By: Iboy Sandi *)
Jakarta, CIDISS – Commencing on December 31, 2015, Indonesia with other ASEAN countries together formally to face global markets through free trade organization of the ASEAN Economic Community (AEC/MEA), which has long been conceptualized by the leaders of the ASEAN countries. Which in particular will transform ASEAN into a free trade area covering goods, services, investment, labor, and capital investment flows freely. In other words, investment, goods and services will be free in and out of countries in ASEAN.
Presence of this concept requires the existence of perfect competition between business actors through free market mechanisms involving its member countries. This policy is enforced with the hope to raise the quality of the economy in ASEAN countries, in order to compete at international level. Moreover, the presence of a free market system is expected to form a unified economic community that is stable, prosperous and highly competitive. In fact, this system is also expected to accelerate economic growth, social and cultural.
The concept of free trade is indeed very good and needs to be held, as a form of optimism from the ASEAN countries. But the era of ASEAN free market also raises polemic among the public, especially Indonesia. Mainly with the implementation of MEAs, the question arises whether our country is able to compete and achieve the objectives of the MEA itself. Moreover, the condition and readiness of Indonesia at this time, which was considered by many parties are not ready to face the MEA.
Coupled with the condition of the Indonesian population of the largest in ASEAN, make Indonesia as a potential target market free trade. This is confirmed also from the statement of Deputy Chairman of Commission I of the House of Representatives, Tantowi Yahya in public seminars with the theme “MEA: Between Nationalism and the Free Market Health Workers ” in Jakarta. He said that the condition of the population of ASEAN which reached 600 million people (9.5 percent of the world’s population), 43 percent in Indonesia. So do not be surprised if Indonesia would be a major market which is great for the flow of goods and investment.
Even the release of the relevant UN report projected global population projected that by 2050 the population of the six countries are expected to exceed 300 million, one of which is Indonesia. This course will be an increasingly attractive market for various manufacturers and business people around the world in the future.
Such conditions would be a challenge and an opportunity for Indonesia to face and compete in a free market of ASEAN. If not ready then Indonesia will be the target market from other ASEAN countries that have been more prepared. Instead, opportunities arise when people of Indonesia as the country with the largest population in ASEAN is able to manage the human resources and natural resources in order to sell in the market MEA and controlling the trade in ASEAN so beneficial to the Indonesian economy.
Therefore, to answer the challenges, then Indonesia should have a strategy to win the competition in this regional free market. One of the things that can be done to win the MEA is through nationalism to the state. The local business actors in addition to be able to improve the quality, also need to capitalize on local or domestic resources as to reduce production costs while encouraging local economic growth. Not just from business actors, community members are helped to appreciate and love the products in the country. Respect for the local product is a form of nationalism that is important to the Indonesia community and businesses if it wants to win the competition in the MEA.
With community in one thought to using the domestic products, will help accelerate economic growth in the country. Conversely, if more frequent consumption of imported goods, it will provide an opportunity for other countries to more developed in economic terms than their own country, even it is possible can be plunged Indonesia into colonization of other countries through economic mechanisms.
If the sense of pride and confidence in the product in this country can be implanted and implemented, it is not impossible that Indonesia will win the competition in the MEA later, given the number of population of the city are so big compared to other countries in ASEAN. Thus, the people of Indonesia will be more prepared and confident in the face of the MEA. [IS]
*) Jakarta Contributor