Indonesia’s IP Outlook Business Insights
Indonesia’s 2025 IP Outlook marks a turning point in how intellectual property is valued, protected, and leveraged for economic growth. Here we’ll discuss key insights from this latest government whitepaper, highlighting trends in intangible investment, regulatory transformation, and strategic opportunities for businesses.
Fuelling Competitiveness Through IP
The Directorate General of Intellectual Property’s (DGIP) 2025 whitepaper outlines Indonesia’s strategic direction for IP development. The document reflects a decade of transformation – from digitising IP services to recognising IP assets as collateral for credit.
The whitepaper arrives at a time when global investment in intangible assets – such as software, databases, patents, and brands – is outpacing tangible investment by a factor of three. According to the World Intangible Investment Highlights 2025, global intangible investment grew at a CAGR of 4.1% from 2008–2024—3.7 times faster than tangible investment.
Indonesia is aligning with this trend, with domestic IP filings growing from 74,893 in 2015 to over 339,000 in 2024.
IP as a Strategic Asset
The whitepaper identifies several critical developments:
| Digital Transformation | Indonesia’s IP services have undergone significant digitisation, improving speed, transparency, and accessibility. |
| IP as Collateral | A landmark policy now allows IP certificates to be used as loan guarantees, backed by valuation methodologies developed with financial regulators. |
| Domestic Dominance | Over 86% of IP filings originate from within Indonesia, with copyright and trademarks leading the surge. |
| UMKM Empowerment | Small and medium enterprises (UMKM) dominate filings, especially in food, fashion, and hospitality sectors. |
| Geographical Indications (GI) | Indonesia is expanding its GI portfolio, with products like Kopi Gayo and Garam Amed Bali gaining international recognition. |
| Academic Contributions | Universities are emerging as significant contributors in copyright and design filings, indicating a growing innovation culture. |
| IP Enforcement Challenges | The rise of digital platforms has increased IP infringement risks, with 2023–2024 seeing record complaints. |
Why It Matters
For SKC Law’s clients these developments are more than policy shifts. They represent:
- New financing pathways: IP-backed lending opens doors for innovation-driven enterprises.
- Market differentiation: Strong IP portfolios are essential for brand protection and competitive positioning.
- Compliance and risk management: As enforcement intensifies, businesses must ensure their IP strategies align with the latest regulations.
- Strategic localisation: With domestic filings surging, we recommend that foreign entities adapt to local practices and seek Indonesian expertise for a more accurate understanding of the local landscape.
Strategic Insights & Practical Takeaways
1. Prioritise IP Valuation and Monetisation
Businesses should explore how their IP assets—especially trademarks and copyrights—can be valued and used strategically, including as collateral.
2. Strengthen IP Portfolios in High-Growth Sectors
Food, fashion, and hospitality are leading categories for UMKM filings. Corporations operating in these sectors should audit and expand their IP coverage to stay competitive.
3. Engage with Indonesia’s GI Framework
For clients with regionally distinctive products, GI registration offers legal protection and market prestige.
4. Prepare for Digital Enforcement
With infringement increasingly occurring online, businesses must adopt proactive monitoring and enforcement strategies.
5. Collaborate with Academia and SMEs
Partnerships with universities and small businesses create opportunities to explore innovation and foster IP creation.
6. Leverage SKC Law’s EODB Advantage
Ease of doing business (EODB) remains a challenge in Indonesia. SKC Law’s streamlined processes, fixed-fee structures, and local expertise can offer you a competitive edge.
Contact us today to schedule a portfolio review or explore how your IP can drive commercial growth in 2025 and beyond.
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