Title: Benchmarking Singapore and Hong Kong to develop Indonesia's trade facilitation

Authors: Zamroni Salim; Nika Pranata; Kanetasya Sabilla

Addresses: Economic Research Centre – Indonesian Institute of Sciences (P2E – LIPI), Gedung Widya Graha LIPI 4–5th Floor, Jl. Gatot Subroto No. 10, Jakarta 12710, Indonesia ' Economic Research Centre – Indonesian Institute of Sciences (P2E – LIPI), Gedung Widya Graha LIPI 4–5th Floor, Jl. Gatot Subroto No. 10, Jakarta 12710, Indonesia ' Economic Research Centre – Indonesian Institute of Sciences (P2E – LIPI), Gedung Widya Graha LIPI 4–5th Floor, Jl. Gatot Subroto No. 10, Jakarta 12710, Indonesia

Abstract: The objectives of this study are to investigate the existing condition of trade facilitation in Indonesia, to do a benchmark of trade facilitation performance between Indonesia and the world's best practices countries (Singapore and Hong Kong), and to provide recommendations on how to fill the gaps of trade facilitation performance. This study used two methods: descriptive statistics and its inference, and benchmarking method. The study found that Indonesia's trade facilitation is classified as an 'artificial landlocked' country amidst the presences of Singapore and Hong Kong. Indonesia must improve the overall indicators of trade facilitation compared to the countries, specifically on formalities-automation, involvement of trade community, appeal procedure, and formalities - documents. Indonesia need to follow Singapore's system as Indonesia has already developed its online system under INSW. Indonesia needs to have regional/bilateral cooperation other than multilateral schemes to develop faster and better trade facilitation.

Keywords: trade facilitation; information and technology; benchmarking; automation; Indonesia; Singapore; Hong Kong; regional bilateral cooperation.

DOI: 10.1504/IJBG.2020.109829

International Journal of Business and Globalisation, 2020 Vol.26 No.1/2, pp.119 - 147

Received: 05 Oct 2018
Accepted: 22 May 2019

Published online: 21 Sep 2020 *

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