Rabu, 01 April 2015

Indonesian Law Confront ASEAN Economic Community

Name    : Mashita Nuraini
NIM       : 1114210173
Lecture  : Prof . Dr . Faisal Santiago, SH, MM
Subject   : Business Law



In this year (December 2015) we will be faced with AEC (ASEAN Economic Communities). Perhaps, many Indonesian people who do not know clearly what the AEC. AEC is an era that unites countries in the region to be "one market and production base". Where there will be free flow of products, services, investment, labor, and capital, which all boils down to the principle of an open market freeway.

ASEAN's ambitions to form the AEC one of which is supported by internal and external development of the area. On the external side, Asia is predicted to become the new economic power, with supported by India, China, and ASEAN countries. Currently, based on the World Bank report (2014), using the purchasing power parity (PPP) international dollars, ASEAN economies accounted for 6 percent of global GDP. It makes ASEAN as the fifth largest economic bloc in the world after NAFTA (20 per cent), the EU (17 percent), China (16 percent), and India (7 percent). Meanwhile, from the internal region, the Asian financial crisis in 1997/1998 provides further motivation for the regional integration agenda in order to build a more resilient financial volatility macro. In addition, ASEAN also has a growing middle class young age very rapidly which can provide new sources of growth in this region.
            
There are four things that will be the focus of the AEC in 2015 that can be used as a good moment for Indonesia. First, countries in Southeast Asia will be used as a unitary region market and production base. With the creation of a unified market and production base will make the flow of goods, services, investment, large amounts of capital, and skilled labor be no hindrance from one country to other countries in Southeast Asia.
      
Second, the AEC will be established as the economic region with a high level of competition, which requires a policy that includes competition policy, consumer protection, intellectual property rights (IPR), taxation, and E-Commerce. Thus, it can create a climate of fair competition; there is protection in the form of a network system of consumer protection agencies; prevent infringement of copyright; create an efficient transport network, secure, and integrated; eliminating the Double Taxation system, and; increase trade with the online-based electronic media.
            
Third, the AEC will serve as the region has equitable economic development, with a priority on Small and Medium Enterprises (SMEs). Competitiveness and dynamism of SMEs will be improved by facilitating their access to the latest information, market conditions, the development of human resources in terms of capacity building, finance, and technology.
Fourth, the AEC will be fully integrated to the global economy. With the building of a system to improve the coordination of the member states. In addition, there will be increased participation of countries in Southeast Asia in the global supply network through development of a package of technical assistance to countries less developed ASEAN members. This is done to improve the capabilities and productivity of the industry so that not only increase their participation at the regional scale, but also led the initiative to globally integrated.
            
However it is not accompanied by the Indonesian state of readiness to face the AEC. Indonesia faces a AEC readiness level is still alarming. The statement is very reasonable considering that there are a number of fundamental issues that hit Indonesia and must be overcome before the entry into force of the ASEAN Economic Peoples in 2015. The unfavorable investment climate which is indicated through the intricacies of bureaucratic issues, infrastructure, human resources issues and labor (labor) and corruption is part of the problem is still holding the Indonesian government.
           
The lack of seriousness related parties, particularly businesses to clean up the free market welcomed MEA, allegedly due to the tradition of weak implementation of the rule of law (law enforcement). Therefore, delaying the application of a rule too often done. Such as pin-use regulations on the credit card has been aggressively launched will be applied from 1 January 2015. However, suddenly postponed for an unspecified time. The reason, the infrastructure is not yet ready.
            
Then, the process of leader replacement that occurred prior to the AEC make Indonesia ignorant of the preparations. Instead of preparing everything welcomes AEC, government and politicians in Indonesia is busy welcoming the political period of 5 years. Socialization of the AEC was apparently still not 100 percent because of the new implemented in 205 districts of the total 410 districts spread across Indonesia. With the lack of socialization among the public and small and medium entrepreneurs, making Indonesia's readiness to face the AEC further away from the dream.
            
In contrast with other ASEAN countries, they have been very ready to welcome this AEC. Thailand, for example through the National Economic and Social Development Council, the Thai government has made preparations comprehensively and compile eight specific strategies to deal with MEA for 3 years (2012-2015) because the AEC set as top priorities involving various government institutions and the business community. Evidenced by the introduction of socialization neighbor ASEAN countries within the school (from elementary to college students) in Thailand. It is intended to prepare the younger generation they are able to compete in the era of the AEC. Not only at the level of a given school socialization of ASEAN, but the employers are also given the socialization of the era that will be faced by their country.
            
President of Indonesia in the present era must already have a strategic step in the era of ASEAN. In this case must be established is the rule of law and politics in Indonesia. The rule of law has an idea that sovereignty is in the hands of law which is based on the legal consciousness of each person as a member of society. The rule of law in Indonesia affirmed by the 1945 Constitution and Article 1, paragraph 2 of Article 1, paragraph 3 which contains: "sovereignty rests with the people and carried out according to the law.", "Indonesia is a country of law." So the rule of law is an important component of the country Indonesia in facing the era of AEC 2015.
            
