Indonesian Textile And Footwear Association Wants To Join TPP.

Indonesia's political and economic analysts pointed out that, since the degree of liberalization of the domestic economy required by TPP is far higher than that of Indonesia's current economic and trade policy structure, Indonesia's accession to the TPP will cause more harm than it gains.

DjismanSimandjuntak, a senior economist at the Indonesian Center for strategic and International Studies (CSIS), said that the government's policies currently do not conform to the requirements to be followed in the accession to TPP. For example, the TPP's request for equal treatment for local and foreign investors, Indonesia's negative investment list (DNI) will violate this regulation.

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In deciding to join the TPP, the Indonesian government is bound to amend many laws and regulations and adjust the existing relevant policies, including the TPP norms such as investment, labor, trade and intellectual property rights. In addition, if the owners believe that the policies implemented by the government have caused unfair injustice to the enterprises, TPP will also provide enterprises with greater authority to set up a special group (panel) to prosecute the relevant mechanisms of the government.

In addition, TPP will also abolish the special treatment enjoyed by state-owned enterprises.

Indonesian circles think Indonesia is joining.

The possible impact levels are as follows:

1. state-owned enterprises and private enterprises will enjoy equal treatment.

2. foreign suppliers will be fully involved in government procurement.

3., cancel protectionist measures, such as the requirement of product self-restraint rate.

4. in case the government's policy results in unfair injustice, enterprises can set up a special group to carry out dispute settlement procedures with the government.

5. competition in related industries, such as finance and agriculture, has intensified.

6. foreign countries enjoy the same treatment as local investors.

Major amendments to trade law (TradeLaw), human resources law (ManpowerLaw), investment law (InvestmentLaw), copyright law (CopyrightLaw) and other related laws.

As for the position of the association of related industries, in order to make Indonesia textile and

Products such as TPP and Vietnam have been given the same competitive opportunities. The Indonesian textile association (API) and the Indonesian Footwear Association (Aprisindo) have previously urged the government to join TPP.