Dumping allegations hurting RI exports: Rini

Dumping allegations hurting RI exports: Rini

Adianto P. Simamora, The Jakarta Post, Jakarta

Dumping allegations against Indonesian export products have
seriously affected the country's exports, causing billions of
dollars in potential revenue losses, Minister of Trade and
Industry Rini M. S. Soewandi said on Wednesday.

She said that the allegations had prompted foreign governments
to impose antidumping measures which made it difficult for
Indonesian products to enter particular overseas markets.

"... antidumping measures have become a serious trade barrier
for our products in penetrating the international market," Rini
said in a speech at a trade seminar organized by Japan
International Cooperation Agency (JICA).

She said that the dumping allegations were mostly initiated by
the United States, the European Union, Australia, New Zealand,
India, the Philippines, Canada and South Africa.

"Most antidumping investigations are being targeted on paper,
textiles and clothing, steel, float glass, food, plastic and
rubber products," Rini added.

Since the tariff barrier can no longer be used to protect
domestic industries as it is against the World Trade Organization
(WTO) ruling, many countries are now using antidumping
instruments as a legal remedy to offset injury.

Data from the Ministry of Trade and Industry shows that so far
there have been some 99 dumping cases launched against Indonesia
since 1996.

Rifana Erni, director general of industry and international
trade relations at the ministry said that the dumping allegations
had caused overseas buyers to cancel the purchase of Indonesian
products, due to fears of being penalized by their respective
governments, although investigation into the cases were not
completed.

According to the Central Bureau of Statistics, exports
declined by 6.7 percent to US$27.37 billion during the first half
of this year compared to $29.35 billion in the same period last
year.

Analysts have said that the weak export performance is due to
various reasons including business uncertainty at home and the
global economic slowdown.

Improvement in export performance is important to push
economic growth, which so far has been mainly relying on domestic
consumption.

Rifana said that her office would try to quickly settle the
dumping allegations so that foreign buyers would resume buying
Indonesian products.

Meanwhile, Bachrul Chairi, director of trade protection at
the ministry said that Indonesia had also launched antidumping
allegations against several imported products to help protect
local industries.

He pointed out that the ministry was handling some 23 dumping
cases against imported products,

"We have imposed antidumping charges against seven imported
products," he said, but did not give details.