Problems with Policies Restricting Entry of Goods and Regulating Imports into Indonesia from Abroad

The policy of restricting incoming goods and regulating imports into Indonesia from abroad as regulated in the Minister of Trade Regulation (Permendag) Number 36 of 2023, raises miscellaneous problems that should be considered seriously. The article discusses the negative impact of this policy on the Indonesian economy, industry, and society. Issues that arise include rising prices of goods, disruption in the supply of raw materials, dependence on local markets, decreased product competitiveness, uncertainty among business actors, gaps between needs and local production, unfair treatment, and the inability of local industry to meet needs. These impacts can hurt economic stability, people's purchasing power, industrial growth, and the competitiveness of domestic products. The government needs to carry out a comprehensive evaluation of the implementation of this policy. If the negative impact is too large and not in line with the initial objectives of the policy, the government must be ready to revoke the policy. Factors such as public protests and resistance, adverse economic impacts, incapacity of local industry, disruption of raw material supplies, decreased product competitiveness, and investment uncertainty are the primary considerations in decision-making. Lifting ineffective and detrimental import restriction policies can help prevent further harm to the domestic economy and industry.