ASEM accords to boost business

ASEM accords to boost business

TOKYO (AFP): Economics ministers from 25 European and Asian nations are set to adopt two agreements to promote investment and trade at a meeting near here Sunday, official sources said.

The adoption is expected to be the focus of the Asia-Europe Meeting (ASEM) of ministers.

ASEM groups the 15 countries of the European Union (plus the Brussels commission), China, Japan, South Korea and the seven oldest-established members of the Association of Southeast Asian Nations.

Officials said the investment accord was the more difficult to finalize, with some Asian nations -- notably China, Indonesia and Malaysia -- cool on the idea.

It includes the setting up of an Internet site to collate investment possibilities, recommendations for more transparency and the creation of a group of experts.

The commerce agreement concerns customs procedures, intellectual property rights and rules on farming hygiene.

ASEM is also a forum for business people. The Chiba meeting will give them the chance to swap views and ideas and discuss financing of infrastructure projects.

ASEM finance ministers held their first meeting in Bangkok last week and pledged to boost cooperation in the financial sector amid Asian currency turmoil.

A European diplomat helping to prepare for Sunday's meeting said the advantage of such a forum "is that it allows for diverging views which don't have to be ironed out by World Trade Organization-type negotiations."

"This also allows for the inclusion of China, which is still not a World Trade Organization (WTO) member and allows it to stay separate from the process of global integration. "

Joern Keck, head of the European Commission's delegation to Japan, has said ASEM should mainly work as a catalyst to achieve better understanding and put high-level participants together in an informal setting.

He said concrete action would flow naturally as a result.