Strengthening Trade Policy Implementation for Enhanced Trade Performance
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The Ministry of Trade of the Republic of Indonesia, in collaboration with the Faculty of Economics and Business Universitas Gadjah Mada (FEB UGM), held the 2023 Dissemination of Trade Policy Analysis by the Trade Policy Agency (BKPERDAG), focusing on the topic of "Strengthening Trade Policy Implementation to Enhance Trade Performance." The event occurred on Wednesday (17/5) at the 8th-floor Auditorium of the Learning Center Building, FEB UGM. In this dissemination, the material was delivered by three figures from the Trade Policy Agency, namely Niche Evandani, M.M., Yudi Fadillah, S.E., M.E., and Annisa Aulani Kusnadi, S.E.. Dini Ghuzini, S.E., M.Sc., Ph.D. from FEB UGM and Dr. Riza Noer Arfani from FISIPOL UGM as a responder.
Niche Evandani, M.M., the Cooperation Analyst from the Center for Domestic Trade Policy, delivered a presentation on "Trade Policy Analysis in Stabilizing Staple Food Prices." The price developments as of March 2023 resulted in a monthly inflation rate of 0.18% (mtm) or an annual inflation rate of 4.97% (yoy). Medium rice, red chilli peppers, poultry meat, and chicken eggs drove the inflation of food commodities in March 2023. The persistently high price disparities indicate the uneven distribution efficiency in each region, particularly in Central and Eastern Indonesia, and between production centres and deficit areas. In response, trade policy is crucial in promoting price stability for most commodities.
Next, the second presentation was delivered by Yudi Fadillah, S.E., M.E., as the Cooperation Analyst at the Center for Domestic Trade Policy. Yudi presented on "Analysis of Import Product Surveillance Priorities related to Post-Border Policies." The presence of 4 BPTN offices in Medan, Bekasi, Surabaya, and Makassar has resulted in a broad scope of work responsibility for overseeing post-border products. Additionally, limited budgets and human resources have hindered the effectiveness of surveillance and inspection of post-border goods. The contribution of monitored import product values through the post-border mechanism to Indonesia's non-oil and gas imports in 2022 increased to 17.71% from 16.94% in 2021. Risk analysis is the analytical tool used to determine post-border product surveillance priorities.
The third presentation, titled "Supporting the Cost and Benefit Policy of Indonesia's Participation in IRCo," was delivered by Annisa Aulani Kusnadi, the Trade Facilitator at the Center for International Trade Policy. Annisa stated that IRCo plays an essential role in supporting rubber price stability and representing the interests of natural rubber farmers. The proposed additional capital plan for IRCo from member countries during the 2023 activity period should be viewed positively. The Indonesian government can approve the proposed additional capital by further considering its magnitude and aligning it with the Strategic Business Blueprint (SBB) priorities, which directly impact rubber price stability, the well-being of natural rubber farmers, and IRCo's performance improvement.
Dini Ghuzini, S.E., M.Sc., PhD, as a Lecturer in the Department of Economics at FEB UGM, responded to the three presentations. In Niche's presentation, Dini highlighted the graphs showing the price movements and inflation of commodities in Indonesia.
Furthermore, Dini commented on Yudi's presentation, suggesting that it would be more interesting to know how to calculate the weights influencing the index figure. Finally, Dini expressed interest in the AETS graph presented by Annisa, indicating that IRCo is capable of maintaining price stability. In contrast to Dini, the second respondent, Dr. Riza Noer Arfani, as the Director of the Center for World Trade Studies (PSPD) at UGM, approached the three presentations from an economic and political perspective. The dissemination event concluded with a question-and-answer session that the participants enthusiastically received.
Reportage: Adella Wahyu Pradita
Watch the full video at https://www.youtube.com/watch?v=GUwzDHv0wy8