Australia, RI to boost trade<\/p>\n
NUSA DUA, Bali (JP): Australia and Indonesia agreed here
\nyesterday to seek a mutual recognition agreement on standards and
\nto remove non-trade barriers to improve their two-way trade.<\/p>\n
Australian Foreign Minister Alexander Downer and Indonesian
\nCoordinating Minister for Production and Distribution Hartarto
\nalso agreed to further reduce tariff barriers.<\/p>\n
The two ministers officially opened the two-day Australia-
\nIndonesian business conference and exhibition, held by the
\nAustralia-Indonesia Business Council, here yesterday.<\/p>\n
Downer acknowledged that Australian authorities often held up
\nfruit and other foodstuffs imported from Indonesia and many other
\ncountries to ensure they met its standards, especially relating
\nto health.<\/p>\n
The holding up of such imports often creates inconvenience and
\nimposes additional costs on exporters.<\/p>\n
"Indonesia would like to see Australia implement more
\nfavorable and transparent standards for imported food so they do
\nnot become disguised non-trade barriers," Hartarto said at the
\nopening of the conference.<\/p>\n
"Furthermore, simpler and more practical customs procedures
\nand inspection methods should be applied so costs will not be
\nincreased," he said.<\/p>\n
Responding to Hartarto's remarks, Downer said Australia never
\nused standards as disguised barriers. The problem was that its
\nstandards had not been mutually recognized by its trading
\npartners.<\/p>\n
He said: "We do not stop goods from anywhere, but the issue is
\ninspection of goods, and this is something to do with standards.
\nThe reason that they are holding up goods from a lot of different
\ncountries is simply because the standards have not been mutually
\nrecognized.<\/p>\n
"Therefore, one of the things we want to take up quickly
\nbetween Australia and Indonesia is mutual recognition agreement
\non standards," Downer said.<\/p>\n
He noted that there were only around 20 items out of hundreds
\nof Indonesian exported goods to Australia that undergo quarantine
\ninspections. This is in comparison to some 100 items from
\nThailand and 65 from the United States.<\/p>\n
Downer also acknowledged that the Australian government
\nimposed antidumping duties on two Indonesian export products to
\nAustralia. He did not specify the products.<\/p>\n
"But there are many other products from many countries subject
\nto antidumping duties in Australia," Downer told journalists.<\/p>\n
Besides eliminating import duties, Hartarto also called on
\nAustralia to reduce import tariffs, especially on products in
\nwhich Indonesia had a competitive edge, such as textiles,
\nclothing, leather and footwear.<\/p>\n
He contended that such a reduction was necessary considering
\nthat Indonesia still suffered a lop-sided trade imbalance with
\nAustralia.<\/p>\n
Indonesia's trade deficit with Australia increased 37 percent
\nto A$1.44 billion (US$1.1 billion) last year from A$1.04 billion
\nin 1995.<\/p>\n
Australia's exports to Indonesia rose by 32 percent to A$3.15
\nbillion last year from A$2.39 billion in 1995, while its imports
\nform Indonesia rose by 27 percent to A$1.7 billion from A$1.3
\nbillion.<\/p>\n
"The Indonesian government would indeed like to see its
\ntrading partners, including Australia, be willing to reduce the
\nexisting peak tariffs on Indonesia's major export products, among
\nother things textiles, leather products and footwear," Hartarto
\nsaid.<\/p>\n
Downer said Australia had taken Indonesia's concerns into
\nconsideration and had decided to lower tariffs on textiles,
\nclothing and footwear within the next two and a half years.<\/p>\n
"Certainly between now and 2000, there will be a reduction in
\ntariff protection on textiles, clothing and footwear. And
\ntherefore, there will be increasing opportunities for Indonesian
\nexporters," Downer said.<\/p>\n
Even now, he said, Indonesian exports traveled smoothly to
\nAustralia with very few obstacles and added "there were fewer
\ndifficulties in terms of Indonesian access to the Australian
\nmarket."<\/p>\n
Over the past decade, Indonesia's share of the Australian
\nmarket has grown from less than 1 percent to more than 2 percent,
\nwhile Australia's share of the Indonesian market has risen from
\nunder 4 percent to well over 5 percent now.<\/p>\n
"As we continue to reduce our protection in Australia, I
\nencourage the Indonesian government to reduce its protection as
\nwell," Downer said.<\/p>\n
He said that if the Indonesian government lowered its tariffs
\non automotive parts and components, many more Australian parts
\nmanufacturers would move to Indonesia.<\/p>\n
"Australian components manufacturers, I think, can develop
\nvery good relationships with Indonesian car companies, and we
\nwould like to see that relationship develop in the next few
\nyears," he said.<\/p>\n
Hartarto responded that Indonesia was committed to continuing
\nderegulation and that later this month, the government would
\nannounce a new package of deregulatory measures. (rid)<\/p>\n
Guide -- Page 11<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/australia-ri-to-boost-trade-1447893297", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }