Sat, 02 Aug 1997

Put nation's interest first

The fuss over our national car policy has once again gained in intensity on the international forum. The United States has filed a second complaint over the issue with the World Trade Organization's Dispute Settlement Body. This means that the U.S. has followed in the steps of Japan and the European Union by indicating that they are dissatisfied with the results of direct negotiations with Indonesia, and are now asking the WTO to pronounce a decision that is in accordance with the existing rules.

Although the specter of complaints made against Indonesia in the WTO will not derange the Indonesian economy, this does not mean there is no need to take the matter seriously. In this age of increasingly competitive international trade, any obstacles toward the achievement of an efficient and effective national economy must be minimized.

Indonesia's economists must therefore work hard to recalculate both the advantages and disadvantages of our national car policy, taking into account the possibility that this country may lose its case at the WTO. If the program is found to be beneficial to the country, naturally it should be continued. If, on the other hand, it should be found to be in our disadvantage, the policy had better be discontinued.

Naturally, there are other options aside from these two extremes. A win-win solution may be found, for instance by modifying our national car policy in such a way as to convince the complaining parties that direct bilateral negotiation will serve their cause better than settling it through the WTO.

Whatever our decision may be, the important consideration must be that it serves the interest of the nation and not that of a mere handful of people, especially if the benefit gained by that handful of people runs against that of the majority of our fellow Indonesians.

-- Media Indonesia, Jakarta