The Impact of Industrial Revolution 4.0 on Indonesian Export and Welfare: Food and Beverage Case

摘要

The Indonesia's food and beverage sector is one of the most essential sector with huge contribution on GDP, manufacturing exports, and absorbing workforce. Indonesia concerns and makes it as an initial application of industrial revolution 4.0 through especially accelerating export. But whether it would be able to improve the Indonesian export performance and welfare or even make worse off. The delay in adjustments between commitments doing industrial revolution 4.0 and the readiness of resource management skills will be major obstacle. This study aims to analyze the impact of industrial revolution 4.0, especially food and beverage sector, on Indonesian export and welfare. A quantitative approach was applied. GTAP Model was considered appropriate to analyze the impact on Indonesian export, welfare, and also sectoral issue. Main data came from GTAPAgg version 11 and some complementary data was also presented to support research analysis, which sourced from Worldbank, IMF, BPS, and etc. The results indicated that the presence of industrial revolution 4.0 on Indonesian food and beverage sector will improve economic growth, export performance, and also welfare. Moreover, if Indonesian industrial revolution is done by opening trade with ASEAN countries, it would able to boost the result better.