UPH International Relations Department & UPH CITI together with Ministry of Foreign Affairs hosted a Focus Group Discussion on Economic Diplomacy

UPH International Relations Department in cooperation with UPH Center for International Trade and Investment (UPH CITI) together with Ministry of Foreign Affairs hosted a Focus Group Discussion. Held in UPH Executive Education Center, the discussion entitled Economic Diplomacy Performance: Evaluation on International Trade and Investment Agreement. Specifically, three main issues were highlighted in the discussion, namely food security, environmental goods, and Investor-State Dispute Settlement. As part of the joint research, the discussion also tried to formulate strategic policies that should be taken by Indonesia in economic diplomacy, especially on trade and investment.

The discussion featured three main resources, which were Prof. Bustanul Arifin, Ph.D. ? Professor of Agricultural Economy of Universitas Lampung, Sondang Anggraini ? Expert Staff to the Minister of Trade for Trade Diplomacy, and Dr. Makmur Keliat ? Expert of International Relations from Universitas Indonesia. The discussion moderated by Prof. Aleksius Jemadu, Ph.D. ? Dean of Faculty of Social and Political Sciences, UPH.

After the opening speech by Prof. Jemadu, Prof. Arifin initiated the discussion by saying that Indonesia has great vision on food. It makes food security is not enough for Indonesia. According to Prof. Arifin, achievement of state in terms of food can be classified into several levels, starting from food self-supporting, food security, food self-sufficiency, and food sovereignty. Prof. Arifin also highlighted the slow development of agricultural technology used in Indonesia. As the outcome, the yield of staple food in Indonesia, such as rice, corn, soybean, and sugar grow very slow. Indeed, between 2004-2014 the yields increased, but not because of technology, instead because of land expansion used for agriculture. An example of this slow technological development is, the high-yielding varieties that had been developed by government adopted very low by farmers. ?Now the high-yielding variety Inpari13, only absorbed 3% or less, and most farmers still use the old varieties such as Ciherang, IR42, and IR64?, said Prof. Arifin.

These kinds of problems cause Indonesian rice more expensive compared to imported rice. Meanwhile, research shows the positive link between the high price of food to inflation in Indonesia. Having said that, of course, food problems in Indonesia are highly related to economic diplomacy where the government has to make strategic policies in trade and investment. Sustainable Development Goals designed by the UN also mentioned by Prof. Arifin. Three points of the SDGs that relate to food, which are end poverty, end hunger, and ensure healthy lives also required Indonesia?s attention. Finally, Prof. Arifin summarized his explanation by concluding that Indonesia needs a policy that is inter-disciplinary to tackle problems in food security.

In turn, Sondang elaborated her views on Indonesia?s trade diplomacy in different international forums. In a multilateral level, such as World Trade Organization Ministerial Conference in Bali 2013, a package was produced, saying Members are allowed to subsidized staple food in its country for max. 10% until 2017. In regional level, Indonesia as part of ASEAN is thriving to create a harmonization between Members regulations in facing ASEAN Economic Community 2015. However, Sondang emphasized the difficulty to have proper internal coordination that often seize Indonesia?s opportunity to say much in international level. One of the examples is the opportunity that slipped through Indonesia?s hand in including Indonesia?s strategic product into APEC?s list of environmental goods. To conclude, Sondang stressed the importance of better coordination and suggested to have a coordinator for each specific sector so Indonesia can do better in its economic diplomacy.

Dr. Keliat then continued the discussion by sharing his views. Dr. Keliat agreed with previous opinions that coordination is a fancy thing in Indonesia?s government. However, he noted that diplomacy is about international relations, and international relations is different with international law. ?Indonesia has to be sharp in looking for loopholes in any international agreements because each of them must have an escape clause?, added Dr. Keliat. He emphasized that it does not mean Indonesia have to violate the agreements, but turn the agreements to the favor of Indonesia. Dr. Keliat suggested Indonesia to have a new diplomatic intelligence unit, which is cross-sectoral, ad hoc, maintained in small numbers, and work in very specific issue.

Prof. Jemadu then summarized the discussion by drawing a conclusion from the explanation of the three main resources. Better coordination is absolutely needed by Indonesia, and expertise on technical issues also has to be strengthened. On the bigger scale, Indonesia needs to have a blueprint to provide the diplomats with a direction when doing economic diplomacy.

The discussion was not open for public and attended by 15 participants. A representative from Ministry of Foreign Affairs, Ministry of Trade, Indonesia Investment Coordinating Board, Universitas Paramadina, Masters Student of UPH, and researcher from UPH and UPH CITI. Inputs gathered in the discussion will be an excellent addition to enriching the ongoing research. (of/rh)