Fitri Novia Heriani, Yanuar Pribadhie
Even though Indonesia is not currently under any major economic crisis, many commentators are of the view that the Government is failing to implement proper policies to better deal with Indonesia’s current economic circumstances.
Dwi Andreas Santoso, professor at the Bogor Agricultural Institute (Institut Pertanian Bogor IPB) cites the Government’s policy on food imports as an example. According to Dwi, food imports are a major contributor to inflation. Despite that being the case, the Government is not properly controlling and limiting food imports.
Dwi asserts that if the Government does not immediately take better control over food imports, Indonesia could potentially suffer multidimensional crises as previously occurred in 1997-1998.
“We are very dependent on imports. Moreover, climate problems will force Indonesia to keep importing food. This will potentially lead potential to multidimensional crises,” said Dwi in Jakarta on Wednesday.
Dwi is of the view that the situation could worsen as the sovereignty of domestic farmers has been harmed by the policies of previous administration. For example, Dewi explained, international trade policies continue to harm local farmers.
“In China, rate stability at the farmer-level is maintained, so that if a crisis happens, society would not be affected,” Dwi explained.
Hendri Saparini, Executive Director of the Centre of Reform on Economics (CORE), sees that current conditions have been caused by a failure of the Government to review the policies of previous administrations. Hendri emphasizes that policy review is important to avoid repeating the same mistakes.
Taking the WTO- related policies as an example, Hendri notes that other WTO members are able to implement policies to protect their domestic food supply.
A different set of circumstances exists in Indonesian where the Government is obsessed with importing food even though the WTO allows its members to impose high tariffs on imported agricultural products.
“The government always thought that this policy is the best they have done so that they are not willing to review it. If we want to save our economy, the Government should implement policies that are in favor of farmers and the agricultural industry,” believes Hendri.
(hot/kc)
Fitri Novia Heriani, Yanuar Pribadhie
Even though Indonesia is not currently under any major economic crisis, many commentators are of the view that the Government is failing to implement proper policies to better deal with Indonesia’s current economic circumstances.
Dwi Andreas Santoso, professor at the Bogor Agricultural Institute (Institut Pertanian Bogor IPB) cites the Government’s policy on food imports as an example. According to Dwi, food imports are a major contributor to inflation. Despite that being the case, the Government is not properly controlling and limiting food imports.
Dwi asserts that if the Government does not immediately take better control over food imports, Indonesia could potentially suffer multidimensional crises as previously occurred in 1997-1998.
“We are very dependent on imports. Moreover, climate problems will force Indonesia to keep importing food. This will potentially lead potential to multidimensional crises,” said Dwi in Jakarta on Wednesday.
Dwi is of the view that the situation could worsen as the sovereignty of domestic farmers has been harmed by the policies of previous administration. For example, Dewi explained, international trade policies continue to harm local farmers.
“In China, rate stability at the farmer-level is maintained, so that if a crisis happens, society would not be affected,” Dwi explained.
Hendri Saparini, Executive Director of the Centre of Reform on Economics (CORE), sees that current conditions have been caused by a failure of the Government to review the policies of previous administrations. Hendri emphasizes that policy review is important to avoid repeating the same mistakes.
Taking the WTO- related policies as an example, Hendri notes that other WTO members are able to implement policies to protect their domestic food supply.
A different set of circumstances exists in Indonesian where the Government is obsessed with importing food even though the WTO allows its members to impose high tariffs on imported agricultural products.
“The government always thought that this policy is the best they have done so that they are not willing to review it. If we want to save our economy, the Government should implement policies that are in favor of farmers and the agricultural industry,” believes Hendri.
(hot/kc)