Measuring Asean Rice Non-tariff Measures (NTMS) and its Impact on Indonesian Food (Rice) Security

DOI

10.2991/icame-18.2019.37How to use a DOI?

Keywords

NTMs, rice trade, ASEAN, Gravity Model, GTAP Model

Abstract

In this research, we calculated ASEAN rice non-tariff measures (NTMs) and its impact on Indonesian food (rice) security. To assess whether NTMs facilitate or impede rice trade across countries in ASEAN region, Gravity Model was applied with Pseudo Poisson Maximum Likelihood (PPML) method. It allowed calculating implied ad valorem equivalents of NTMs. The data was sourced from World Bank, Comtrade, World Integrated Trade Solution (WITS), Centre d'Études Prospectives et d'Informations Internationales (CEPII), and so on. The Gravity Model also used panel data type with time series year 2013-2015 and cross section 16 country/region. Rice type in this research based on HS Code 100630. Second approach, we linked and used Gravity Model result into Global Trade Analysis Project (GTAP) Model, to examine the impact of ASEAN rice NTMs on Indonesian food security. A standard GTAP Model was aggregated by 19 sectors and 16 countries/regions. The results showed that (a) Brunei Darussalam, Thailand, and Cambodia have the highest rice NTMs based on estimation of tariff equivalent calculation and (b) imposing ASEAN rice NTM lead to negative effects on Indonesian food security. Even though rice NTMs would improve rice availability, especially in rice production, but negatively on its utility and accessibility. There was trade-off between NTMs and trade liberalization policy, and the government should be wise and careful to impose rice NTMs as temporary policy.

Copyright

© 2019, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Iwan Hermawan
PY  - 2019/08
DA  - 2019/08
TI  - Measuring Asean Rice Non-tariff Measures (NTMS) and its Impact on Indonesian Food (Rice) Security
BT  - Proceedings of the 3rd International Conference on Accounting, Management and Economics 2018 (ICAME 2018)
PB  - Atlantis Press
SP  - 334
EP  - 343
SN  - 2352-5428
UR  - https://doi.org/10.2991/icame-18.2019.37
DO  - 10.2991/icame-18.2019.37
ID  - Hermawan2019/08
ER  -