Opportunities and Challenges in Achieving Food Sovereignity in Indonesia in the Era of ASEAN Economic Community
ASEAN is in the process of creating a single market and production base which allow the free flow of goods, services, investment, skilled labor, and capital across the region. This innitiative indicates a major step toward the greater cooperation and integration among 10 ASEAN member states. Many international agencies claimed that, if ASEAN were one economy, it would be considered as the seventh largest in the world. Furthermore, if the growth trends continue, it could be the fourth largest economy by 2050.
The implementation of ASEAN Economic Community (AEC) was officially launched in 1 January 2016. The AEC blue print mentions that economic integration covers 12 sector, namely food and beverage, fisheries, wood, rubber, furniture, automotive, logistics, shoes, textile, textile products, travel, and health industries. Currently Indonesia has fulfilled the agreement by applying zero tariff to most of our imported products from ASEAN, except rice (25% tariff) and sugar (5-10% tariff). On the other hand, one of the strategic goal on agricultural development in Indonesia is to achieve food sovereignity. The purpose of this note is to review opportunities, challenges, and strategies for Indonesia in achieving food sovereignity goals under AEC agreement.
Illustration Photo: Flags of the Asean Countries (left) and Indonesia cashews (right) (Credit: Imran Lapong/AusAID/Wikimedia Commons CC BY 2.0)
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