JSA 2Volume 4, No. 7 July 2023

p-ISSN 2722-7782 | e-ISSN 2722-5356

DOI: https://doi.org/10.46799/jsa.v4i8.624

 

INDONESIA'S STATE POLICY IN RESOLVING INTERNATIONAL TRADE BARRIERS

 

Dodi Sugianto

Fakultas Hukum, Magister Hukum Universitas Pamulang, Sekolah Tinggi Ilmu Pelayaran

Email: [email protected]

 

Abstract

This Journal article aim for study and analyze policies that have taken by the Indonesian government in finish obstacle trading international. we will see How policy the implemented, the impact to Indonesian economy, as well challenges faced in the process of implementation. Study This use method qualitative with library research approach. Method qualitative chosen Because study This aim for study Indonesian state policy in finish obstacle trading international in a manner thorough and deep. Through method this, researcher can collect and analyze relevant secondary data from various available sources, e.g., article journals, books, documents official government, and reports organization international related trade. Research results This conclude that Indonesia's role in dispute trading international is very important in protect interest economy and promote dialogue and cooperation with partner countries the trade. Through participation in WTO mechanisms, bilateral diplomacy, and roles as intermediary, Indonesia is trying for finish dispute trading with fair and profitable way for all involved parties.

 

Keywords: State Policy, Barriers, Trade International

INTRODUCTION

Trading international play role important in global economy. In the era of globalization this, countries mutually related and dependent One each other inside matter trade, investment, and exchange goods and services. However, trade the international community is also often faced with various possible obstacles and challenges hinder growth economy and development a country (Malik, 2017).

Indonesia as one of the countries with growing economy rapidly also face various obstacle trading necessary international handled in a manner effective. Obstacles This can originate from various factor, like difference regulations, tariffs high imports, non- tariff barrier, and conflict trading between countries (Kaparang, 2019).

For handle obstacles these, the Indonesian government has taken various policy purposeful trading for increase market access, protect interest national, and encourage growth sustainable economy. Policies This designed for create environment conducive trade, improve Power competitive, and strengthen Indonesia's position in the global market (Maryansyah, 2018).

Journal article This aim For study and analyze policies that have taken by the Indonesian government in finish obstacle trading international . we will see How policy the implemented, the impact to Indonesian economy, as well challenges faced in the process of implementation.

Through deep understanding about policy Indonesian trade, expected article This can give valuable insight about internal state efforts overcome obstacle trading international. With more understanding Good about policies this, can built more strategies effective in face challenge and exploit opportunities that exist in the global market.

In article this, author will analyze policy Indonesian trade in two aspects Main: deletion obstacle tariff and non- tariff, as well settlement conflict trade. Besides that, we will also discuss effort government for strengthen regional and international cooperation in framework facilitate more trade smooth and sustainable.

Expected that results from article This can give useful contribution for makers policy, academics, and stakeholders interest economy other in understand and improve Indonesia's efforts in finish obstacle trading international.

 

METHODOLOGY

Study This use method qualitative with library research approach . Method qualitative chosen Because study This aim For study Indonesian state policy in finish obstacle trading international in a manner thorough and deep . Through method this, researcher can collect and analyze relevant secondary data from various available sources, eg article journals, books, documents official government, and reports organization international related trade.

data collection process begins with identification relevant and related sources with topic research. sources This covers article journal related policy trading international , book references , documents official government related policy trades , and reports from organization international such as the World Trade Organization (WTO) and the United Nations Conference on Trade and Development (UNCTAD).

Next , researchers do analysis on the data collected . Analysis done with identify patterns , trends , and changes in policy Indonesian trade . Researchers are also looking linkages between policy implemented trading with achieved results in finish obstacle trading international.

During the analysis process, researchers use approach inductive for dig findings new and acquire more understanding in about policy Indonesian trade. Researchers also do data synthesis for formulate findings relevant principal with objective research.

Research results This will served in form comprehensive narrative.All data and findings will organize in a manner logical and presented in relevant chapters.Analysis results will discussed For describe How policies Indonesian trade has succeed overcome obstacle trading international .

