In almost a decade of cooperation under the Forest Law Enforcement, Governance, and Trade (FLEGT) Voluntary Partnership Agreement (VPA), Indonesia and the EU have achieved considerable positive results, notably in the environmental sector. However, from the economic perspective, there was untapped potential. The statistics on trade value between the two partners provide that Indonesia’s wood …
During the period of 2011-2015, Indonesia experienced a downfall in the value of exports due to the global economic slowdown which resulted in the decline of economic growth of its trading partners. To improve the trade performance, Indonesia focuses on non-traditional markets which was indicated by the Indonesian President, that are located in Africa, South Asia, and Latin America. This market…
In an effort to combat deforestation and promote sustainable forest development, FLEGT (Forest Law Enforcement Governance and Trade) has become one of the most prominent initiatives. Indonesia is among the first partner countries to sign a FLEGT VPA with the EU. It is important to note that Indonesia is the first country in the world to successfully implement and issue FLEGT licenses through th…
The growing global demand for vegetable oils, particularly palm oil, soybeans, rapeseed, and sunflower oil, presents challenges in balancing production with environmental sustainability. This paper examines the European Union’s policies on palm oil biofuels and highlights inconsistencies in its treatment of different vegetable oils. It argues that palm oil can contribute to achieving several …
This policy brief proposes repositioning Indonesia's economic diplomacy as a system-enabling instrument to respond to emerging global sustainability trade measures, including tightening environmental standards and supply-chain requirements. The commodity sector faces a growing misalignment between domestic production systems and global market demands, risking competitiveness erosion and margina…
This paper proposes elevating trade diplomacy as a core pillar of Indonesia's Pacific strategy to strengthen influence and trust amid intensifying geopolitical competition with implications for Papua-related narratives. Although Indonesia has built strong diplomatic goodwill through development cooperation, its trade presence in the Pacific—particularly in Melanesia—lags behind key partners…
Indonesia has strengthened its strategic position in international trade through its participation in the G20, WTO, and various bilateral and regional trade agreements. Beyond major trade agreements, Preferential Trade Agreements (PTAs) with developing countries offer strategic value by strengthening economic diplomacy, expanding diplomatic relations, and opening access to non-traditional marke…
To realize the vision of Golden Indonesia 2045 when Indonesia is aimed to be one of the world’s top 10 economies, Indonesia must take all the necessary steps to strengthen its economic foundation. Among the steps are through strengthening international trades. While trade with the countries in the European Union, North America, and East Asia constitute the largest part of Indonesia’s curren…
This seminal study by Richard N. Gardner examines the economic diplomacy between the United States and the United Kingdom in the years following World War II. The book analyzes how both nations collaborated to rebuild a stable and cooperative system of multilateral trade. Gardner explores key negotiations, policy debates, and institutional developments that shaped the postwar economic order, in…