Coordinating Minister Airlangga: Government Commits To Optimizing Exports By Eliminating Trade Obstacles

Coordinating Minister for Economic Affairs Airlangga Hartarto. (Photo: Doc. Antara)

Coordinating Minister for Economic Affairs Airlangga Hartarto said the government would continue to optimize textile exports and finished clothing by removing trade barriers through various trade agreements.

Indonesia is concentrating on finalizing negotiations on cooperation agreements between Indonesia and the European Union (Indonesia-European Union CEPA) and utilizing the Indo-Pacific Economic Framework (IPEF).

Indonesia is concentrating on completing EU-CEPA so that it is hoped that the market will be more open, while in the first pillar of the IPEF, member countries will discuss trade facilities. The government hopes that obstacles in these countries can be reduced," Airlangga said in an official statement, quoted from Antara, Tuesday, July 11.

According to him, Indonesia is currently preparing to enter the global supply chain to produce critical minerals or critical parts, which can be used for semiconductors.

The reason is, at the beginning of the COVID-19 pandemic two years ago, the global supply chain, including an important mineral supply chain that relies heavily on China, was immediately hit hard when the country closed trading.

The supply chain disruption also resulted in a very high increase in commodity prices, so investors are thinking of making Indonesia an alternative producer of critical minerals.

The most important thing is critical minerals, including to produce nickel-based batteries. Going forward, (critical minerals) are not only for mobility, but also for renewable energy," said Airlangga.

Therefore, the government continues to create a healthy business climate for investors in Industrial Estates, Special Economic Zones, or the Free Trade Zone.

Investors are optimistic about the investment built in Indonesia. This proves that the production base in Indonesia is cost competitive, because we have efficient energy or electricity costs, including gas costs, because it is part of our industrial competitiveness (compared by others)," he concluded.