Protectionist measures no longer relevant
Protectionist measures no longer relevant
JAKARTA (JP): Protectionist measures are no longer relevant
since the conclusion of the Uruguay Round of negotiations on the
General Agreement on Tariffs and Trade (GATT), the planned trade
liberalization among APEC members, State Minister of Investment
Sanyoto Sastrowardoyo said yesterday.
"The main objective of GATT is to build a free-trade mechanism
so that GATT signatories will receive maximum benefits," Sanyoto
said in his speech at the graduation ceremony of the IPMI
Institute Management.
The GATT, which will be implemented next month, requires freer
trade among its signatories, while the Asia Pacific Economic
Cooperation (APEC) forum has agreed to liberalize trade and
investment among its members by 2020.
Sanyoto said the free trade principles will create comparative
advantages among countries which will eventually lead to
international trade cooperation with mutual benefits.
He, however, said the flow of goods between nations is not as
smooth as expected due to protectionist measures.
"Tariff or non-tariff barriers are built by many countries in
order to prevent or reduce the inflow of goods from other
countries. A developing country such as Indonesia is always
disadvantaged due to pressure from developed countries through
various political maneuvers," he said.
According to Sanyoto, in preparing itself to enter the next
century, Indonesia should accelerate the speed of development in
areas where the country has a competitive advantage for
international trade, and create new measures to keep the
investment climate competitive vis a vis with neighboring nations
in the Asia-Pacific region.
Sanyoto told the 35 graduates yesterday that they should
immediately improve their business skills after undertaking a
post-graduate program.
IPMI is owned by the YPMI foundation chaired by Bustanil
Arifin, a former chairman of the National Logistic Agency.
More than 10 companies and foundations, including American
Express, British Petroleum, Citibank, Ericsson, The Hong Kong
Bank, PT Surveyor Indonesia and the Bakrie Group, traditionally
provide on average a US$1,000 award for students who have an
excellent rank in specific courses.(icn)