Abstract
The study attempts to evaluate the influence of international arms market and brokering to the Indonesian defence procurement. In order to do so, the study will focus on: first, clarifying the nature of international arms market, its current dynamics, and what role a broker play in such situation. Second, examining the practice of defence procurement in Indonesia using case study of the controversial AW101 helicopter purchase throughout the period of 2015-2017. Three variables are analysed: international arms market, international arms broker, and arms procurement. The nature of international arms market is examined through its unique features, most importantly monopolistic-monopsonistic character of the market, restructuration that occurs across North America and Europe in the aftermath of Cold War, and contracted demand of helicopter. Broker is examined through its activities, how it interacts with other actors involved in arms procurement mechanism, and how it exploits loopholes in regulations. Arms procurement is examined through vulnerability in the conceptto-disposal process, which is exposed to influence of international arms market and broker. The study derives its validity and reliability from triangulation, comprising primary and secondary data from content analysis, observation, and case study. Samplings are purposive, covering an exclusive community of Indonesian arms procurement (Ministry of Defence, Air Force, Ministry of Finance, National Development Planning Agency, Committee for Defence Industrial Policy, Indonesian Aerospace), and original equipment manufactures (OEMs) entangled in the procurement of AW101 (Airbus and Leonardo SpA), and brokers.
Keywords
procurement, arms broker, arms market, corruption