Thu, 14 Apr 2005

Indonesia and China to forge strategic partnership

Zakki P. Hakim and Adianto P. Simamora, The Jakarta Post, Jakarta

Indonesia and China will forge a strategic partnership in a bid to boost bilateral cooperation in the fields of trade, investment, infrastructure, and agricultural, Minister of Foreign Affairs said on Wednesday.

The presidents of the two countries will sign a declaration of partnership on April 25, a day after the commemoration of the golden jubilee of the Asia-Africa Conference attended by Chinese President Hu Jintao.

"Indonesia has agreed to establish a strategic partnership with China. A declaration will be signed by the presidents of Indonesia and China in this regard," Hassan told reporters at a joint press conference with the chairman of Chamber of Commerce of Industry (Kadin).

President Hu will attend the Asian-African Summit to be held in Jakarta from April 22 to April 23 bringing with him a 135- strong delegation.

Hu is also slated to address the international business summit organized by Kadin in Jakarta. Some 30 Chinese CEOs from several companies are expected to attend the business summit.

President Susilo Bambang Yudhoyono and Hu first discussed the strategic partnership issue during their meeting on the sidelines of the Asia Pacific Economic Cooperation (APEC) forum in Santiago, Chile last year.

"The signing of the declaration is a follow up to the meeting of the two leaders in the APEC forum in Santiago," said Hassan.

To make such a partnership work well, Hassan urged Indonesian business people to utilize the rapid growth of the Chinese economy.

"The opportunities for partnership will be depend on Indonesian readiness to utilize Chinese economic growth," he said.

The two countries' bilateral trade has been on the rise in the recent years.

The Central Statistics Agency (BPS) showed that Indonesia's non-oil and gas exports to China stood at $531.4 million during the period of January to February 2005, a significant rise compared to $437.4 million in the same period last year.

Asked about the newly established bilateral cooperation agreement between China and India, Hassan said that the better economic performance of the two countries would provide a positive contribution to Indonesia.

"We welcome the cooperation (between China and India) because it is expected that the economies of these two countries will improve and in turn, this will open opportunities for Indonesia," he said.

China and India agreed to boost their bilateral trade from $7 billion to $20 billion by 2008.

In a clear sign that they wished to put an end to decades of bitterness, India's Prime Minister Manmohan Singh and Chinese Prime Minister Wen Jiabao issued an historic joint statement on Monday.