Understanding NTMs between Indonesia and India for Development Strategies of Trade

Understanding Non Tariff Measures (NTMs) principles enable someone to identify forms of policies other than import tariffs. NTMs are generally enforced to protect domestic producers and consumers in accordance with international rules and principles. Indonesia and India are the 4 and 2 most populous country in the world. Therefore, these countries are interesting subjects to see how NTMs are being implemented. The Normative Juridical Analysis of NTMs found that India has applied more Sanitary and Phytosanitary (SPS) policy to other countries, but Indonesia has applied more Technical Barriers to Trade (TBT) policy to other countries. On Bilateral Trade between India and Indonesia, India has applied more Contingent Trade Protective Measures (CTPM) to Indonesia, but Indonesia has applied more Sanitary and Phytosanitary (SPS) to India. The descriptive analysis of NTMs show that Indonesia and India need to apply internationally accepted standard and treatment on its exported products, both agriculture and non-agriculture, to avoid unnecessary interception and rejection of entry to each other custom territory. Development strategies of trade that can be implemented as follows: (1) remove NTBs and streamline NTMs; (2) encourage trade facilitation; (3) address NTMs to protect the safety of humans, animals, plants and to improve the quality of life. Keywords— Bilateral Indonesia and India, Development Strategies of Trade, Normative Juridical Analysis, Descriptive Analysis of NTMs