Armu Nanto

Embassy of Republic of Indonesia

Commitment to Free Trade Indonesia's foreign trade regime is determined by policies that are in harmony with various commitments and agreements of AFTA, APEC and WTO. Without compromising the interests of domestic industry in healthy and fair competition, the Government of Indonesia reaffirms its commitment to maintain a Liberal trade regime, avoid introducing any new trade barriers and to remove remaining distorting elements in the trade structure. The Government of Indonesia recently reduced the import tariff on a number of items from 10 percent to 5 percent and by the end of 2003 will establish a three-tiered tariff structure (0.5 and 10 percent) for all goods except alcohol and automobiles. Competition and Investment Policy Indonesia continues to represent a sound place to invest as the economy returns to the right track and robust and growing economic growth is clearly visible. With a population of more than 220 million, Indonesia is one of the biggest markets for world products. The implementation of the Law on Prohibition of Monopoly Practices and Unhealthy Competition (Competition Law), enacted in March 1999, demonstrated the strong commitment of the Government of Indonesia to improving the business environment and reviving foreign direct investment. .