Community of free traders

Community of free traders

The presence of more than 600 business leaders from all over
the world, including 100 from major American corporations, at the
first ASEAN business summit which opens today speaks volumes
about the region's economic potential.

ASEAN's population of 430 million -- which will soon increase
to 500 million if and when Cambodia, Laos and Myanmar join -- is
a huge market that no corporation in the current era of
increasing global competition can afford to ignore.

The rapid economic growth rates enjoyed by Indonesia,
Malaysia, Thailand, and the Philippines, as well as Singapore,
Brunei and Vietnam, in recent years has drawn investors from all
around the world to this region. Investment begets more growth,
which in turn begets more investors and so the process continues.

The combined gross domestic products of ASEAN's current seven
members was put at US$500 billion in 1995. Given the present rate
of growth, this is estimated to triple to $1.5 trillion by 2008.
With international trade totaling $600 billion in 1995, ASEAN is
the world's fourth largest trading region after the U.S., Japan
and the European Union. And trade is still growing robustly.

Then there is the commitment shown by ASEAN leaders to promote
free trade. Member countries are now racing to turn the region
into a free trade area by 2003.

There appears to be a growing realization among many people in
the region that one of the best ways of realizing the dream of
creating a truly Southeast Asian community -- the goal set out
when its visionary leaders founded ASEAN 30 years ago -- is by
encouraging people to trade with one another more.

The history of various civilizations shows that trade paved
the way to greater contact between people in various parts of the
world. That rule applies today as it did then. Trade helps build
a community by allowing people in the region to become better
acquainted and develop a greater understanding of each other.

Southeast Asia does not exist in a vacuum. It is a member of
the world community, and it has a responsibility towards the
larger community too. The ASEAN Free Trade Agreement is initially
aimed at removing barriers to trade and investments within the
region. But eventually ASEAN has to open itself to outsiders.

No one should doubt the sincerity of ASEAN leaders' commitment
to free trade. Indonesia, like other ASEAN members, has seen the
wonders that trade liberalization measures can do for its people.
It is reaping the benefits of the small dose of free trade it has
allowed, but more benefits are promised when ASEAN free trade
becomes a reality.

A lot now depends on businesspeople in the region to carry out
their vision of building a Southeast Asian community. They are
the players in the field on whose shoulder lies the
responsibility of achieving most of the goals of free trade. In
the final analysis, it is they who will make the foreign exchange
earnings on behalf of their country, who will make the investment
decisions, and who will create jobs for people in the region.

The first ASEAN business summit is a significant step for
business leaders to seize the initiative in pushing the free
trade goals of the region. Besides being a forum for making
business contacts and for listening to the visions of various
government leaders, the summit is a major opportunity for the
ASEAN Chambers of Commerce and Industry (ASEAN-CCI) to showcase
its strength and participation in its endeavor to build a
community.

It is hoped the ASEAN-CCI will grow to become an effective
lobby group to promote free trade. The free trade pledges by
ASEAN leaders still have to be turned into reality. As the 2003
deadline nears, there is bound to be resistance from some people
with vested interests against free trade. The task of ASEAN-CCI
as a lobby group is to give the final push towards free trade for
the interest of the entire community.