Interest in the analysis on promotion Indonesia’s export as part of expanding performance of local firms has developed over the last decade in order to take benefits from globalized corporate activities and a deepening economic integration. The purposes of this study are to assess the state of competitiveness in the Indonesian’s industry and to identify cost and benefit analysis to improve competitiveness and quality upgrading of Indonesia’s export product. This study is expected to give solid foundation on Indonesia’s future strategy of promotion export and trade liberalization. Studies in this paper cover three main aspects: (i) issues competitiveness surrounding promotion Indonesia’s export, (ii) strategy in trade facilitation behind industry policy, and (iii) the impacts of trade incentives from ASEAN countries. There are two methodologies employed to examine on the analysis of Indonesia’s promotion export: quantitative method using available data and statistic techniques, and survey of business perception on the impact of promotion export. Concerning industry productivity, the finding reinforces the significant role of government in improving the industries with low level of competitiveness (RCA). Moreover, the role of facilitating inward investment but also promoting firm-level sophistication is critical in this task.

(Kiki Verico et al., LPEM-FEUI, August, 2014)