‘Indonesia must treat export scandals as strategic warning’
Indonesia is confronting a serious trade crises in decades after a series of contamination findings triggered product rejections in US
CANBERRA, Australia (MNTV) – Indonesia is confronting one of its most serious trade credibility crises in decades after a series of radioactive contamination findings triggered product rejections in the US and raised alarm among other key export markets, according to an article published by Australian Institute of International Affairs.
The incidents affecting shrimp, cloves and most recently footwear have exposed long-overlooked industrial safety gaps and placed billions of dollars in export revenue at stake, says Akhmad Hanan, an independent Indonesian researcher specializing in geopolitics and energy.
The latest shock came when US authorities blocked two containers of footwear from Banten after detecting traces of cesium-137, a radioactive isotope with no legitimate industrial use in modern manufacturing.
The discovery followed US findings of radioactive residues in Indonesian shrimp and cloves. What initially appeared to be unrelated incidents has now hardened into a worrying pattern, prompting questions about the reliability of Indonesia’s supply chain safeguards.
Investigations in Banten province revealed that at least two dozen factories — including suppliers for major global brands such as Nike and Adidas — may have been exposed to legacy radioactive remnants in the Cikande industrial area.
Much of this material is believed to have come from decades-old waste predating today’s environmental and industrial safety standards.
The fact that contamination has surfaced across multiple, unrelated commodities suggests not a single-source failure but systemic weaknesses in oversight, enforcement and risk mapping, says Hanan.
Indonesia has long maintained a comprehensive regulatory framework governing environmental safety, supported by routine audits, monitoring instruments, and coordination between ministries and regional authorities. Many export-oriented companies comply with international standards.
But the recent cases highlight uneven implementation, ageing industrial infrastructure and gaps in risk detection across sprawling production zones. The problem, analysts warn, is not the absence of laws but the inconsistency of enforcement and the failure to modernize older facilities.
The stakes stretch far beyond technical compliance. In an era when major economies are defining “trusted” suppliers based on safety and traceability, contamination discoveries can quickly damage a country’s reputation, says Hanan.
A slow or opaque response could weaken Indonesia’s position in trade talks, discourage brand investment and push global manufacturers to shift orders to regional competitors such as Vietnam or Thailand. With buyer confidence shaken, tighter inspections, delayed shipments and higher compliance costs are all likely outcomes.
These experiences underscore that while Indonesia can defend itself internationally, it must also meet global expectations of transparency and regulatory competence.
Any attempt to frame the current dispute as protectionism would be difficult unless Indonesia can convincingly demonstrate that its own oversight systems are robust.
Diplomatic engagement alone is unlikely to resolve the crisis, says Hanan. Trade decisions involving contamination are based on scientific standards, not political goodwill.
When laboratory tests confirm radioactive substances, importing countries are obligated to reject affected goods regardless of bilateral ties. As officials privately acknowledge, the only durable solution lies in improving domestic controls and proving that Indonesian products are safe.
According to Hanan, the government faces three overlapping risks: the potential loss of major export contracts, the health and environmental dangers posed to communities near contaminated industrial zones, and the broader reputational fallout across all Indonesian exports — not just those found to contain traces of radiation.
Experts argue that comprehensive audits of older industrial zones, systematic radiation detection along supply chains, and strengthened laboratory capacity are urgently needed. Jakarta must rebuild credibility through transparency: publishing test results, sharing progress with trading partners, and demonstrating verifiable improvements.
Industry leaders likewise acknowledge that global expectations have changed. Competitiveness now depends not only on cost and volume but on traceability, environmental safeguards and consistent risk management. Without decisive action, Indonesia risks being edged out by countries that can demonstrate higher levels of safety and reliability.
The rejections of shrimp, cloves and footwear, officials warn, should not be dismissed as isolated anomalies. They represent a clear warning that Indonesia has reached a critical point.
The country has the regulatory tools and expertise to respond — but restoring trust will require urgency, openness and the political will to confront long-ignored legacy hazards, says Hanan.
Have Your Say!
Have you been affected by the issues raised in this story? Please share your experiences by emailing haveyoursay@soundvision.com.
Please include a contact number if you are willing to speak to a Muslim Network TV’s representative. You can also get in touch in the following ways:
Tweet: @MuslimNetworkTV
We must take charge of our narrative. Research indicates that 92% of their Muslim coverage is negative. Help us change that.
