Working Visit to France, Minister of Industry Striving for Indonesia to Become a Member of the OECD

Minister of Industry Agus Gumiwang Kartasasmita (Photo: Doc. Antara)

JAKARTA - Minister of Industry (Menperin) Agus Gumiwang Kartasasmita is on a working visit to Paris, France, on 2-6 October 2023. One of the agendas of the visit is a meeting with the Secretary General of the Organization for Economic Cooperation and Development. /OECD), Mathias Cormann.

The meeting was a follow-up to the Indonesian Government's efforts to become a new member of the OECD, which is a cross-border economic forum.

Minister of Industry Agus revealed that the role of the OECD is as an international organization which aims to create policies and develop international standards to encourage prosperity, equality, opportunity and prosperity in social, economic and environmental aspects.

Indonesia's membership in the OECD will be very strategic and provide benefits for both parties. For Indonesia, membership in the OECD can accelerate Indonesia's economic transformation in order to achieve national strategic goals.

Meanwhile, for the OECD, joining Indonesia will provide a wider global reach, especially in the Southeast Asia region.

"We understand that in order to join the OECD there is an accession process that must be fulfilled by Indonesia, therefore we really appreciate your visit to Indonesia in August 2023 to meet the President of the Republic of Indonesia and several fellow ministers in order to discuss this matter," said Minister of Industry Agus in a written statement at Jakarta, Thursday, October 5.

In 2023, the OECD will have 38 member countries. The Indonesian government asked for support from OECD member countries and the OECD Secretary General to support Indonesia's accession to the international organization.

The decision to open or not the accession process for Indonesia to become a member will be decided at the OECD Council meeting in December 2023 or January 2024.

"We ask for a response from the OECD regarding the position of OECD member countries in general regarding Indonesia's intentions, as well as the progress of Indonesia's accession process," he said.

Agus said that becoming an OECD member was not easy, as was the experience of Costa Rica, Colombia and others, which took around three to seven years in the accession process.

Indonesia targets to complete the accession process in less than four years. In order to achieve the targets that have been set, the Indonesian Government has formed a National Committee whose task is to identify policy gaps, sectors and issues that can be resolved quickly (low-hanging fruits).

"We note that in implementing the accession process, Indonesia must fulfill recommendations and align several national regulations so that they comply with OECD standards. Indonesia has harmonized 15 out of 200 OECD standards," he said.

He added that his party also asked for input regarding efforts that need to be made by Indonesia, especially in the industrial sector, to accelerate alignment with OECD instruments.

According to Agus, Indonesia has made great progress in various fields, including the development of renewable energy and reducing greenhouse gas emissions, as well as many other fields.

If the OECD and Indonesia collaborate in fighting climate change, both parties will benefit from knowledge and ideas about the most effective methods for doing so.

From a geographical perspective, Indonesia has an important role in global trade circulation because it is a bridge between the Pacific Ocean and the Indian Ocean.

This allows Indonesia to play an important role in the distribution of goods throughout the world. The positive impact of this is that Indonesia has established itself as an important actor in regional economic interconnection and cooperation.

"With the increasing trade and investment relations formed as a direct benefit of this cooperation, OECD members who collaborate with Indonesia can benefit from expanding global reach and trade possibilities as a direct result of strengthening existing trade and investment relations," concluded Agus.