Head of Bappenas: Strategy for Economic Recovery in the Domestic and Foreign Trade Sector
BN – The foreign trade sector, In terms of value, the growth of non-oil and gas exports in 2020 contracted by -0.57%, Indonesia’s per capita exports were stagnant for 2 decades, Indonesian exports were still commodity-based, the number of export players was still a small number of the total large industry players and only handled it. 18.7% are exporting and there are obstacles to starting exports, Export performance and productivity are constrained from the supply side such as access to raw materials, innovation capability, access to finance, and investment and export performance is influenced by unstable world conditions
Therefore, the focus of economic recovery in 2022 for the foreign trade sector will be carried out with 5 strategies: (1) Implementation of the Action Plan for Export Increase; (2) Strengthening trade facilitation: simplifying trade procedures, increasing access to export financing, and utilizing digital technology; (3) Reducing the costs of starting exports or sunk costs through integrated export information services including market intelligent, Inatrade, FTA center, and Export center; (4) Accelerating the increase in the number of new exporters by strengthening export human resources; (5) Virtual promotion and business matching.
Meanwhile, in terms of Structural Reform, it will be carried out by harmonizing outward looking trade and industrial policies, increasing productivity and export competitiveness, optimizing the use of trade agreements such as PTA, FTA, CEPA and economic diplomacy, efficiency and expanding access to international trade logistics, increasing participation. business actors in service export
In terms of domestic trade, there has been a change in the trend of public consumption after the Covid-19 pandemic, which has led to digitization, Decreased retail outlet revenue by up to 90%, Decreased number of visitors to retail outlets by up to 20%, High variation in prices between regions, especially prices. relatively high staple and essential commodities in archipelagic regions compared to mainland areas. The existence of health risks in public markets and the lack of efficiency of logistics performance in Indonesia are important factors for economic competitiveness.
The focus of economic recovery in 2022 for the domestic trade sector will be carried out with four strategies. First, maintaining supply and price stability of staples and essential materials. Second, increasing the use of domestic trade infrastructure. Third, increase the capacity of trading business actors and the use of information technology and e-commerce. Fourth, the implementation of health protocols in people’s markets and other retail outlets.
Meanwhile, in terms of Structural Reform, it will be carried out by improving the quality of implementation and institutional protection of consumers, including anticipation of the development of digitalization and cross-border trade, increasing the ease of transactions and efficiency of trade between islands between regions, strengthening markets to support the economy. ( red )