Economic competitiveness

Economic competitiveness

Our attention should focus on the Indonesian economy in relation to the global economy, the GATT agreement and the era of trade liberalization within the framework of APEC.

To face this situation, as President Soeharto suggested, Indonesia must make the necessary preparations as early as possible. Our economy must be efficient and our export products must be able to compete in the world market. Products for domestic consumption must also be able to compete with similar imported goods.

In the meantime, however, we note with concern that we tend to be trapped into a high cost economy. This makes it difficult for Indonesian products to compete on the international market. Textile and garment industries, for example, won't be able to compete with similar products from China, Bangladesh, Sri Lanka, Pakistan, Mexico and some African countries. There is also due concern among the industries over the rumor that imported raw materials -- synthetic fibers and cotton -- will be managed by a monopoly or at least highly regulated.

We want to remind all parties that economic globalization is unavoidable and we therefore must be prepared this eventuality.

-- Kompas, Jakarta