UNS — Universitas Sebelas Maret (UNS) Surakarta, in collaboration with Indonesia’s Ministry of Trade (Kemendag RI), hosted a Ministerial Talk on the topic “Indonesian Trade Policy.” The event marked “homecoming” for Indonesia’s Minister of Trade, Dr. Budi Santoso, M.Si., an alumnus of UNS. Held on Thursday (31/10/2024) at the G.P.H. Haryo Mataram Auditorium, the lecture attracted a large audience, primarily university students.

Dr. Budi Santoso opened the lecture by recounting Indonesia’s trade journey, likening it to a ship navigating various economic “weathers.” He highlighted pivotal events, including economic crises, the commodity booms in oil, gas, manufacturing exports, and more recently, crude palm oil (CPO) and coal, each impacting Indonesia’s trade landscape.

Looking ahead, the Indonesian government is targeting an 8% economic growth rate by 2028–2029, a benchmark last achieved in 1995. Dr. Budi explained that reaching this goal requires key policies promoting investment, technology adaptation, and innovation.

“One of the paths to this goal is through downstream processing, which we must expand across all commodities,” Dr. Budi Santoso said.

To achieve this economic growth, Indonesia focuses on several strategies, including creative processing of natural resources, mastery of advanced production technology, effective logistics and financing, building a high-impact economic ecosystem, creating productive job opportunities, and ensuring balanced environmental sustainability.

Dr. Budi also shared positive economic indicators, noting that Indonesia’s Gross Domestic Product (GDP) grew by 5,05% in Q2-2024. He highlighted that Indonesia has been one of the fastest countries to recover post-COVID-19.

“For the past 53 months, since May 2020, our exports have consistently surpassed imports, marking a historical first for Indonesia,” the UNS Faculty of Social and Political Sciences alumnus noted.

To support Indonesia’s trade policies, Kemendag RI has pursued international trade agreements. Dr. Budi noted that these negotiations have opened up markets and reduced trade barriers, resulting in 11 bilateral agreements with countries including Japan, Pakistan, Palestine, Chile, Australia, EFTA countries, Mozambique, Kenya, the UAE, Iran, and Malaysia.

Domestic digital trade has also seen continuous growth, helping to reduce price disparities in Indonesia’s remote and border regions. The Sukoharjo-born minister encouraged students to explore entrepreneurship, emphasizing its role in advancing Indonesia’s economy.

“After graduation, become entrepreneurs. We aim to instill entrepreneurship in our young generation. Our entrepreneurial ratio is currently 4%, while advanced economies achieve ratios of 10–11%,” he explained.

As he concluded the lecture, Dr. Budi outlined three priority programs for the Ministry of Trade: safeguarding the domestic market, expanding export markets, and advancing the “UMKM BISA Export” initiative. UMKM BISA stands for “Berani Inovasi dan Siap Adaptasi” (Dare to Innovate and Ready to Adapt), underscoring the need for creativity, promotion, and integrated technology in innovation, along with regulatory support for export markets and potential export trends.

Dr. Budi’s message aligns with Sustainable Development Goal (SDG) 8, promoting decent work and economic growth as a priority for Indonesia. Ultimately, advancing trade contributes to SDG 1, eradicating poverty, and SDG 10, reducing inequality.

Humas UNS