House: Indonesia is Not Ready for AEC

Fitri Novia Heriani, Mahinda Arkyasa

Commission IV (Commission) of the House of Representatives (House) urged the Government to evaluate its policy on the implementation of ASEAN Economic Community 2015 (AEC).

Aria Bima, Deputy Chairman of the Commission, insisted on the re-evaluation because Indonesia’s domestic industry is not ready for AEC implementation.

 “There has to be an agreement between the Government and ASEAN officials regarding Indonesia’s master plan,” said Aria, Monday (1/4).

He explained that in addition to economic issues, AEC also involves political decisions and policies made by the Government.

Aria asserted that if the Government insisted on participating in AEC with an underprepared domestic industry, it will negatively impact entire Indonesia’s economy. In order to improve domestic industry competitiveness, as he explained, the Government must immediately resolve industry-related issues.

“This means improving domestic industry capabilities in export,” Aria said.

Meanwhile, the Ministry of Trade (Ministry) explained that there are issues that hamper the Government from improving the country’s readiness for AEC implementation.

Bachrul Chairi, Director General of International Trade at the Ministry, stated that “one of the issues that hinders Indonesia readiness to implement AEC is the incompatibility between national laws and regulations and the goals that ASEAN is trying to achieve.”

The Director General also said that AEC is not the same as the ASEAN Free Trade Area. He explained that AEC is not only focused on building an economic community, but it also aims to establish international socio-political relations.

Bachrul concluded that between 2008 and 2013, Indonesia has been preparing for AEC implementation and has completed 290 out of 358 steps stipulated in the AEC Blueprint.

(jt)

Fitri Novia Heriani, Mahinda Arkyasa

Commission IV (Commission) of the House of Representatives (House) urged the Government to evaluate its policy on the implementation of ASEAN Economic Community 2015 (AEC).

Aria Bima, Deputy Chairman of the Commission, insisted on the re-evaluation because Indonesia’s domestic industry is not ready for AEC implementation.

 “There has to be an agreement between the Government and ASEAN officials regarding Indonesia’s master plan,” said Aria, Monday (1/4).

He explained that in addition to economic issues, AEC also involves political decisions and policies made by the Government.

Aria asserted that if the Government insisted on participating in AEC with an underprepared domestic industry, it will negatively impact entire Indonesia’s economy. In order to improve domestic industry competitiveness, as he explained, the Government must immediately resolve industry-related issues.

“This means improving domestic industry capabilities in export,” Aria said.

Meanwhile, the Ministry of Trade (Ministry) explained that there are issues that hamper the Government from improving the country’s readiness for AEC implementation.

Bachrul Chairi, Director General of International Trade at the Ministry, stated that “one of the issues that hinders Indonesia readiness to implement AEC is the incompatibility between national laws and regulations and the goals that ASEAN is trying to achieve.”

The Director General also said that AEC is not the same as the ASEAN Free Trade Area. He explained that AEC is not only focused on building an economic community, but it also aims to establish international socio-political relations.

Bachrul concluded that between 2008 and 2013, Indonesia has been preparing for AEC implementation and has completed 290 out of 358 steps stipulated in the AEC Blueprint.

(jt)

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