Indonesia with the potential of natural resources and great human resources in ASEAN still needs to be

strengthened in the face of the ASEAN free market. Given the other ASEAN countries such as Thailand
and Malaysia have been very aggressive to prepare themselves to take advantage of the ASEAN
Economic Community (AEC) in 2015.

To the Ministry of Maritime Affairs and Fisheries (MMAF) has been preparing for the AEC, by forming a
Working Group Commitment Implementation of the ASEAN Economic Community Blueprint Marine and
Fisheries Sector for the period of 2014-2015. Working Group consists of the entire unit of work scope of
CTF with the division of tasks as a coordinator in each particular field. Similarly, the Secretary General
emphasized Sjarief Widjaja CTF in Jakarta, Thursday (10/7).

Sjarief explained, Indonesia in facing the challenges of AEC 2015 is the lack of infrastructure support,
transportation / logistics, legal tools, energy supply, and the integrated industrial development and the
limited number of competent human resources to support national productivity. To that end, the CTF
through the Working Group is preparing a draft Presidential Instruction (Instruction) on Enhancing
National Competitiveness in the face of MEA Marine and Fisheries Sector. Mainly through institutional
strengthening, improving product competitiveness, strengthening the domestic market, control of
imports and exports. "Presidential draft is coordinated by the Coordinating Ministry for Economic Affairs
and is currently in the process of signing the President", he said.

According Sjarief, CTF specifically need to immediately identify action priorities and develop an
accelerated program to improve the readiness of marine and fisheries sector (KP) facing the AEC 2015
and anticipating the impact of the ASEAN free trade area which will commence on 31 December 2015.
"In line with this, CTF will continue to conduct socialization to the community MEA Indonesian marine
and fisheries intensively to raise awareness about the importance of MEA, which will lead to increased
preparedness in the face of MEA in 2015, "said Sjarief.

The next Working Group will also draw up a roadmap AEC 2015 KP sector and carrying out the
implementation of the roadmap, and will draft guidebook AEC 2015 KP sector, which will be used as
material AEC 2015 dissemination to all relevant stakeholders. Including to some of the areas most
vulnerable to the effects of MEA 2015. The preparation of the roadmap and guide books AEC 2015 the
KP sector includes work program priorities and regulations necessary to accelerate the preparation of KP
sector. Thus, able to optimally take advantage of opportunities for the welfare of the Indonesian people.
Preparation of the roadmap and guide books AEC 2015 KP sector will be completed within the next 3
months. In addition, the CTF will also conduct monitoring and evaluation of the implementation of the
road map AEC 2015.

MEA Center

Sjarief asserted, as a form of preparedness in the face of AEC 2015 CTF, the CTF soon established MEA
Center. MEA Center's role to provide assistance to the community in order to improve preparedness
MEA. Especially in the border areas are vulnerable to the impact of the ASEAN free market. Assistance
can be in the form of the provision of technical assistance to improve the quality and quantity of
product, pricing information, as well as standardization of product information that has been
harmonized ASEAN level for export purposes. Furthermore, it also serves to ease access to financing,
implementation and monitoring of SNI launched a long term basis and the certification process. "MEA
Center is very important. Moreover, the challenges facing Indonesia in the MEA 2015, including the lack
of understanding of the MEA, "added Sjarief.

CTF currently drafting katergorisasi readiness level of competitiveness of stakeholders in the ASEAN free
market, especially in the provision of goods, services, investment and human resources. Including
setting up forms of government intervention from central to local levels in order to improve the
readiness of marine and fisheries community. "In August 2014, the CTF is expected to hold a workshop
preparations marine and fishery sector facing MEA 2015 to draft the roadmap AEC 2015 using
information and data that have been collected," he said (source: kkp.go.id).

Abstract

Asean Economic Community (AEC) in 2015 was the realization of a free market in Southeast Asia
that has been done gradually began ASEAN Summit in Singapore in 1992. The purpose of the
establishment of the ASEAN Economic Community (AEC) to enhance economic stability in the ASEAN
region, and is expected to address the problem- problems in the economic field between ASEAN
countries. MEA consequences of the agreement in the form of free flow of goods to the ASEAN
countries, the impact of the free flow of services, the impact of the free flow of investment, the impact
of the flow of skilled labor, and the impact of the free flow of capital. These things can certainly result in
positive or negative for the Indonesian economy. Therefore, from the government side also performed
the strategies and measures that Indonesia is ready and able to take advantage of the momentum of the
MEA.

