The ARISE+ Indonesia programme officially concluded in July 2024, marked by the completion of all ARISE+ Indonesia Technical Assistance II activities. It leaves behind a transformative legacy characterised by enhanced capacities, a range of newly developed tools, and comprehensive studies and assessments to support policy formulation. These initiatives aim to bolster Indonesia's trade competitiveness and investment landscape. Initiated in August 2021, the ARISE+ Indonesia Technical Assistance II complemented the implementation of Technical Assistance I, which commenced in 2019 and concluded in 2023. Funded by the European Union, the ARISE+ Indonesia programme has played a pivotal role in supporting the Government of Indonesia to strengthen its capacities and competitiveness in anticipation of the Indonesia-EU Comprehensive Economic Partnership Agreement, which is currently under negotiation.
The farewell dinner was a heartwarming occasion, a night filled with nostalgia and camaraderie. As we gathered one last time as a team, we reminisced about the countless hours spent working together, overcoming challenges, and celebrating victories. Each member of our team brought unique strengths and perspectives, contributing to the synergy that propelled our project to success. The laughter and shared stories of our journey highlighted the strong bonds we formed, making this dinner not just a farewell, but a celebration of our collective efforts and achievements.
ARISE+ Indonesia’s International Carbon Trading Expert, Dr. Divaldo Rezende, has recently concluded a second mission to Jakarta to conduct detailed consultations and discussions on his report entitled “Optimising Indonesia’s Carbon Market”, which was shared with key Indonesian Government stakeholders earlier this year.
Domestic logistics costs in Indonesia exhibit significant regional disparities. In the western region, these costs constitute 8.9% of the price of goods transported, compared to 5% in the eastern region. However, transporting goods from west to east incurs a markedly higher cost of 37.5%, compared to 29.1% for the opposite direction. This stark discrepancy underlines the issue of cargo imbalance, where the risk of transporting empty cargo on return journeys and the scarcity of fleet availability in the eastern region inflate costs.
The Directorate General of International Trade Negotiation at the Ministry of Trade, in collaboration with ARISE+ Indonesia, has recently developed and introduced the Trade in Services (TiS) Coordination Mechanism. This framework is aimed at enhancing the coordination between Indonesia’s trade negotiators, the private sector, and line ministries, drawing on international best practices and stakeholder consultations.
From 27th May to 7th June, ARISE+ Indonesia led a delegation of officials from the Ministry of Investment/BKPM and the Ministry of National Development Planning (Bappenas) on a two-week Investment visit to Europe. The visit covered seven cities across three EU countries, namely: Amsterdam, Rotterdam and Eindhoven in the Netherlands; Brussels in Belgium, and Lille, Dunkerque and finally Paris in France.
As a member of the World Trade Organization (WTO), Indonesia is obligated to adhere to the WTO Agreement on Import Licensing. This agreement, a cornerstone of the multilateral trading system, seeks to ensure that import licensing procedures across member countries are transparent, fair, and non-restrictive to trade. It establishes a set of guidelines that countries must follow to implement an effective import licensing system.
Indonesia's commitment to supporting SMEs in meeting compliance requirements and ensuring the acceptability of Indonesian export products in foreign markets has been further realised with the development of a framework to proactively monitor and address Non-Tariff Barriers (NTBs) faced by Indonesian companies when trading with foreign counterparts. Developed by the Ministry of Trade, in partnership with ARISE+ Indonesia, this newly established monitoring system is designed to alleviate the information burden on Indonesian traders, ensuring they can maintain their trade potential. This initiative marks an important step towards enabling Indonesian exporters to fully capitalise on the opportunities presented by the global market.
In a significant step forward for Indonesia's trade in services sector, the Directorate of Trade in Services, under the Directorate General of International Trade Negotiation at the Ministry of Trade, in partnership with ARISE+ Indonesia, has developed the Trade in Services Performance Monitoring Dashboard. This innovative tool is designed to enhance the government's ability to monitor the performance of Indonesia’s services sector, equipping negotiators with crucial insights into the trends and dynamics of various service industries.
As an agricultural nation, Indonesia is committed to protecting the interests of its smallholder and impoverished farmers and ensuring food security, particularly in the face of current global crises and challenges. Consequently, the country is actively engaged in various negotiations at the World Trade Organisation (WTO) concerning agricultural issues. Notably, Indonesia chairs the G-33, a coalition of 47 developing and least developed countries (LDCs), playing a pivotal role in advocating for the rights and flexibilities of these nations in agricultural negotiations.
