNDER SPECIFIC CONDITIONS [...]
B. Industrial Sector
- Clove cigarette industry, Regular cigarette industry, Other cigarette industry: Subject to the recommendation from the Ministry of Industry: a. For business expansion, it is only cigarette industry that already has Industrial Business License (IUI) in similar business fields; or b. For new investment, only small and medium-scale cigarette industry that partners with large-scale cigarette industry that already has Industrial Business License in similar business field. [...]"(PRESIDENTIAL REGULATION OF THE REPUBLIC OF INDONESIA NUMBER 44 YEAR 2016 CONCERNING LISTS OF BUSINESS FIELDS THAT ARE CLOSED TO AND BUSINESS FIELDS THAT ARE OPEN WITH CONDITIONS TO INVESTMENT)
-----------------------------------
"CHAPTER I - GENERAL PROVISIONS
Article 1. Referred to herein as: [...]
13. Partnership shall be cooperation in business linkage, both directly and indirectly, based on mutual need, trust, consolidation, and benefit principles engaging actors of Micro, Small, and Medium Enterprises as well as Large Enterprises.
[...]
CHAPTER V - BUSINESS CLIMATE ENGENDERING
Article 7. (1) The Government and Regional Governments shall engender Business Climate by stipulating laws and regulations as well as policies that include the following aspects: [...] d. partnership; 
[...]
Article 11. Partnership aspect as intended in Article 7 paragraph (1) sub-paragraph d shall be aimed at: a. materializing partnership among Micro, Small, and Medium Enterprises; b. materializing partnership among Micro, Small, Medium, and Large Enterprises; c. stimulating mutual benefit relationship in the implementation of business transactions among Micro, Small, and Medium Enterprises; d. stimulating mutual benefit relationship in the implementation of business transactions among Micro, Small, Medium, and Large Enterprises; e. developing cooperation to improve bargaining position of Micro, Small, and Medium Enterprises; f. stimulating the formation of market structure that guarantees the growth of fair business competition and protect consumers; and g. preventing the occurrence of market control and business concentration by individual persons or certain groups that harms Micro, Small, and Medium Enterprises.
[...]
CHAPTER VIII - PARTNERSHIP
Article 25. [...] (2) Partnership among Micro, Small, and Medium Enterprises and Partnership between Micro, Small, and Medium Enterprises and Large Enterprises shall include skill transfer process in the field of production and processing, marketing, capitals, human resources, and technology. 
[...]
Article 26. Partnership shall be conducted under the following systems: a. core-plasma; b. subcontract; c. franchise; d. general trade; e. distribution and agency; and f. other forms of partnership, such as: profit sharing, operational cooperation, joint venture, and outsourcing. [...]" (Government Regulation Number 17 Year 2013 concerning Implementation of Law Number 20 Year 2008 concerning Micro, Small, and Medium-scale Enterprises [google translation])
Presidential Regulation (PERPRES) No. 49 of 2021 Concerning Amendments to Presidential Regulation Number 10 of 2021 concerning Investment Business Fields [google translation]
REGULATION OF THE INVESTMENT COORDINATING BOARD OF THE REPUBLIC OF INDONESIA NUMBER 4 OF 2021 CONCERNING GUIDELINES AND PROCEDURES FOR RISK-BASED BUSINESS LICENSING AND INVESTMENT FACILITIES [google translation]
GOVERNMENT REGULATION OF THE REPUBLIC OF INDONESIA NUMBER 7 YEAR 202I REGARDING EASE, PROTECTION AND EMPOWERMENT OF COOPERATIVES AND MICRO, SMALL AND MEDIUM ENTERPRISES [google translaiton]
PRESIDENTIAL REGULATION OF THE REPUBLIC OF INDONESIA NUMBER 44 YEAR 2016 CONCERNING LISTS OF BUSINESS FIELDS THAT ARE CLOSED TO AND BUSINESS FIELDS THAT ARE OPEN WITH CONDITIONS TO INVESTMENT
Government Regulation Number 17 Year 2013 concerning Implementation of Law Number 20 Year 2008 concerning Micro, Small, and Medium-scale Enterprises [repealed by Government Regulation (PP) Number 7 of 2021 on Ease, Protection, and Empowerment of Cooperatives and Micro, Small, and Medium Enterprises] [google translation]
[<a href="https://peraturan.bpk.go.id/Home/Details/168534/perpres-no-49-tahun-2021">PR49</a>],[<a href="https://peraturan.bpk.go.id/Home/Details/161806/perpres-no-10-tahun-2021">PR10</a>],[<a href="https://jdih-storage.bkpm.go.id/jdih/userfiles/documents/2021/10/2021PerBKPM004.pdf">Reg</a>],[<a href="https://peraturan.bpk.go.id/Home/Details/161837/pp-no-7-tahun-2021">Reg</a>],[<a href="https://peraturan.bpk.go.id/Home/Details/40374/perpres-no-44-tahun-2016">PR44</a>],[<a href="https://peraturan.bpk.go.id/Home/Details/5349/pp-no-17-tahun-2013">Reg</a>]