Keywords: MEA, positive effects, negative effects, the economy, the government's strategy

Of AFTA towards MEA

Indonesia is one country in the ASEAN Economic Community (AEC) or the ASEAN Economic Community
(AEC), which will unfold starting in late 2015. MEA is the realization of a free market in Southeast Asia
that has previously been referred to in the Framework Agreement on Enhancing ASEAN Economic
Cooperation in 1992. At the meeting of the Heads of State of ASEAN (ASEAN Summit) 5th in Singapore in
1992, is the Head of State announced the establishment of an area free trade in the ASEAN (AFTA)
within a period of 15 years. Later in development, accelerated to 2003, and accelerated again last into
2002. (www.tarif.depkeu.go.id)

MEA formation originated from an agreement ASEAN leaders in the Summit (Summit) in December
1997 in Kuala Lumpur, Malaysia. This agreement aims to improve the competitiveness of ASEAN as well
as China and India could compete to attract foreign investment. Foreign capital needed to boost
employment and welfare of the citizens of ASEAN. At that time, ASEAN launched the initiative of the
establishment of regional integration of ASEAN or the ASEAN community through ASEAN Vision 2020
during the Second ASEAN Informal Summit. This initiative was later embodied in the form of long-term
roadmap called the Hanoi Plan of Action that was agreed in 1998.

At the next summit Indonesia is one of the initiators of the establishment of the AEC is in the Declaration
of ASEAN Concord II in Bali on October 7, 2003 by which the ASEAN officials declared that the
establishment of the AEC in 2015 (nationalgeographic.co.id). The establishment of the ASEAN
Community is part of ASEAN's efforts to further strengthen ASEAN integration. There was also an
attempt evolutif ASEAN to adjust perspective in order to be more open in discussing domestic problems
that affect the region without leaving the main principles of ASEAN, namely: mutual respect (Mutual
Respect), no interference in domestic affairs (Non-interfence) , consensus, dialog lists and consultation.
ASEAN Community consists of three pillars, including cooperation in the economic field, namely:
komonitas Security ASEAN (ASEAN Security Comunity / ASC), the ASEAN Economic Community (ASEAN
Economic Community / AEC) and the Socio-Cultural Community ASEAN (ASEAN Socio-Cultural
Community / ASCC).

Purpose of establishing the MEA to increase economic stability in the ASEAN region, and is expected to
overcome the problems in the economy among ASEAN countries. For nearly two decades, ASEAN
consists of only five countries - Indonesia, Malaysia, Philippines, Singapore and Thailand - whose
establishment in 1967. The countries of Southeast Asia are incorporated in different times, namely
Brunei Darussalam (1984), Vietnam ( 1995), Laos and Myanmar (1997), and Cambodia (1999).

Impact MEA

The main characteristic feature of MEA is a single market and production base; economic regions with
high competitiveness; yangadil the region with economic development; and a region fully integrated
into the global economy. The impact of the creation of MEA is the creation of a free market in the field
of capital, goods and services, and labor. The consequences of the agreement MEA that impact the free
flow of goods to the ASEAN countries, the impact of the free flow of services, the impact of the free flow
of investment, the impact of the flow of skilled labor, and the impact of the free flow of capital.

.of The character and impact of MEA mentioned above is actually no chance of momentum that can be
achieved MEA Indonesia. With the MEA Indonesia's economy is expected to be better. One of them is
the marketing of goods and services from Indonesia can expand its reach to other ASEAN countries.
Market share in Indonesia is 250 million people. In the MEA, the ASEAN market share of some 625
million people could be targeted by Indonesia. Thus, Indonesia has a greater opportunity to tap into a
wider market. Exports and imports can also be done with a cheaper cost. Labor from other countries in
ASEAN can be free to work in Indonesia. In contrast, Indonesian workers (TKI) also can be free to work in
other countries in the ASEAN.