It should be a concern president now. Law in Indonesia must be strong legal for Indonesia itself and the law intended for other nations. For example, strengthening law against standard good entering or coming out of Indonesia.
"Adequate infrastructure for the implementation of the SNI is to be one of our weak points. We will focus to improve and strengthen it. We still have two years remaining before the MEA prevailing at the end of 2015," Hidayat said after opening the Chamber of Commerce International Standardization Seminar on Strengthening Indonesia National Standard in Facing The ASEAN Economic Community (AEC) in 2015, Elevating the Competitiveness of the National Manufacturing Sector in Jakarta, Thursday (20/3).
"With SNI, all outstanding items should be checked. If the goods in the market are below the standard we should be, will be lifted and carried out law enforcement. We continue to learn, including with China. By doing so, we can apply SNI superior execution," Hidayat said.
            
Not only strengthening laws against standard goods, but also Indonesia also must have a strong legal for human resources as in the labor sector. We should have a workforce of qualified and trained. What is meant by the quality of human resources is, people who have high creativity and want to innovate. Not only become "audience" only, but being a good host for the country itself. Due to the presence of qualified human resources, Indonesia will be able to compete with other ASEAN countries.
           
Increased standardization of HR focused on competition, expertise, and skills must be supported by the support and funding of infrastructure readiness. Therefore, the Minister of Manpower and Transmigration should be encouraged so that the budget in the state budget for education and manpower training improved. Including allocation to increase the quantity and quality of the Vocational Training Centre (VTC).
            
Deputy of Human Resource Development (HRD) Ministry of Cooperatives and SMEs, Budi Prakoso Susetyo added quality of human resources (HR) were considered to be one key to the success of cooperative actors micro small and medium enterprises (MSME) in the face of the ASEAN Economic Community (AEC) which will come into force in 2015. To that end, the training of actors cooperative small and medium micro enterprises need to be expanded and intensified.
           
To create quality human resources cooperative small and medium micro enterprises requires hard work by all parties, both the central and local governments. It is important to deliver our cooperative small and medium micro enterprises actors welcome the opportunities and challenges of AEC 2015.
"Especially for small and medium business cooperative actors in the field of micro superior product with OVOP approach (one village one product), it is important for them," he said.
          
In addition to improving the quality of human resources cooperative micro small and medium enterprises, training, capacity building cooperative micro small and medium enterprises in developing a superior product is a part of community empowerment.
"In the future, it is expected that efforts can improve professionalism in developing a business that can compete in the free market AEC 2015," he said.
           
To support human resource development, the Ministry of Education and culture should also be made of vocational education as a priority rather than general education. Because vocational education also supports the existence of human beings with quality as an expert in his field. Correspondingly, 20 percent of state funds for education should be more focus on the creation of very labor and ready to work, through vocational education such as vocational. With 20 percent of the state budget funds for education should be more focus on creating excellent good workforce and ready to work, through vocational education such as vocational school.
            
To consider not only the strengthening of the law concerning childbirth qualified workforce, but also the laws of Indonesia should improve the protection and fulfillment of the rights of migrant workers and their families. Do not let them displaced because weak Indonesian law. Actually, not only Indonesia that must be committed to fulfill the rights of workers, but also the need for the implementation of commitments other ASEAN countries in enhancing the protection and fulfillment of the rights of migrant workers and their families.
            
Indonesia should also be prepared to become entrepreneurs who cultivate its own resources. Not only be exporting raw materials. Because everything has become a more expensive goods will be of the only sells items that are still raw. It also must be addressed prior to the advent of the AEC. The government must be aware of the opportunities that should the people of Indonesia are able to do so.
            
The involvement of various parties, ranging from policy makers to the general public is required to ensure all elements of the nation's preparedness in the face of so-called free market is the ASEAN Economic Community. Various discussion or seminar has been taken by the government to involve experts from various government and non-government in order to ensure the readiness of the people of Indonesia to face the ASEAN Free Trade 2015 requires efficiency and excellence of products more competitive and innovative. Although the ASEAN Economic Community is seen as a positive opportunity for the development of the national economy, but a number of challenges and obstacles that continue to haunt Indonesia classic from time to time must be addressed immediately. Barriers and challenges that need to be addressed fundamental current government, among others, include the problem: infrastructure, bureaucracy, the problem of human resources and labor issues, national and regional policy synergies, competitiveness of national entrepreneurs, corruption and extortion that resulted in a high cost economy (high-cost economy).
            
In an effort to prepare for the changes and at the same time overcome the obstacles and challenges, the Government should immediately formulate and establish an integrated strategic steps involving all components of society and stakeholders. In addition, updates and changes into a keyword that must be socialized and implemented gradually or incrementally considering the progress and diversity characteristics of social and economic life of the nation of Indonesia

            
Finally, along with the approaching deadline for the formation of the ASEAN Economic Community in 2015, the government also had to increasingly intensify the socialization of the ASEAN Economic Community in 2015 to the entire community, including the bureaucracy in the area with the intention that no overlapping between national policies and local policies that are always based retrieval decisions based on local autonomy.   




References

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