TO GRAB ASEN MARKET OPPORTUNITY

           Among the objectives high on the priority list in ASEAN’s collaboration masterplan was vision and blueprint for post 2015, with focus on distribution of development especially in regard to small business (UKM). Achievement in the execution of blueprint for ASEAN economic community was in the first pillar namely single market and regional production base, followed by the fourth pillar i.e. integration with the global economy, and the second pillar i.e. a highly competitive region. Meanwhile the third pillar, i.e. evenly distributed development still needed attention.

            The Government of RI was expecting that through leadership at the ASEAN 2011, Indonesia could increase per capita income. Beside augmenting the nation’s economy, Indonesia could contribute to the betterment of the world’s community. Indonesia must be able to benefit from the ASEAN market, for which competitiveness of Indonesian products especially small business (UKM) and micro must be promoted. ASEAN’s internal collaboration was of utmost importance for the members.

            Deputy Minister of Marketing and Business Network, the Ministry of Cooperatives and UKM, Neddy Rafinaldy stated that Indonesia’s UKM must strengthen characteristics and identity of products whereby to be competitive at the global market. According to Neddy, all player of ASEAN KUKM agreed to develop synergy through socializing (silaturahmi) such participation in expo’s. Now synergy had been attained, but members agreed to foster it toward ASEAN Economic Community (AEC) 2015. “Around 25% of products in circulat in ASEAN are Indonesian products and ASEAN is a potential market. Definitely Indonesia’s UKM must be able to grab the opportunity” Neddy remarked.

            UKM was as important factor to establish an inclusive and fair distribution in ASEAN, more than 96% of business units in ASEAN were small business (UKM) representing 99% of business in Indonesia, Singapore and Thailand. Data of ASEAN secretariat had it that UKM employed around 50% to 96% of workers, the investment constituted around 30% to 53% of total GDP and contributed around 19% to 31% of ASEAN’s total export. Furthermore, The Board of AFTA noted that intra – ASEAN trading posted an increase of 31,2% of the total USD 376,2 billion in 2009 to become USD 519,7 billion in 2010.

            Neddy underscored that UKM played an important role in ASEAN including Indonesia. The way it had been, UKM had proved their strong resistance against crisis and remained to be dynamic. For that matter Indonesia must involve UKM and make sure UKM was benefiting from ASEAN collaboration whereby to build and ASEAN which was inclusive, evenly distributed and strong and highly resilient.

            He further stated that Indonesia would open market access to national business people including UKM. Furthermore Indonesia would intensify dialogue with trade partners and draw investments from dialogue partners like the USA, Australia, India, Japan, Korea, China, Russia and New Zealand. Indonesia would enhance the role of ASEAN in East Asia, and the role of ASEAN after 2015. The Government of RI was continuing to discuss how to enable businesspeople to benefit from trade agreements signed so far and to maintain sustainable development.