August 21, 2025 | 07:20 am
Indonesia needs to strengthen the role of testing, inspection, and certification (TIC) institutions in determining product standards amidst global trade liberalization. This was emphasized by TIC expert Hotma Muliana Sibuea, senior researcher at the Institute for Economic and Social Research (LPEM FEB UI) Christina Ruth Elisabeth, and researcher at the Center of Reform on Economics (CORE) Indonesia Eliza Mardian, during the CORE Indonesia seminar themed "Assessing Indonesia's Competitiveness in the Era of New Tariffs: Standardization and Assurance in Global Trade" on Wednesday, August 20, 2025.
Hotma stressed that trade regulations should not only focus on tariffs, but also require mechanisms to ensure the quality of imported goods. According to him, the country also needs to establish regulations to restrict or allow certain imports in limited quantities for domestic production needs. "Imports subject to specific tariffs must first ensure compliance with the permitted standards," he said.
He emphasized that the verification process cannot be entirely delegated to trading partner countries. An independent third party is needed to ensure quality assurance. "There needs to be an independent and trusted third party responsible for determining whether a certain condition complies with the required standards," said Hotma.
According to Hotma, TIC institutions play a significant role in conducting standard conformity assessments through laboratory testing. "The conformity assessment process includes conducting testing and examinations in laboratories using specific internationally regulated standards," he said.
Furthermore, he highlighted the importance of international accreditation for Indonesian TIC institutions. "Accreditation that aligns with international standards is crucial. It is important for TIC institutions to be active and internationally recognized by their respective federations," said Hotma.
He mentioned several recognized TIC institutions such as Sucofindo and private company Carsurin. According to Hotma, both institutions are active in the TIC Council to establish standards and provide input to the government and the world.
Eliza added that without strengthening domestic TIC, Indonesia risks losing in competition. "The history of TIC in Indonesia is extensive, and its role in supporting the government's interests is significant," said Eliza. Additionally, she pointed out that TIC also plays a crucial role in consumer protection.
Meanwhile, Christina emphasized that the new tariffs imposed by the United States have triggered global uncertainty, posing risks to supply chains. She stated that this situation tightens non-tariff barriers in developed countries. "Developing countries find it increasingly difficult to meet the standards of developed countries. The lower the per capita income, the higher the cost of meeting non-tariff regulations," she explained.
According to Christina, this condition disproportionately affects small businesses. "MSMEs are the most affected because they relatively struggle to meet global standards," she said. For example, Indonesian shoe exports (HS64) potentially decrease by 97 percent in the US market, while apparel could plummet by 48 percent in the US market. Therefore, Christina emphasized the need for TIC policy reforms. "TIC is an enabler. It is crucial for Indonesia to build a competitive TIC industry to accelerate exports, upgrading, and increase national added value," she said.
She recommended a gradual strategy, starting from waiving entry fees for testing equipment, certification digitalization, to establishing a national testing center based on public-private partnerships. "In the short term, the government can waive entry fees for testing equipment and promote certification digitalization."
According to her, in the medium term, the government can provide tax incentives for TIC investment and capacity building, and establish a national testing center for the long term.
Editor's Choice: Indonesia Aims to Double Trade with Peru Through CEPA Agreement
Click here to get the latest news updates from Tempo in Google News
Journalist Attacked During Anti-Tax Hike Protest in Bone
9 jam lalu
A journalist from CNN Indonesia Zulkifli Natsir was a victim of violence from authorities while covering a protest against a property tax hike in Bone
Russian Ambassador Denies Recruiting Ex-Indonesian Navy Officer as Mercenary
10 jam lalu
Russian Ambassador Sergei G. Tolchenov asserts that they have never recruited former Indonesian Navy Marine Satria Arta Kumbara as a mercenary in Russia.
Airbnb Boasts Rp35 Trillion Contribution, 200,000 Jobs for Indonesia
10 jam lalu
Airbnb's contribution to the Indonesian economy reached Rp35 trillion and generated more than 200,000 jobs in 2024.
Indonesian Govt Inspects Shrimp Export Samples After Detecting Radiation
11 jam lalu
The Indonesian government has coordinated with the appropriate parties regarding the discovery of contaminated frozen shrimp.
Three Oil and Gas Blocks Set to Boost Indonesia's Production
13 jam lalu
The Indonesian government is planning three oil and gas projects that will increase oil production to 140,000 barrels per day.
FDA Warns of Possible Radiation in Indonesian Frozen Shrimp Imports
13 jam lalu
FDA has advised the public not to consume, sell, or serve dishes containing frozen shrimp produced by PT Bahari Makmur Sejati (BMS Foods), Indonesia.
No Tax Rate Hikes Despite Ambitious 2026 Revenue Target, Says Finance Ministry
14 jam lalu
The 2026 State Budget Draft (RAPBN 2026) aims for a tax revenue of Rp2,357.7 trillion, a 13.5 percent increase from the projected 2025 revenue.
Indonesia's Tax Hike Debacle: Bone Regent Suspends PBB-P2 Plan After Resident Protest
16 jam lalu
The decision to delay the tax hike in Bone Regency was made following a tumultuous protest.
List of Indonesian Regions Holding Protests Against PBB-P2 Hike
16 jam lalu
Several regions in Indonesia have staged demonstrations protesting the hike in the Rural and Urban Land and Building Tax (PBB-P2).
10 Best Porridges in the World, Bubur Ayam Takes the #1 Spot
18 jam lalu
The food guide TasteAtlas has named Indonesia's bubur ayam as the best porridge in the world. Let's discover more of the world's most iconic porridges
