APEC declares free trade

By Meidyatama Suryodiningrat

BOGOR, West Java (JP): Economic leaders of the Asia Pacific Economic Cooperation (APEC) forum yesterday unanimously adopted the Bogor Declaration committing themselves to comprehensive trade liberalization in the region by the year 2020.

"The long term objective of intensifying closer trade and investment cooperation in the Asia- Pacific is open and free trade and investment," President Soeharto said here yesterday.

"Advanced countries will achieve this objective no later than the year 2010 and the developing countries no later than the year 2020," Soeharto explained after closing the APEC Economic Leaders Meeting (AELM) at the Bogor Presidential Palace yesterday afternoon.

The APEC leaders gathered here for a five-hour meeting to determine the direction of the economic vision they adopted at their first meeting in Seattle in November last year.

APEC comprises Australia, Canada, Chile, China, Hong Kong, Japan, South Korea, Mexico, New Zealand, Papua New Guinea, Taiwan and the United States, along with members of the Association of Southeast Asian Nations (ASEAN) -- Malaysia, Thailand, the Philippines, Brunei, Singapore and Indonesia.

Hong Kong and Taiwan were represented by high ranking officials.

In a "Declaration of Common Resolve" the leaders announced their commitment to establish freer trade based on open regionalism.

"We have set the course and the direction of the future economic cooperation in the Asia-Pacific area in particular and in the world in general," Soeharto said.

The initial suggestion of such dates first came out when a special APEC task force, the Eminent Persons Group (EPG), released their report at the end of August calling on the leaders to adopt a concrete deadline for trade liberalization.

Chaired by American Fred Bergsten, the EPG comprises non- governmental experts from the forum's members.

The declaration itself was drafted by President Soeharto with the aid of his special assistant to APEC affairs, Bintoro Tjokroamidjojo.

In their 11-point declaration the leaders' affirmed their opposition to APEC becoming an inward looking, exclusive regional bloc.

"We are determined to pursue free and open trade and investment in Asia- Pacific in a manner that will encourage and strengthen trade and investment liberalization in the world," the leaders said in their declaration.

He added that the details on how to achieve trade liberalization would be left to ministers to work out.

WTO

Elaborating on the foundations of APEC's free trade area, Soeharto rejected suggestions that APEC would subscribe to closed regionalism.

"APEC is certainly not a closed regional cooperation because we would like to open the cooperation not only to Asia-Pacific countries but also to the world in general," he noted.

The declaration also stipulated the leaders' determination that the Bogor meeting should be a catalyst in promoting the prompt ratification of the World Trade Organization which is scheduled to operate next year.

Apart from focussing on issues of trade and investment the leaders' statement also stressed the need for cooperation as a means of sustaining growth and equitable economic development.

The areas stipulated in the declaration include human resources, the environment, science and technology, and the development of economic infrastructure.

At the end of his statement Soeharto said that the leaders had further agreed to meet again in Japan next year for a third AELM.

"The forthcoming meeting of the economic leaders will be held in Japan in the year 1995."

Batik

The closing statement at the southern pavilion of the Bogor palace began 30 minutes earlier than expected yesterday.

Irawan Abidin, who moderated the leaders' briefing, said the leaders finished early because there was nothing of contention to talk about.

"It was so smooth," said Irawan, who is director of Foreign Information Affairs at the Indonesian foreign ministry, in reference to the leaders meeting, which was held behind closed doors.

The leaders, clad in designer batik shirts, were seated for the press briefing, while Soeharto, as chairman, stood in front to brief journalists on the results of the meeting.

Due to the limited time, only eight journalists were given an opportunity to ask questions. The questioners were divided by geographic representation. They were from Indonesia, North America, Latin America, Japan, Australia, Europe, China and an ASEAN country, with one from the Middle East.

Despite being instructed not to raise issues beyond the realm of APEC, an American journalist used her opportunity to raise the issue of East Timor.

Soeharto dodged the question saying that Indonesia would explain the situation at another opportunity.

Surprisingly, representatives from Latin America, Europe and China did not use the valuable opportunity to pose any questions.

"Maybe they've gone home," remarked President Soeharto when no one answered Irawan Abidin's call to have the European representative come forward with a question.

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