However , it is necessary remembered that study This own limitation certain . Limitations the covers reliance on secondary data that has been available , which is possible own limitations in coverage and details . Besides it, interpretation and analysis researcher can influence results research, because it is necessary caution in interpret findings study.

With utilize method qualitative and library research approach, research This expected can give comprehensive picture about Indonesian state policy in finish obstacle trading international. Research results This can become source valuable information for maker policy, academics, and stakeholders interest others who are interested with issue trading international and effort Indonesia will settle it.

 

RESULTS AND DISCUSSION

Obstacles In Indonesian Trade

The scope that can be categorized as as obstacle in trading international really broad . And it is possible a country uses rates as a trading strategy . The rate in question is something obligation or must tax paid to imported product. Country is also possible For apply non- tariff barriers . Non- tariff barriers the in a manner potential Can happened . Obstacle This have various meanings and forms . As example: subsidy government, administrative rules and procedures specification no technical necessary. In the end the state got raises discrimination that has an impact on less import activities competitive and/ or protectionist .

Obstacle trading in a manner general depicted as restrictions imposed by the government of the country concerned to trading international . Obstacle the own various form, including:_(Aisya, Koeshendrajana, & Hartono, 2017)

1. Obligations in import (import duties);

2. License import (import licenses);

3. License export ( export licenses);

4. Taxes import (import taxes);

5. Quota (quota);

6. Tariffs;

7. Subsidies , in general through policies in the field agriculture (subsidies);

8. Non- tariff barriers in trade (non-tariff barriers to trade).

Most obstacle trading Work through same principle i.e. loading costs certain in trading so that Can raise price traded products. Experts� economy agree that obstacle trading can destroy and degrade efficiency economy in a manner whole as put forward in the theory of comparative advantage (Oktaviani & Novianti, 2021).

Rule in the GATT, in particular in matter obstacle trading can sorted into 2 parts as following :

1. Focused on obstacles trading national , for example instrument

policies used government the to �split� the regime trading outside his country. In other words, obstacles the of course on purpose made For give profit for the country 's trade . Rule the customized with levels and grades distortion caused trade obstacle the. Distortion the seen more big and growing clear position in specification obstacle trade . Leave from point reject the, classification obstacle can sort as following: restriction quantitative, rates, practice discrimination, non-tariff barriers, practices trading that is not honest, and other related actions with aspect trade, for example right riches intellectual, protection investment, and protection certain to public (Sinaga, 2014) safety.

2. On the skeleton GATT work 1994, problems obstacle trading endeavored For Keep going reduced category namely: prohibition discrimination, responses to obstacle trading international, responses to obstacle No trading, and response to practice fraudulent trading.

In obstacle trading international known 2 (two) forms obstacle trading international namely :

1. Tariff Barriers

Obstacle tariff, is obstacle trading international duty charged entry (tax) custom duties against goods that cross national borders. kindly history , negotiations in the field rates is GATT has handled the longest . Since again , every the GATT (GATT Round of Multilateral Trade Negotiation-MTN) negotiations lower duty into a GATT member country . A number of results real seen in the results manufacturing . Average fare For results manufacturing used by developed countries to import at the end of the Tokyo round , namely in 1949 by 4.7%, while in 1947 it reached level by an average of 40%. Of course just the decline in such dances was very substantial .

According to goal, the tariff policy can clarify as:

a.      Protection rates , that is imposition of tariffs high entry _ For prevent or limit import goods particular , and

b.      Revenue rates, that is imposition intended tariffs _ For increase state revenue .

