TOWARD AEC 2015, GOVERNMENT PREPARE PRODUCT STANDARDIZATION

The Government of RI through the Ministry of Industry was promoting the application of Indonesia National Standard [SNI] among businessplayers. In this campaign the Government offered incentives as well as training programs for standardizing competence of human resources through capacity building.

Today the process of SNI certification was based on mandatory quality upgrading of products and services under technical supervision of Ministries which was the main pre-requirement of standardization. This indicated that SNI application was more by obligation rather than businesspeople’s own awareness to upgrade quality.

Budi Darmadi, the Director General of High Tech based Premium Industry, Ministry of Industry stated in Jakarta on Tuesday [26/11] that toward AEC 2015 national industry should actively promote competence and enhance self-reliance so as not to be outsmarted by overseas traders.

One important aspect to be prioritized was to upgrade quality standard of Human Resources whereby to be acknowledge world wide. National standardization was hindranced by handicaps, i.e. limited infra-structure of the SNI system it self, wide gap between regulation and implementation, low awareness of the public about quality standardization, low participation of stakeholders in standardizing process.

According to Darmadi, standardization was absolutely necessary as it would serve as reference for other countries in the ASEAN region in buying Indonesian products. Budi disclosed that SNI needed to be developed with reference to the United Nations Economic Community [UNECE] or some other international standards like the International Organization for Standardization.

Today, Budi said, at the initial harmonization process toward AEC 2015, there were 19 aspects of UNECE-based standardization to be applied, while another 32 UNECE based regulations for the next stage of harmonization must be applied. To comply with the so many rules related to standardization, many points had to be observed, among others to aim at the domestic market as baseload, and to strengthen competitiveness against export invasion.

Besides, the Government was also preparing five SNI mandatory for six types of food and beverages. Previously the Government had applied SNI for the said six F & B products but not compulsory. Now the status was upgraded to compulsory SNI which were: instant powder milk, sweetened condensed milk, dew drinking water, instant noodles, biscuits and palm frying oil.

The Director General of Agro Industry, Ministry of Industry Panggah Susanto disclosed that high demand for F & B products at home means chance for growing import of products of low quality. Before the said six products, another 5 products had been subject to this regulation. According to Panggah this mandatory SNI was badly needed by the domestic industry which produced the six F & B products. The reason was the vast domestic market which would be sitting duck for foreign products in the coming 2015 AEC.

Therefore Panggah expected that the mandatory SNI for six F & B products be effective before  AEC 2015. In other words, at least next year the mandatory SNI for six F & B products should be in effect. He stressed that the fat market in Indonesia was most appealing to overseas sellers; so import must be watched on especially with the open market in 2015.

Business News - November 29, 2013