Other positive impacts that can expand the investor Indonesia investment without any limitation of
space among ASEAN member countries. Similarly, we can attract investment from ASEAN investors-
investors. The entrepreneurs will be more creative because of the intense competition and the
professionals will further increase the level of skill, and professionalism of its kompetansi.

However, besides the opportunity to look at the front of the eye, there are obstacles facing the MEA
that need our attention. Among the obstacles: first, the quality of education remains low labor, in which
up to February 2014 the number of workers junior high school education or below, there were 76.4
million people or about 64 percent of the total 118 million workers in Indonesia. Second, the availability
and quality of infrastructure is still lacking thus affecting the smooth flow of goods and services.
According to the Global Competitiveness Index (GCI) in 2014, the quality of our infrastructure is still
lagging behind compared to countries of Singapore, Malaysia, Brunei Darussalam and Thailand. These
three, the industrial sector which is vulnerable because of dependence on imported raw materials and
semi-finished. Fourth, the limited supply of energy. Fifth, the weakness of Indonesia facing import
surges, and now imported Chinese products have flooded Indonesia. If the barriers had not addressed
the MEA feared it would be a threat to Indonesia.

MEA and government policies

Towards the MEA which is in sight, the Indonesian government is expected to prepare a strategic
step in the labor sector, infrastructure sector, and industrial sectors. In the face of the MEA, the
Indonesian government prepared a policy response that is associated with the National Industrial
Development, Infrastructure Development, Logistics Development, Investment Development and Trade
Development (www.fiskal.depkeu.go.id). In addition to the respective Ministry and the Institute strives
to anticipate the MEA with strategic measures.

The government is trying to change the policy paradigm that leads to entrepreneurship by
promoting national interests. For MEA could face competition, not only the private sector (businesses)
that are required to be prepared, but also the government in the form of pro-entrepreneur policies.

Other countries already think in entrepreneurial (self-employment), how to keep the government
running and functioning like seubah organizational results-oriented entrepreneurship. Then the
momentum of this MEA Indonesian government has come to change the old mindset that tends
bureaucratic pattern pikirentrepreneurship more tactical, effective and efficient. An example is the
subsidy policy Fuel (BBM) of Rp 300 trillion (US $ 30 billion) were less productive directed to more
productive pembiayayaan eg infrastructure investment.

In education, the Government can also undertake the development of educational curricula in
accordance with the MEA. Education as a printer human resources (HR) quality of the answer to the
needs of human resources. Therefore, improving the standard of school quality is a must so that
graduates are ready to face competition.

Socialization activities in the community must also be improved for instance by public service
announcements about the MEA are trying to increase the readiness of people to deal with.

Education Minister said Anies Baswedan, improve quality standards of education either by reinforcing
education actors, ie principals, teachers, and parents. According to him, the leadership of the principal
to be the key growth ecosystem good education. Teachers also need to be trained in proper methods, is
to change the mindset of teachers.

In the field of Industry, the Minister of Industry Saleh Husin also explained the strategy that the Ministry
of Industry facing MEA with dandefensif offensive strategy. Offensive strategy which shall include the
preparation of superior products. From mapping the Ministry of Industry, superior product in question is
the agro industry such as cocoa, rubber, palm oil, textiles and textile products, leather footwear,
furniture, food and minimum, fertilizers and petrochemicals, automotive, machinery and equipment, as
well as metal products, iron, and steel. The defensive strategy is done through the preparation of
Indonesian National Standard for manufacturing products. (Www.kemenperin.go.id)

Trade Minister, Rachmat Gobel has measures to be undertaken for the ASEAN Economic Community
(AEC), 2019. One of them was launched Nawa Cita Ministry of Trade, the export target set for the three-
fold over the next five years. The way it could be done by building 5,000 market, the development of
Micro, Small and Medium Enterprises (SMEs) as well as increased use of domestic products. The export
target by 2015 target of US $ 192.5 billion. Furthermore, the government is also preparing a strategy
subsititusi imports to increase exports, and provide value-added products in the country. At the moment
65 per cent of exports Indonesia still relies on commodities mentah.Pemerintah trying to reverse this
export structure that is of primary commodities to manufacturing, with a composition of 35 percent and
65 percent of manufacturing commodities. Therefore, the manufacturing industry is expected to grow
and focus on increasing production capacity, to increase exports until 2019.

