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Jakarta Post

RI demands trade ease for 5 commodities

In his usual straightforward style, President Joko 'Jokowi' Widodo demanded that 21 Pacific Rim countries and territories lift trade restrictions on Indonesia's primary commodities: palm oil, paper, rubber, rattan and marine products

Rendi A. Witular (The Jakarta Post)
NayPyiTaw
Thu, November 13, 2014 Published on Nov. 13, 2014 Published on 2014-11-13T08:09:49+07:00

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I

n his usual straightforward style, President Joko 'Jokowi' Widodo demanded that 21 Pacific Rim countries and territories lift trade restrictions on Indonesia's primary commodities: palm oil, paper, rubber, rattan and marine products.

The President, who assumed office on Oct. 20, conveyed the request during the prestigious powwow of leaders at the Asia-Pacific Economic Cooperation (APEC) summit in Beijing, China, on Tuesday.

Jokowi also conveyed his demand during several bilateral meetings with leaders of powerhouse nations, including US President Barack Obama, on the sidelines of the summit on Monday.

Cabinet Secretary Andi Widjajanto said on Wednesday that during the APEC leaders' retreat on Tuesday, the President proposed the acceleration of a study on the inclusion of the five commodities into the so-called development goods category, which would make them exempt from trade restrictions.

'The goods are related to the jobs of millions of Indonesians as well as ensure the development of the micro economy and efforts to reduce poverty. Indonesia demanded acceleration of the study on the inclusion of the commodities into the development goods category,' Andi said.

Indonesia is the world's biggest producer of palm oil and rattan, the third-biggest exporter of rubber after Thailand and Malaysia, and is among the five-biggest producers of paper products.

As for marine products, Indonesia remains a small player but will aim to prioritize the development of the industry as it is the main pillar of Jokowi's maritime-axis doctrine.

  • President Joko Widodo demands 21 Pacific Rim countries and territories to lift trade restrictions on RI's primary commodities
  • Those commodities: palm oil, paper, rubber, rattan and marine products are related to efforts to reduce poverty

 

 

In a press conference late on Monday, Jokowi said he told President Obama that Indonesia demanded the US ease trade restrictions on palm oil. The US has slapped trade barriers on the commodity based on the conclusion that it is not environmentally friendly.

'Many of our commodities, such as rattan, palm oil and fish, have fallen victim to trade restrictions. These are not commodities produced by big corporations. These are the products of our farmers and small companies,' said Jokowi.

According to Sinar Mas managing director Gandi Sulistiyanto, said that Jokowi's demand regarding the five commodities was based on input from businesspeople.

'He has sought input [from businesspeople] before taking on diplomacy. What he's fighting for is relevant to our economy,' said Gandi.

During the APEC leaders' retreat, Jokowi also raised the issue of marine connectivity under his marine-axis doctrine.

He told world leaders of his plan to build 24 seaports that would be integrated with power plants, industrial zones and railway networks.

'The maritime connection concept is not only a national scope but it also covers regional,' said Andi.

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