Based on destination, the function of the tariff rate enter according to Hamdy (2000) is For arrange protection interest economy domestic (function regular) , as one source state revenue ( budgetary function ) and functions equalization ( equalization distribution income national ). Kindle Berger and Linder (1978) provide limitation quota as �a limit on the total quantity of imports allowed into a country cache year.�

According to Kartadjoemena , the causal factor how difficult decline tariff rate is as following :

a)      The type of tariff that has not passed down by developed countries is the tariff for type product that is political Enough sensitive , like textiles ;

b)      Developed countries argue that in the past the country was developing has Lots get special leniency. because therefore, developing countries are also obliged give contribution in thing of cuts and bindings or reduced rates applied in a manner raise;

c)      In some developed countries and some developing countries, there is level products _ the rate Not yet subject to bindings. For example results agriculture . By and large Approved that prevalence of bound tariffs are necessary improved , however difficult For reach an agreement about matter this .

 

2. Non- tariff barriers

Non- tariff barriers, namely something form obstacle shaped trade besides rates like quotas, levies, embargoes, sanctions and restrictions other. Non-tariff barriers This is one method for control amount trade conducted by a country with other countries. Every obstacle trading will create lost income Because No allows the market to function with ok . Lost income consequence obstacle trading the Can called as loss economy (Barus & Leviza, 2022).

Besides the obstacles that have put forward above , there are also barriers that are technical in the GATT/WTO. Remember objective main GATT is For creation smoothness trading international with method decline rates import gradually . The existence of GATT began from the treaty ( agreement ). First part focus on enforcement the principle of non- discrimination or common known with the most favored nation (MFM), which obligates member countries For reduce import tariffs for all party in a manner nondiscriminatory . Second part arrange regarding mandatory non-tariff barriers (NTBs). member for as much as possible Possible eliminate obstacles nontariff like obstacle technical, license imports, subsidies, anti-dumping taxes, and so on. Third part load procedure arrangement trading is also about mechanism dispute trade (Gerungan, 2014).

WTO has set rule mandatory technical whole its members for obedient. Regulation technical the among others:

1)      Supervision to various obstacle technical in trade . Regulation This intended for give guarantee that various regulations, standards, testing, and certification products applied by each member country No need create obstacle trading that is not necessary. Although thus , WTO member countries are allowed apply standard based product _ reason protection health , safety people humans , animals , plants and _ environment . WTO apply standard international as for example provision in ISO 2002 for prevent appropriateness A product .

2)      Arrangement system license import, assign license import, according GATT/WTO provisions must be arranged in a manner simple, transparent and fixed. member country required publish information to the perpetrators business international about license import this. Every There is change must reported to the WTO,

3)      Arrangement system evaluation goods For determination of tariffs tax . Principle This aim creating fairness, neutrality , and objectivity ,

4)      Arrangement inspection goods pre-shipment . For operate arrangement this, the WTO contracted something company certain considered independent for do inspection to goods before desired delivery exported to another country,

5)      Arrangement origin suggestion goods . Determination origin suggestion something goods considered important because relate with policies trade issued by a country to other countries, for example quotas , tariffs, anti-dumping policies , countervailing duties, and so on . Provision origin suggestion goods this is made based on principle transparency , uniformity competence , nonpartial , discrimination rational , and good will for No hinder trading international .

(GATT), the World Trade Organization (WTO) in 1997 discussed and determined provision about obstacle related technical direct with quality goods is factor main determinant success smoothness trading between countries. Laboratory tester nor laboratory competent calibration is one infrastructure the necessary technical being inside support the trading era free. Competition laboratory tester nor calibration depicted from fulfillment to condition standard applicable laboratory in a manner international namely ISO IEC 17025: 2000. ISO/IEC 17025 2000

Standard International ISO/IEC 17025: 2000 is standard system contained quality condition technical must laboratory fulfilled testers and laboratories calibration you want apply system quality, have competence in a manner technical, as well can generate test data and/ or valid libation. Standard International they can used by the developing laboratory system quality, administrative and technical for support laboratory operational activities. ISO/IEC 17025: 2000 this containing all condition management and technical must laboratory fulfilled calibration nor laboratory testing so that generate valid data not indisputable as well as can insured answer in a manner scientific nor law. Laboratory that has fulfil requirements of ISO/IEC 17025: 2000 compliant with existing requirements in condition ISO 9000 standard.

