"It would be better if we can sell our franchise business to the international market, while we also buy into foreign franchisees," Kadin's Deputy Chairman for Trade Benny Soetrisno said here Thursday.
With the creativity of young entrepreneurs, he was optimistic about the potential of the local franchise. He cited the example of the rapidly growing coffee-based business led by young entrepreneurs which is being managed creatively.
"I hope there will be new players to take their turn," he added.
Meanwhile, Chairperson of the Association of Indonesian Franchise and License (WALI) Levita Ginting Supit said that the local franchise business has the potential to be expanded overseas.
WALI has actively encouraged and facilitated local franchisees to promote their business through various exhibitions.
"Our target is to encourage local franchisees to expand the business overseas. J-Co (Indonesian donuts restaurant chain) has entered Riyadh and Alfamart (retailers) has been expanded to China," she added.
The association has encouraged locals to be well-prepared before entering the international market, she added.
"We have the training to help them prepare their business. We are also inviting franchisees to participate in exhibitions abroad," she said.
The number of such businesses in Indonesia is predicted to reach 2,000, of which 60 percent is local.
Some 40 percent of Indonesian franchise businesses is in the food and beverages sector.
The franchise business recorded a total turnover of Rp150 trillion (US$10.38 billion) in 2018.