Indonesia-Netherlands ties enter a new era<\/p>\n
Indonesia and the Netherlands, whose relations hit rock bottom
\nin 1992 when Indonesia barred Dutch development aid, are entering
\na new era of cooperation which will most probably be strengthened
\nwith Queen Beatrix's planned visit to Indonesia in August this
\nyear.<\/p>\n
Indonesia was tied to the Netherlands for more than 3
\ncenturies. The Netherlands did not recognize Indonesia's
\ndeclaration of independence on Aug. 17, 1945, and only
\nreluctantly transferred sovereignty to Indonesia in December
\n1949. The subsequent development of diplomatic ties between the
\ntwo sovereign states was overshadowed by their shared past for
\nquite some time.<\/p>\n
A closer relationship began after the advent of the New Order
\nin 1966, particularly after the founding of the Inter-
\nGovernmental Group on Indonesia (IGGI) in 1967, a consortium of
\ndonor countries and institutions which was headed by the
\nNetherlands. The warm relations broke down 25 years later when
\nJakarta felt that Jan Pronk, the chairman of IGGI, went too far
\nin using his position to intervene in Indonesian domestic
\npolitics. Early in 1992 President Soeharto unilaterally dissolved
\nthe IGGI. The IGGI was replaced in the same year by the
\nConsultative Group on Indonesia (CGI) which does not include the
\nNetherlands.<\/p>\n
An attempt to mend the relationship was launched last January
\nwith the simultaneous launching of two fora: the Forum Nederland
\nIndonesia in The Hague, chaired by Piet Bukman; and the Forum
\nIndonesia Nederland in Jakarta, chaired by Radius Prawiro. The
\nestablishment of these bilateral organizations is very timely, as
\nIndonesia celebrates 50 years of independence this year and
\nrelations between the two countries have matured to mutual
\nrespect.<\/p>\n
This new development is underlined by President Soeharto's
\nrecent remark that these centuries of relations have had a deep
\nand profound meaning for each of the two nations.<\/p>\n
It is against this background that Indonesia wholeheartedly
\nwelcomes the state visit of Queen Beatrix to Indonesia next
\nAugust.<\/p>\n
Very timely<\/p>\n
The timing of the Queen's visit is most fitting. Developments
\nin the European Union, APEC and ASEAN over the last few years
\nhave established an entirely different world environment.<\/p>\n
The Netherlands is one of the founding members of the European
\nUnion which intends to integrate further and has also expanded in
\nsize. Indonesia is a member of ASEAN with its Asean Free Trade
\nArea and of APEC which also aims to create a free trade area.<\/p>\n
A round table conference in Jakarta is being organized to take
\nplace on the 50th anniversary of the Indonesian independence. The
\nconference, proposed by the Forum Indonesia Nederland in Jakarta
\nand welcomed by its sister organization in The Hague, will not be
\na meeting between governments, but a private initiative -- from
\n\"civil society to civil society\" the founders of the forum
\norganizations like to say.<\/p>\n
Committees representing a broad spectrum of the two societies
\nare working out ideas that can be discussed in August. Six
\ncommittees have been set up on both sides, covering the economy
\nand business, science and technology, education and culture,
\npolitics, social and cultural relations, and environment and
\nnatural resources.<\/p>\n
The area of economy and business has the largest potential for
\ngrowth. The key players are entrepreneurs in both countries. The
\ngovernment's only responsibility is to encourage and facilitate.<\/p>\n
It is most encouraging to observe that the establishment of
\nthe Forum in both countries has made a good start. It reflects
\nthe existence of goodwill and hope, not only on the part of high
\nlevel representatives of society, but also prominent ministers
\nrepresenting the government.<\/p>\n
The Forum is nonpolitical and noncommercial. It serves as a
\npeople-to-people link and intends to stimulate closer contacts
\nand fruitful dialog and cooperation between the two nations.
\nRather than dwelling on the past, the Forum is oriented towards
\nthe future. The past should be regarded as bases on which to
\ndevelop continuing relations and to enrich the respective roles
\nof the two nations, both regionally and globally.<\/p>\n
The statements and observations made during the launching day
\nof the Forum, Jan. 12, 1995, were positive. In Jakarta, two
\nministers, Coordinating Minister for Economy and Finance Saleh
\nAfiff and Minister of Education and Culture Wardiman Djojonegoro
\nwere present to make statements.<\/p>\n
Economic ties<\/p>\n
The Netherlands has invested a total of US$6.8 billion in
\nIndonesia, and is ranked sixth among investing countries.<\/p>\n
Opportunities for further Dutch investment are plentiful,
\nparticularly when exploiting traditional strengths in technology,
\nmanagement and services.<\/p>\n
Most Indonesian companies, with some notable exceptions, are
\nconcentrating on developing the home market and limit their
\nexpansion to Southeast Asia and countries in the surrounding
\nregions. However, as pointed out by Dutch entrepreneur Morris
\nTabaksblat, alliances and joint ventures with Dutch companies
\nwould boost Indonesian investments in Europe, particularly now
\nthat economic recovery is clearly taking place.<\/p>\n
Bilateral trade between the two countries still favors
\nIndonesia, which exported $1.08 billion worth of goods to the
\nNetherlands in 1993 while importing $626 million worth of goods
\nduring the same period.<\/p>\n
Materials for this article were taken from Forum Bulletin, Vol.
\n1, 1995.<\/p>",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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