ANALYSIS OF THE COMMODITY BALANCE POLICY IN CONTROLLING IMPORT AND EXPORT OF IRON AND STEEL COMMODITIES

Abstract

The Commodity Balance Policy was established through Presidential Regulation No. 32 of 2022. This dissertation analyzes the policy using qualitative methods, collecting data through interviews and Focus Group Discussions (FGD) with five informants representing regulators, operators, the iron and steel industry association, and academia. At the time of the study, only five commodities—rice, beef, fish, sugar, and salt—were included in the Commodity Balance, while iron and steel, as strategic commodities, were not mandated. This delay is attributed to the unpreparedness of regulators and businesses, alongside the numerous HS Codes for iron and steel, impacting the readiness of the National Commodity Balance System (SINAS NK). Data analysis using NVIVO version 14 for Mac revealed that technology significantly influences the successful implementation of the commodity balance policy, with stakeholder synergy as a secondary factor. To establish novelty, a Systematic Literature Review (SLR) was conducted, referencing prior studies on the topic and integrating multiple theories (Economic, Social, Political, National Sovereignty, and National Resilience) to support public policy analysis. The findings suggest that government regulation is essential for domestic products to compete with imports in global markets. The dissertation recommends that the implementation of the Commodity Balance Policy should leverage information technology and ensure disciplined usage among stakeholders. The government must also upgrade data storage capacity and information technology to facilitate the process effectively.