The controversy about the participation of Indonesia in CAFTA (China-ASEAN Free Trade Area) continues. Various parties claim that Indonesia's participation in CAFTA hurt business and industry in the country. However, some states will have a positive impact because the competition would encourage efficiency, increasing market potential, etc.. Responding to this, the Ministry of Industry, via the Minister of Industry re-submitted a letter of notification to request an extension of a grace period or even delay implementation.
Jacob Viner in 1950 proposed the idea of free trade zones (free trade area). The idea was actually forward the idea of Adam Smith that since the 17th century launched the concept of free trade, free enterprise, and free movement of human resources, goods and services. Viner ideas embodied in the establishment of a free trade area the European Economic Area (European Economic Community / EEC) in 1957. Free trade area was increased to economic integration in 2000. EEC name later changed to the EU (European Union). Integration steps performed by melting currencies including 12 European countries into a single currency, the euro. The success of the European Union is to inspire the emergence of various other trade areas in ASEAN such as AFTA, NAFTA in North America, Mercosur in Latin America, and APEC in Asia Pacific.
Free trade
The concept of free trade done by taking various measures, among other things, eliminate tariffs, quotas, and various discrimination export / import in order to create market expansion / creation of trade (trade creation). Body is of increasing exports, increasing trade volume, increasing economies of scale, and the company's business. In practice, the inevitable existence of the parties will be marginalized because it lost out in competition with foreign parties that have a larger scale, so that foreign parties to operate more efficiently. For example, the EU still agree to suspendliberalization of the agricultural sector in the implementation of free trade to 25 years in the future. It would be ironic if CAFTA still allowing the agricultural sector to compete face to face (head to head) with competitors from abroad. Examples that we have experienced is invasion of fruit imports from China continue to rise. For example, data from the Ministry of Agriculture (2009), imported fruits in 2007 amounted to U.S. $ 449.1 million, 2008 U.S. $ 474.1 million, while in December 2009 the special import of fruits from China increased 1.5 times compared with the month previously, reaching U.S. $ 42.45 million. Who else is a victim in this competition if it was not the small farmers of Indonesia. This illustrates how vulnerable the fate of small businesses and small farmers in our country. The existence of free trade (free trade) led to concerns and ideas for free trade was also accompanied by a fair trade (fair trade). Filing renegotiations should be supported as an effort to bring fair trade within free trade agreements.
Fair trade
Fair trade is a response to the various free trade agreements in various areas which cause a variety of excesses on ethical issues, farmers / small scale, sustainable development, environmental conservation, labor, health and food safety, and so forth. Torsten (2006), for example, argues that the spirit of fair trade should be promoted in advance in free trade, not only the spirit to accumulate capital and purely economic motives.
Basically, there are many things that should be prioritized in fair trade, ie, business ethics, corporate social responsibility, protection of small farmers, the prohibition against child labor, environmental sustainability and development, pricing strategies fair and reasonable, assurance against workplace safety, assurance of safety and health products and food, the increase of equality antarpihak which agree in free trade, promotion of gender equality, the creation of consumer awareness and criticality, and so forth. This movement was originally described as a utopia or a dream, considering that the human tendency is so greedy on the money / capital so that tends to ignore ethics and morality, or understand anthropocentric, ie any action lawful origin benefitman / company. Eg corruption / bribery, exploiting the environment and labor, and so forth.
CAFTA
Submission of proposals to renegotiate the concept of free trade to include aspects of fair trade urged to be implemented through the lobbies and strengthen networking with fellow members of ASEAN which can be classified as countries with GNP is below the level of U.S. $ 1,300, such as Indonesia, Philippines, Vietnam , Laos, and Cambodia. We should learn from the experience of plans FTAs between ASEAN / AFTA and the Australia and New Zealand. FTA initiatives mainly come from countries with relatively strong economies such as Singapore, Brunei, Malaysia, and Thailand. In December 2008 the government of Indonesia with a persistent request suspension of the FTA and the negotiation is successful.