Inside relation with application with establishment of a world free market , ISO/IEC 17025 : 2000 aims For increase competence and trust laboratory testers and laboratories calibration , easy deletion non- tax barrier trading through acceptance and yield testing and/ or calibration between countries, as well make it easy Work The same between laboratory Work The same between laboratory in swap exchange information , experience and harmonization method testing and/ or calibration (Rahayu & Sugianto, 2020).

Technical Barriers in the Agreement on Technical Barriers to Trade (TBT Agreement) in principle that is arrange problem standard . Standard is one _ instrument is very important in competition in the global market. Based on agreement the a country can hinder export a country if No in accordance with standards ( international ) that have been applied . Beside it , WTO members are not allowed For utilise standard as tool protection (unnecessary barriers to trade). Each country is recognized and entitled For take related actions with protection health humans, animals and plants provided action the No done in a manner unilaterally and apply it in a manner discrimination between WTO (Larasasati & Natasya, 2017)members.

Based on annex 1 of the Agreement on Technical Barriers to Trade, the Technical Regulations are stipulating document characteristics product or process methods and methods related production, incl provision administrative use, the fulfillment thereof is mandatory. Document the can also include or in a manner special regarding with terminology, symbols, terms packaging, tagging, or labeling as used in products, process methods or method production. regarding with regulation engendering technique obstacle technical, imported products must give treatment that doesn't not enough profitable rather than treat given to product national similar, and products similar origin from another country. Based on the TBT Agreement Article 2 paragraph (2) number 2, the country that made it rule technical , then technical regulations drawn up , implemented and stipulated No with Meaning For make obstacles that are not need in international trade . Regulation drafted, determined and implemented neither is it can raise impact form obstacle in trading international.

 

2. Indonesian State Policy in Trading International

Indonesian government has taken various policy trading for overcome obstacle trading international and encouraging growth sustainable economy. In part discussion this, will study a number of policy main measures implemented by Indonesia and their impact to trading international.

 

Deletion Tariff and Non-Tariff Barriers

Indonesian government has done effort active in reduce obstacle tariff and non- tariff in trading international. one step important to take is through negotiation agreement bilateral and multilateral trade. As for example, Indonesia has active involved in regional Comprehensive Economic Partnership (RCEP) negotiation and ratification agreement this in 2020. RCEP has potency big For increase market access for Indonesian products and reduce obstacle trade in the Asian region .

Besides In addition , the Indonesian government has also implement policy subtraction rates import For a number product certain . this step aim For increase Power competitive product domestic and expanding export market access . For example , in 2021 , Indonesia announced decline rates import For sector industry manufacturing , agriculture , and marine .

Besides obstacle tariffs, the Indonesian government is also trying reduce non- tariff barriers, eg condition certification, regulation techniques and procedures duty complex taxes. Such efforts done through simplification procedure trade and repair administration customs and excise. Besides that , the government also did coordination with stakeholders interest related For ensure suitability regulation with standard international (Kurniawati & Prasodjo, 2022).

 

Completion Conflict Trading

Conflict trading between countries can become obstacle Serious in trading international . In face conflict trade, Indonesia has taken steps for finish dispute with partner countries trade through bilateral or multilateral (Suherman, 2022) channels.

Indonesian government has use mechanism settlement dispute under the World Trade Organization (WTO) for overcome conflict trade . Indonesia is also involved in bilateral negotiations and consultations with partner countries trade for look for mutual solutions profitable.

Besides In addition, Indonesia is also trying strengthen regional and international cooperation in settlement conflict trade. this country active participate in regional forums such as the Association of Southeast Asian Nations (ASEAN) and Asia-Pacific Economic Cooperation (APEC). Through participation this, Indonesia is trying establish dialogue and cooperation with other countries for overcome obstacle trade and increase system fair and open trade (Anggraeni, 2019).

 

Strengthening Regional and International Cooperation

Indonesian government has confess importance regional and international cooperation in overcome obstacle trading international . this country has do effort active For strengthen cooperation with partner countries trade in various forums and organizations international .

