KEBIJAKAN TARIF IMPOR PAHA AYAM DALAM MELINDUNGI INDUSTRI PERUNGGASAN NASIONAL

Abstract

The objectives of this paper are to analyze the competitiveness and comparative
advantage of broiler production and to recommend alternative policies on import tariff and
non-import tariff barriers for chicken leg-quarter (CLQ), aimed at protecting the national
broiler industry. The results of the analysis indicate that Indonesia has the comparative
advantage of whole chicken, but not in the form of parting chicken, particularly CLQ. Under
an assumption that the profit of broiler industry is at least 20 percent of the total broiler
production costs, the import tariff rate for CLQ should be 100 percent of CIF value of US$
630/ton. Should the profit be 25 percent and 30 percent of the total broiler production costs,
the fair tariff rates would be 110 percent and 120 percent. Such an import tariff policy for
CLQ should be complemented by several strategic non-tariff policies, i.e.: (i) ASUH policy
(save, healthy, whole and halal) which is considered comprehensive and effective; (ii) overall
review on the implementation of halal conditions in USA; (iii) import quantity barrier for
CLQ as raw material for processed meat industry; (iv) smuggling abolition and law
enforcement as the consequences of a high import tariff implementation; and (v) for the
urgency and the economic viability of the national broiler industry, it is essential to carry out
political lobby to limit or even to stop CLQ export from USA to Indonesia.