The government also approached the industry that has the potential to contribute to increased exports,
for example the automotive industry. In mind, the auto industry plans to export 50 thousand
motorcycles to the Philippines. The Ministry of Trade also encourages the furniture sector to further
boost exports. In addition, the fisheries sector is also providing optimism for increased exports of
Indonesia.

Not only that, the government will also strengthen SMEs by fostering product through packaging, halal
certification, registration of the mark, and improve the competitiveness of domestic products. Then,
they also facilitate SMEs in international exhibitions. Through the facilities of the Ministry of Commerce
hopes, products and brands built by SMEs in Indonesia can be known globally.

OPPORTUNITIES, CHALLENGES, AND RISK FOR ANY ECONOMIC COMMUNITY INDONESIA WITH ASEAN

OPPORTUNITIES, CHALLENGES, AND RISK FOR ANY ECONOMIC COMMUNITY INDONESIA WITH ASEAN

________________________________________

Written by: Arya Baskoro (Associate Researcher)

Are you ready to face the competition in 2015? We should be prepared to face intense competition in
2015. Indonesia and other countries in the Southeast Asia region will form an integrated region, known
as the ASEAN Economic Community (AEC). MEA is a form of realization of the ultimate goal of economic
integration in Southeast Asia.

There are four things that will be the focus of the AEC in 2015 that can be used as a good momentum for
Indonesia. First, countries in Southeast Asia will be used as a region unified market and production base.
With the creation of the unity of the market and production base will make the flow of goods, services,
investment, large amounts of capital, and skilled labor becomes no barrier from one country to other
countries in Southeast Asia.

Second, the MEA will be formed as an 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 copyright infringement; creating a
transport network that is efficient, safe, and integrated; eliminating the Double Taxation system, and;
increase trade with online-based electronic media.

Third, the MEA will serve as the region has equitable economic development, with priority on Small and
Medium Enterprises (SMEs). Competitiveness and dynamism of SMEs will be enhanced by facilitating
their access to the latest information, market conditions, development of human resources in terms of
capacity building, finance, and technology.

Fourth, the MEA will be fully integrated to the global economy. By building a system to improve
coordination of the member states. In addition, there will be increased participation of countries in
Southeast Asia in the global supply chain through pengembangkan package of technical assistance to
countries less developed ASEAN Member. This is done to improve the ability of industry and productivity
so that not only increase their participation in a regional scale, but also led the initiative to globally
integrated.

Based on the ASEAN Economic Blueprint, MEA becomes very necessary to minimize the gap between
ASEAN countries in terms of economic growth by increasing dependence of the members therein. MEA
can develop the concept of meta-national in the food supply chain, and produce a single trading block
that can handle and negotiate with the exporters and importers of non-ASEAN.
For Indonesia alone, MEA will be a good opportunity because of trade barriers will tend to diminish even
be non-existent. This will result in increased exports, which in turn will increase Indonesia's GDP. On the
other hand, appears a new challenge for Indonesia in the form of commodities traded homogeneity
problems, for example for agricultural commodities, rubber, wood products, textiles, and electronics
(Santoso 2008). In this case the risk of competition will arise with the number of imported goods will
flow in large quantities to Indonesia which will threaten the local industry to compete with foreign
products of much higher quality. This in turn will increase the trade deficit for the State Indonesia alone.

On the investment side, this condition can create a climate that supports the entry of Foreign Direct
Investment (FDI), which can stimulate economic growth through the development of technology, job
creation, human resource development (human capital) and easier access to the world market.
Nevertheless, these conditions can bring risk exploitation. Indonesia still has a level of regulation that is
less binding that can cause large-scale act of exploitation in the availability of natural resources by
foreign companies into Indonesia as the country with the abundant natural resources compared to
other countries. There is a possibility also exploitation by foreign companies could damage the
ecosystem in Indonesia, while the regulation of investment in Indonesia has not been strong enough to
keep the natural conditions including the availability of natural resources contained.

