JAKARTA - The Association of Indonesian Beverage Producers (GAPMMI) assessed that the trade rate reduction was 19 percent of the initial 32 percent plan between Indonesia and the US to encourage the export of Indonesian food and beverage products (mamin).
This is because so far the food and beverage industry has become the leading sector for non-oil and gas exports.
General Chairperson of GAPMMI Adhi S. Lukman appreciated the efforts of the Indonesian government to reach the agreement.
"We welcome this agreement. This is a concrete step that will help maintain the sustainability of Indonesian food and beverage exports to the United States market, and support the national economic growth target of 8 percent," he said, quoting Antara.
He said this decision was the result of strategic economic diplomacy and showed the government's strong commitment to protecting and strengthening the competitiveness of the national industry in the global market.
This reduction in tariffs provides fresh air for Indonesian food and beverage industry players.
Mamin is the leading sector for Indonesia's non-oil and gas exports which contributed about 8 percent of total exports to the United States, mainly dominated by agricultural and plantation products.
Even so, Adhi hopes that the Government will continue to protect business actors who have invested in Indonesia and the implementation process of this agreement can run as expected and be followed up immediately with technical steps that support the smooth running of exports.
"GAPMMI is ready to collaborate with the government in ensuring that the Indonesian food and beverage industry continues to grow and be highly competitive in the international market," he said.
Meanwhile, the President of the Republic of Indonesia, Prabowo Subianto, stated that in every international trade negotiations, protection of national workers is the government's top priority.
"Everything we have calculated, we all negotiate, we also think that what is important for me is my people. The important thing is that I have to protect our workers," said Prabowo at the Halim Perdanakusuma Air Force Base (Lanud) Jakarta, Wednesday (16/7), after overseas visits.
He emphasized that Indonesia is still open to economic cooperation, but still maintains national boundaries and interests.
"This is our offer, we are unable to give more," he said.
Prabowo also expressed optimism for the national economic condition which is said to be in a strong and stable position.
Previously, US President Donald Trump announced a reduction in import rates on Indonesian products from 32 percent to 19 percent, after a bilateral meeting with President Prabowo.
The agreement also includes US$15 billion in energy purchase commitments, US$4.5 billion in agricultural products, and the purchase of 50 Boeing aircraft by Indonesia.
The English, Chinese, Japanese, Arabic, and French versions are automatically generated by the AI. So there may still be inaccuracies in translating, please always see Indonesian as our main language. (system supported by DigitalSiber.id)