Unlike the case of FTA between ASEAN / AFTA to Australia and New Zealand, CAFTA has already been approved and ratified early this year. Therefore, it should be emphasized and strengthened the various clauses in WTO agreements (World Trade Organization), which ensure fair trade because the clause ismandatory / obligatory for members of CAFTA (the majority of members of CAFTA is also a member of the WTO). It is important to avoid excesses in the CAFTA eg dumping issues, health, and safety of food products, the rights of intellectual property, securityagricultural products, plantation and horticulture, the existence of hidden subsidies, and so forth.
We do not close your eyes to a lot of product safety issues of children's toys from China are dangerous (Toy Manufacturers Association of Children's Affairs), the use of formalin in food products / milk containing melamine from China which was banned by the Food and Drug Supervisory Agency of Indonesia, the use of hazardous materials at the plate / bowl, and toiletries products (toothpaste) are imported by the RI. Until today the Chinese government to curb busy in his own country, various food and dairy products containing melamine to infants, etc..
The WTO is already accommodating some of the interests of fair trade so that prohibit such violation on the health aspects and safety of agricultural products, including hidden subsidies in Article XX, the protection of the business services provided for in Article XIX, the Rights of Intellectual Property provided for in Article 23 paragraph 4, of fair competition is set out in paragraph 24, the hidden subsidies to enhance competitiveness set out in article VI, discrimination exports / imports provided for in paragraph 31, paragraph I, the problem of dumping provided for in paragraph 31, the other special things that have not been listed in various chapters, articles and paragraphs set out in paragraph 442, e-commerce was also agreed to set on May 20, 2008. If there are various cases related to violation of the provisions of the RI WTO can file a lawsuit with the WTO Dispute Settlement or resolution of disputes in the WTO, and for all WTO panel session will be conducted through various stages before the consultation, research panels, reviews by experts, and reporting. Sanctions will be imposed if proven to the parties that sued it violates the provisions that have been agreed, these penalties include fines up to the worst party that sued excluded from international trade. Therefore, the necessary institutions to specifically to review, monitor, and receives reports of alleged dumping practices, violations of health and safety issues, various Unfair practices / practices etc for injustice in our beloved republic is not a place for product- product waste / waste / not safe for foreign countries (country of Junkyard).
Jacob Viner in 1950 proposed the idea of free trade zones (free trade area). The idea was actually forward the idea of Adam Smith that since the 17th century launched the concept of free trade, free enterprise, and free movement of human resources, goods and services. Viner ideas embodied in the establishment of a free trade area the European Economic Area (European Economic Community / EEC) in 1957. Free trade area was increased to economic integration in 2000. EEC name later changed to the EU (European Union). Integration steps performed by melting currencies including 12 European countries into a single currency, the euro. The success of the European Union is to inspire the emergence of various other trade areas in ASEAN such as AFTA, NAFTA in North America, Mercosur in Latin America, and APEC in Asia Pacific.
Free trade
The concept of free trade done by taking various measures, among other things, eliminate tariffs, quotas, and various discrimination export / import in order to create market expansion / creation of trade (trade creation). Body is of increasing exports, increasing trade volume, increasing economies of scale, and the company's business. In practice, the inevitable existence of the parties will be marginalized because it lost out in competition with foreign parties that have a larger scale, so that foreign parties to operate more efficiently. For example, the EU still agree to suspendliberalization of the agricultural sector in the implementation of free trade to 25 years in the future. It would be ironic if CAFTA still allowing the agricultural sector to compete face to face (head to head) with competitors from abroad. Examples that we have experienced is invasion of fruit imports from China continue to rise. For example, data from the Ministry of Agriculture (2009), imported fruits in 2007 amounted to U.S. $ 449.1 million, 2008 U.S. $ 474.1 million, while in December 2009 the special import of fruits from China increased 1.5 times compared with the month previously, reaching U.S. $ 42.45 million. Who else is a victim in this competition if it was not the small farmers of Indonesia. This illustrates how vulnerable the fate of small businesses and small farmers in our country. The existence of free trade (free trade) led to concerns and ideas for free trade was also accompanied by a fair trade (fair trade). Filing renegotiations should be supported as an effort to bring fair trade within free trade agreements.
