Electronic Commerce, Businessmen Support State Identification

Chairman of the Indonesian MSME Association (Akumindo) Ikhsan Ingratubun said that since Indonesia joined various free trade blocks, cross-border trade activities have become increasingly widespread.

Ikhsan noted that Indonesia was not ready to face these new conditions. This can be seen at least from the limited number of domestically produced manufactured products traded on digital platforms. "For manufactured products in e-commerce which dominate China, South Korea, Taiwan. Indonesia is still limited and local MSMEs selling in e-commerce are still dominated by craft and furniture products," said Ikhsan, this unbalanced situation needs the government's attention. For controlling trade through electronic systems in the future, he hopes that the government can highlight the tariff wars that are often encountered on e-commerce platforms. Institute for Development of Economics and Finance (Indef) economist Bhima Yudhistira said the level of participation of local products on e-commerce platforms is still limited. A study conducted by Indef and the Persada Data Lab in 2019 showed that only around 25.9% of local products were traded online. "The limited contribution of local products is considered a challenge for e-commerce inclusivity to local entrepreneurs, especially MSMEs," said Bhima. In addition to being prepared to monitor and regulate the portion of imported products on e-commerce platforms, data collection of the originating country of the seller can be a strategy to build a database.

|•SOURCE•| Image :j-express |

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