From the aspect of employment, there is a tremendous opportunity for job seekers as it can be a lot of
available jobs with the various needs of its diverse membership. In addition, access to go abroad in
order to find the job easier even could be without any particular obstacles. MEA also be a good
opportunity for entrepreneurs to find the best workers in accordance with the desired criteria. In this
case may bring the risk of ketenagakarejaan for Indonesia. In terms of education and productivity
Indonesia is still unable to compete with workers from Malaysia, Singapore, and Thailand as well as the
industrial foundation for Indonesia alone makes Indonesia ranks fourth in ASEAN (Republika Online,
2013).

With the presence of this MEA event, Indonesia has the opportunity to take advantage of economies of
scale in the country as a base gain. However, Indonesia still has many challenges and risks that would
arise if the MEA has been implemented. Therefore, the professional risk is expected to be more sensitive
to the fluctuations which will occur in order to anticipate emerging risks appropriately. In addition, a
slick collaboration between the state authorities and businesses is needed, both physical infrastructure
and social (laws and policies) needs to be addressed, as well as the need for increased capacity and
competitiveness of the workforce and companies in Indonesia. Do not let Indonesia only be a spectator
in his own country in 2015.

Reference:
N.n. (2013). Indonesia ranks only four in ASEAN.

ASIAN Association of Southeast Nations (2008). ASEAN ECONOMIC COMMUNITY BLUEPRINT. Jakarta:
ASEAN Secretariat.

Fernandez, R. A. (2014, January). YEARENDER: Asean Economic Community to play a major role in the
SEA food security.

Plummer, F, G., & Yue, C., S. (2009). Realizing the ASEAN Economic Community: A Comprehensive
Assessment. Singapore: Institute of Southeast Asian Studies.

Santoso, W. et.al (2008). Indonesian Economic Outlook 2008-2012: ASEAN economic integration and the
prospects of the national economy. Jakarta: Bureau of Economic Research Directorate of Economic
Research and Monetary Policy.

Kadin Want Sync Maritime Development MEA

Posted By: Redaksion: February 02, 2015In: Featured, Marine, Maritime

Kadin Indoneia

Jakarta, JMOL - Indonesian Chamber of Commerce and Industry (Kadin) wants the maritime sector
development in the country must be harmonized with the readiness of the nation in the ASEAN
Economic Community in 2015.

Related preparatory Indonesia face the ASEAN Economic Community (AEC) in 2015, Indonesia should be
able to capture potential and economic opportunities that exist today MEA enforced the end of 2015,
"said Vice Chairman of the Division of Marine and Fisheries Kadin Indonesia, Yugi Prayanto, in a written
statement received by the Journal of Maritime Monday (2/2).

Yugi is said, in order to increase efforts to catch up, Indonesia should cooperate fisheries
comprehensive, clear, firm and fair with ASEAN countries. To increase the level of Indonesian fishermen
welfare and prosperity of the people of Indonesia, according to him, the regulatory capital and
regulatory support is needed.

"So basically, complementary to prosper the people in ASEAN. For example, raw fish is processed so
semibahan in Indonesia then processed by Malaysia and Thailand into finished products, and financial
from Singapore, "he said.

Vice Chairman of Kadin was also proposed cooperation scheme with the processing of the other party,
but that still gives sovereignty to Indonesia as the owner of fisheries resources and the time written
exported under the brand "Made in ASEAN".

As proclaimed, various controversial policies issued by the Minister of Marine and Fisheries Susi
Pudjiastuti aims to prepare Indonesia in dealing with the enforcement of MEA 2015 "Do not let the
MEA, Indonesia became the market and the object alone. Indonesia must become masters in their own
country, "said Susi Pudjiastuti in a written statement received here on Wednesday (28/1).

To that end, Susi also requires that the Ministry of Foreign Affairs and Ministry of Commerce to help
advocate for ease of access and exempted imports of fishery products of Indonesian fishermen.

According to him, also needed the cooperation of various stakeholders including governments, fishing
businesses, and communities. "I am optimistic that we are able to seize food exports and strengthen the
domestic market. My hope is the maximum for our fishermen, fishing Indonesia and welfare of the
community, "he said. (TaufiqHakim / ANT).

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