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Indonesia-Acfta Economic Cooperation

Essay by   •  May 20, 2012  •  Essay  •  1,437 Words (6 Pages)  •  1,637 Views

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The position of Indonesia in the eyes of ASEAN becomes better, probably because of the natural resources and human resources that is had by Indonesia which could be one of the chance for some countries to large and enhance the successful of ASEAN Member States and other neighbors countries, moreover Indonesia belonging to be one of the largest consumer market in the Asia region and the world acknowledges that Indonesia has the great natural resources. Then, it is the good news for the ASEAN member states and other neighbor countries to make the cooperation in the field, such a free trade area treaty, particularly in economy cooperation such between ASEAN and China. Briefly, in 1960s China got some conflicts amongst some countries, such as the end of harmonious relations with Soviet Union and the war in the border with India in 1962. However, 30 years later, China grew to be the new economic powerhouse in the Asia. By the transformation of China, the world begins to pay more attention to look at Asia as the successful region and it becomes the key for other countries to penetrate the door of success by interlacing the close relations of economic cooperation.

Indonesia - China had already made a relationship for long time ago, might be around 2000 years ago. In the economic itself, even in the establishing ASEAN-China Free Trade Area (ACFTA) becomes one of the proof that there is the economy cooperation between China and Indonesia as the member states of ASEAN. Many people have different view regarding this new cooperation that was signed in 2010, some people consider that ACFTA would be the next challenge, even can be called as a problem, for Indonesian local market because some of China's products are sold cheaply, it is likely becoming the problem for the small business or entrepreneur, they are afraid if the consumers move to the import China's products. To prove these arguments, I represent the simply example of the jeopardy of ACFTA, in East Java-Indonesia according to Sirmadji Tj, Chairman of DPD PDI-P East Java, he said that right now there is the commerce deficit as the implementation access of ACFTA nationally it has reached US$7 billion. In 2010 the commerce access of ACFTA has caused the commerce deficit for non-oil and natural gas reached US$ 1, 2 billion, that big deficit exceeded the change of APBD in 2010. In the earlier of signing the cooperation treaty, so many people come from difference parties that lampoon to reject that treaty, such as Institute for Global Justice (IGJ), Intellectual Forum of International Relations Al-Azhar University Indonesia (UAI), Communication Forum of International Relations Student Indonesia (FKMHII), and so forth. They would arrange the audience with Fraksi Partai Amanat Nasional (F-PAN) DPR RI in 7st June 2010. They thought that this cooperation treaty will give occasion to dissolution of job relations (PHK), estimated in 2010 it would be 4, 5 million workers. Moreover, the highly critics was said by General Chairman of Entrepreneur Association (Apindo), Sofjan Wanandi in the seminar that Indonesian infrastructures are still becoming our homework, that is never realized, so how come we want to compete with China. Then, he added "Indonesia is good in the concept, know what shall be done, but not to do it."

The emergence of this treaty cooperation brings on the pro and contra amongst people, especially between governmental parties and some non-governmental parties. They have their own perspective about this cooperation. In the other side, Indonesian people want to make the economy cooperation by approving the free trade area cooperation with other countries, but also they are afraid to face the challenge in producing products and promoting to others.

In contrast with Taufik Kurniawan as Vice Chairmain of DPR RI in 2010, he was really sure that this cooperation would give the beneficial for the Indonesian people. Like as Taufik, Eddy Putra Iriwadi as Minister Deputy of Industry and Trade in the seminar that held in July 2010, he expected a lot to ACFTA to improve the economy of Indonesia condition, the manufacture sector can push Indonesia economy and he said that Indonesia need the cooperation to enhance the economy growth.

Those two difference perspectives (pro-contra) are much likely becoming the frequently internal problem in Indonesia between people who are pro and are contra. If we see to the negative perspective of ACFTA program, it is indeed to be possible that the local products would be the first victim by the emergence of import products, let alone if the import products have better quality and cheaper price than local products. General Director of International Industry Cooperation, Industry Ministry, Agus Tjahajana Wirakusuma asserted that toys, furniture, textile, garment, and electronic are the products which have the high competition between Indonesia

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