Government asks for WTO ratification<\/p>\n
JAKARTA (JP): Minister of Trade S.B. Joedono formally asked
\nthe House of Representatives (DPR) Saturday to ratify the
\nestablishment of the World Trade Organization (WTO), which will
\nadminister the new international trade accord.<\/p>\n
The minister said in a DPR plenary session that the
\nimplementation of the new trade treaty would benefit the
\nIndonesian economy even though a number of commodities would face
\nstricter competition from imported products.<\/p>\n
\"The ratification of the world trade treaty will further
\npromote our exports, especially those from the non-oil sector,\"
\nhe said in explanation to the House members.<\/p>\n
He was discussing the bill on the WTO submitted by the
\ngovernment to the legislative body on Aug. 19.<\/p>\n
Indonesia is one of the signatories of the world trade pact,
\nthe General Agreement on Tariffs and Trade (GATT), but its
\nimplementation in the country requires the House's ratification.<\/p>\n
Joedono said that the government wants the bill to be
\nimplemented nationwide in January 1995, the date of the GATT's
\nimplementation worldwide, so that there would no delay in the
\nexecution of the treaty.<\/p>\n
The head of the GATT, Peter Sutherland, said last week that
\nthe new trade pact would be endangered unless the big powers
\nmoved urgently to ratify it.<\/p>\n
The pact was signed by around 125 countries in Morocco in
\nApril, after seven years of tough negotiations on cutting tariffs
\nand on opening markets.<\/p>\n
To administer its vast system of trading rules -- on various
\nsectors, including farm produce, industrial goods, services and
\npatents -- it forms a new World Trade Organization (WTO), which
\nwill administer the GATT.<\/p>\n
The GATT was set up in 1948 as a temporary body pending
\ncreation of an International Trade Organization (ITO) -- which
\nwas subsequently sunk by U.S. Congressional opposition.<\/p>\n
RI products<\/p>\n
In the House's plenary session yesterday, Joedono acknowledged
\nthat the world trade treaty would affect a number of Indonesia's
\nprotected farm products, including rice, cloves, milk, soybeans,
\ngarlic, wheat flour and sugar.<\/p>\n
However, the impact will be minimal since Indonesia, as a
\ndeveloping country, is given special and differential treatment,
\nhe said.<\/p>\n
\"It allows Indonesia not to commit to the 1988 Montreal
\nAgreement, but instead to the 1991 GATT guidelines,\" he said.<\/p>\n
He added that the Montreal treaty urged member nations to
\nreduce import tariffs of each product by 33.3 percent, while the
\n1991 GATT guidelines still allow developing countries to impose a
\nmaximum import tariff of 40 percent.<\/p>\n
According to GATT officials, 26 of the treaty's 125
\nsignatories have now ratified the accord. (hen)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/government-asks-for-wto-ratification-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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