Fair trade
Fair trade is a response to the various free trade agreements in various areas which cause a variety of excesses on ethical issues, farmers / small scale, sustainable development, environmental conservation, labor, health and food safety, and so forth. Torsten (2006), for example, argues that the spirit of fair trade should be promoted in advance in free trade, not only the spirit to accumulate capital and purely economic motives.
Basically, there are many things that should be prioritized in fair trade, ie, business ethics, corporate social responsibility, protection of small farmers, the prohibition against child labor, environmental sustainability and development, pricing strategies fair and reasonable, assurance against workplace safety, assurance of safety and health products and food, the increase of equality antarpihak which agree in free trade, promotion of gender equality, the creation of consumer awareness and criticality, and so forth. This movement was originally described as a utopia or a dream, considering that the human tendency is so greedy on the money / capital so that tends to ignore ethics and morality, or understand anthropocentric, ie any action lawful origin benefitman / company. Eg corruption / bribery, exploiting the environment and labor, and so forth.
CAFTA
Submission of proposals to renegotiate the concept of free trade to include aspects of fair trade urged to be implemented through the lobbies and strengthen networking with fellow members of ASEAN which can be classified as countries with GNP is below the level of U.S. $ 1,300, such as Indonesia, Philippines, Vietnam , Laos, and Cambodia. We should learn from the experience of plans FTAs between ASEAN / AFTA and the Australia and New Zealand. FTA initiatives mainly come from countries with relatively strong economies such as Singapore, Brunei, Malaysia, and Thailand. In December 2008 the government of Indonesia with a persistent request suspension of the FTA and the negotiation is successful.
Unlike the case of FTA between ASEAN / AFTA to Australia and New Zealand, CAFTA has already been approved and ratified early this year. Therefore, it should be emphasized and strengthened the various clauses in WTO agreements (World Trade Organization), which ensure fair trade because the clause ismandatory / obligatory for members of CAFTA (the majority of members of CAFTA is also a member of the WTO). It is important to avoid excesses in the CAFTA eg dumping issues, health, and safety of food products, the rights of intellectual property, securityagricultural products, plantation and horticulture, the existence of hidden subsidies, and so forth.
We do not close your eyes to a lot of product safety issues of children's toys from China are dangerous (Toy Manufacturers Association of Children's Affairs), the use of formalin in food products / milk containing melamine from China which was banned by the Food and Drug Supervisory Agency of Indonesia, the use of hazardous materials at the plate / bowl, and toiletries products (toothpaste) are imported by the RI. Until today the Chinese government to curb busy in his own country, various food and dairy products containing melamine to infants, etc..
The WTO is already accommodating some of the interests of fair trade so that prohibit such violation on the health aspects and safety of agricultural products, including hidden subsidies in Article XX, the protection of the business services provided for in Article XIX, the Rights of Intellectual Property provided for in Article 23 paragraph 4, of fair competition is set out in paragraph 24, the hidden subsidies to enhance competitiveness set out in article VI, discrimination exports / imports provided for in paragraph 31, paragraph I, the problem of dumping provided for in paragraph 31, the other special things that have not been listed in various chapters, articles and paragraphs set out in paragraph 442, e-commerce was also agreed to set on May 20, 2008. If there are various cases related to violation of the provisions of the RI WTO can file a lawsuit with the WTO Dispute Settlement or resolution of disputes in the WTO, and for all WTO panel session will be conducted through various stages before the consultation, research panels, reviews by experts, and reporting. Sanctions will be imposed if proven to the parties that sued it violates the provisions that have been agreed, these penalties include fines up to the worst party that sued excluded from international trade. Therefore, the necessary institutions to specifically to review, monitor, and receives reports of alleged dumping practices, violations of health and safety issues, various Unfair practices / practices etc for injustice in our beloved republic is not a place for product- product waste / waste / not safe for foreign countries (country of Junkyard).