Indonesia is involved in agreement regional trade , such as the ASEAN Free Trade Area (AFTA) and bilateral agreements with such countries Japan and South Korea. Besides In addition , Indonesia also plays a role in promote cooperation economy in the Asian region through RCEP negotiations .

Indonesian government is also working The same with organization international such as the WTO, UNCTAD, and the World Customs Organization (WCO) in increase capacity and knowledge in the field trading international . Through cooperation this, Indonesia got obtain access to information and experience related practice trading good international (Poae, 2019).

Policy Indonesian trade has experience significant development in overcome obstacle trading international. Through deletion obstacle tariff and non- tariff, settlement conflict trade, and strengthening regional and international cooperation, Indonesia has made an effort for create environment conducive trade, improve market access, and improve growth economy.

However, it is necessary remembered that challenge in trading international Keep going growing, incl appearance issues new like digital trade and change in system global trade. Because that�s important for Indonesian government for Keep going review and adjust policy trade so you can overcome obstacle trades that emerge and take advantage of opportunities that exist in the global market.

 

3. The Role of Indonesia in Dispute Trading International

Law No. 7 of 1994 Article XIII published in State Gazette No. 57 yrs . 1994, as well the explanation in Addition State Gazette No. 3564. In macro , whole content WTO agreements have enter in system law positive and Indonesian legal entities engaged in the business world must obey provision hukrnn economy . For determine source GATT disputes require existence of " multiply " or "impairment".

Reason happening dispute trade including developed countries with develop is exists trend from developing countries in for look for road shortcuts based on upgrades economy national for interest trading international, so a number of rules / agreements that have been agreed often violated. WTO provisions regarding dispute for developing countries possible ask good offices to with procedure specifically , consultation of member countries must give attention specifically , enter at least One panelist from developing countries .

Indonesia, as one of the countries with growing economy rapid, have significant role _ in finish dispute trading international. In part discussion this , will studied Indonesia's role in face and resolve dispute trading with partner countries the trade .

 

Active in Mechanism Completion Dispute

Indonesia has active involved in mechanism settlement disputes under the World Trade Organization (WTO). As WTO member since 1995 , Indonesia uses WTO mechanism for protect interest economy national in case dispute trading with other countries.

Indonesian government has use procedure settlement disputes in the WTO, such as bilateral consultations and settlement panels dispute , for finish dispute trading with partner countries the trade . In a number of case, Indonesia succeeded maintain policy considered trade important for interest its national.

 

Diplomacy and Bilateral Negotiations

Besides through WTO mechanism, Indonesia also uses diplomacy and bilateral negotiations in finish dispute trade. The Indonesian government has involved in dialogue and negotiation with partner countries trade for look for mutual solutions profitable.

Diplomacy economy done through bilateral meetings and regional forums, such as the Association of Southeast Asian Nations (ASEAN) and Asia-Pacific Economic Cooperation (APEC). Through this dialogue, Indonesia is trying build good relationship with other countries and search agreement in settlement dispute trade.

 

Role as Intermediary and Facilitator

Indonesia also has role as mediator and facilitator in finish dispute trading between other countries. The Indonesian government has given role active in help partner countries trade reach agreements and facilitating trade dialogue.

One example Indonesia's role as arbiter is in dispute between the European Union and several related ASEAN countries with restrictions export oil palm. Indonesia, as one producer biggest oil oil palm in the world, has make an effort mediate negotiation between the parties involved For reach mutual solutions profitable.

 

CONCLUSION

������������� Indonesia's role in dispute trading international is very important in protect interest economy and promote dialogue and cooperation with partner countries the trade . Through participation in WTO mechanisms, bilateral diplomacy, and roles as intermediary, Indonesia is trying for finish dispute trading with fair and profitable way for all involved parties.

However, challenges in finish dispute trading still there, mainly with appearance issues new like digital trade and protection environment. because that, Indonesia needs Keep going strengthen capacity in settlement dispute trading and guarding commitment to principles fair, transparent and open trade.

 


 

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Copyright holders:

Dodi Sugianto (2023)

 

First publication right:

Journal of Syntax Admiration

 

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