Asia-Pacific tariff cut to boost tade<\/p>\n
SINGAPORE (Reuter): Removing tariff barriers between Southeast
\nAsia, Australia and New Zealand would boost intra-regional trade
\nby at least US$16 billion a year, the author of a new study told
\nReuters yesterday.<\/p>\n
\"The absolute minimum that would be gained by the removal of
\ntariffs on goods is a $16 billion increase in real consumption,\"
\nsaid Andrew Stoeckel, executive director of the Center for
\nInternational Economics in Canberra.<\/p>\n
Stoeckel, author of what is thought to be the first cost-
\nbenefit analysis of a free trade zone between nations of ASEAN
\nand Australia and New Zealand, was confident gains would be much
\ngreater.<\/p>\n
\"It could be double that, easily. These findings are based on
\nvery conservative assumptions,\" he said.<\/p>\n
Stoeckel said it would double the value of trade between ASEAN
\n(the Association of Southeast Asian Nations) and Australia and
\nNew Zealand, which stood at $16 billion in 1995.<\/p>\n
Stoeckel was in Singapore to present his findings to a meeting
\nof academics, industrialists and government officials from around
\nthe region.<\/p>\n
Addressing the meeting earlier, Singapore Trade and Industry
\nMinister Lee Yock Suan said a free trade agreement could be a
\nlong-term target for the region.<\/p>\n
Lee said trade, transport links and developments in key
\nindustries such as food and tourism could be enhanced between the
\nASEAN Free Trade Area (AFTA) and the Closer Economic Relations
\n(CER) group of Australia and New Zealand.<\/p>\n
\"An AFTA-CER free trade area could be a long-term target.
\nMeanwhile AFTA-CER should push for the removal of non-tariff
\nbarriers and implement other initiatives to facilitate greater
\ntrade and investment flows,\" Lee said.<\/p>\n
ASEAN, grouping Brunei, Myanmar, Indonesia, Laos, Malaysia,
\nthe Philippines, Singapore, Thailand and Vietnam, offered a vast
\nmarket for CER, with 400 million consumers and total gross
\ndomestic product of almost $500 billion, he added.<\/p>\n
ASEAN is the second most important destination for Australian
\nexports and its fourth-largest source of imports. Two-way trade
\nbetween ASEAN and New Zealand is relatively small.<\/p>\n
Supachai Panitchpakdi, chairman of Thailand's parliamentary
\neconomics committee and a long-time advocate of closer ASEAN-CER
\ntrade links, called for the relationship to be discussed at the
\nministerial level.<\/p>\n
Former New Zealand trade minister Philip Burdon, now chairman
\nof the Asia 2000 Foundation think-tank, told Reuters he backed
\nadding a higher ministerial profile to the talks.<\/p>\n
\"It's very difficult to get public attention focused on
\nsomething like this. A study showing $16 billion of benefits,
\nthough, is exactly what will grab public and government
\nattention,\" he said.<\/p>",
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"sponsor_url": "https:\/\/okusiassociates.com"
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