Counterterrorism moves may hurt trade

Counterterrorism moves may hurt trade

Zakki P. Hakim, Jakarta

Export control mechanisms applied by developed countries to help
counter terrorism may create another trade barrier that is costly
to the business sector, a number of trade associations said
during a seminar here on Tuesday.

Indonesian Food and Beverage Association (GAPMMI) executive
director Thomas Darmawan gave as an example that in the future
the food industry might have difficulty in obtaining freeze-
drying equipment as it could be also used to preserve dangerous
bacteria.

"We might end up with a longer and complicated process, which
local bureaucracies might eventually misuse to levy extra
charges," he told The Jakarta Post on the sidelines of the
seminar.

The two-day seminar on export control of sensitive items
related to the development of weapons of mass destruction (WMD)
or terrorism was held by the Japanese Ministry of the Economy,
Trade and Industry (METI) and cohosted by the Indonesian Ministry
of Industry and Trade and the Japan International Cooperation
Agency (JICA).

The seminar defined export control as a way of preventing the
export of sensitive items to countries of concern or to end users
in connection with the development of WMD or terrorism.

Sensitive items include weapons of mass destruction (nuclear
weapons, chemical and biological weapons) and conventional arms,
as well as dual-use items that can be used in military or WMD-
related use, as well as commercial use for peaceful purposes.

Director General of the Trade Control Department and Trade and
Economic Cooperation Bureau at the METI Atsuo Shibota said that
the proliferation of WMD and their means of delivery posed a
serious threat.

"Preventing proliferation is very important and in order to do
that we have to cover many areas, but export control is one of
the most important," he said.

Shibota said that the export control system required suppliers
to be certain of whom buyers were and their intentions.

The process might require extra time, but it was necessary
rather than have sensitive items falling into the wrong hands, he
said.

The export control system is applied by regimes of
international supplier countries under unilateral agreements.

The regimes are the Nuclear Suppliers Group, Australia Group
(suppliers of chemical and biological material), Missile
Technology Control Regime and Wassenaar Agreement (suppliers of
conventional arms).

Japan is a member of all four groups.

Meanwhile, Indonesian Ministry of Foreign Affairs Director of
International Security and Disarmament Affairs Hasan Kleib said
that Indonesia supported all efforts aimed at the total
elimination of nuclear weapons.

"However, there must be some kind of guarantee for countries,
particularly developing ones, to obtain these materials,
including nuclear, chemical and biological materials, for
peaceful purposes," he told the Post.

Export control should not be used as a trade barrier;
therefore, there should be a "multinational, negotiated legal
instrument" that complemented existing unilateral agreements, he
said.

Elsewhere, Shibota said that after the seminar his delegation
was due to have to talks with the Indonesian government and
agencies on future action regarding the implementation of the
export control system in the country.

The results of talks with ASEAN countries will be reported at
the next ASEAN-Japan Economic Ministerial Meeting, due to be held
in Jakarta in September.