Indonesia urges Taiwan to ease import rules
Indonesia urges Taiwan to ease import rules
JAKARTA (JP): A senior Indonesian trade official urged Taiwan
yesterday to ease import barriers to redress the huge trade
deficit Indonesia suffers in two-way trade.
Director General of International Trade Djoko Moeljono said
Indonesian exports to Taiwan had been hampered by several
stringent regulations imposed by Taipei.
Djoko cited quarantine requirements for plants, animal and
fishing products, and import regulations for tea, fertilizers,
garment products and food additives.
Taiwan had lowered its tariff barriers, but non-tariff
measures, including subsidies for local firms, remained, he said
at a seminar on market prospects in Taiwan and New Zealand. The
event was organized by his office at the Sahid Jaya hotel.
Indonesia registers trade deficits with both countries if oil
and gas products are excluded.
The non-oil trade deficit with Taiwan reached $589 million
last year, with Indonesia importing $1.656 million, while its
exports totaled only $1.067 million.
Indonesia's main imports are industrial machinery and
equipment, special yarns, textile fabrics, knitted fabrics, and
textile and leather machineries.
Indonesia's main non-oil exports to Taiwan include leather
goods, coal, wood and garments. Taiwan is also a major buyer of
Indonesia's liquefied natural gas and some oil products.
Despite the absence of diplomatic ties, Taiwan has become one
of Indonesia's main trading partners, as well as an important
source of private sector investment.
Djoko said Indonesia and Taiwan have placed commercial
attaches in each countries to boost economic cooperation.
On the trade deficit with New Zealand, Djoko also blamed
stringent import regulations, including setting quality standards
for food, high tariffs for textile products, footwear, and
electronic products, the antidumping regulations and favorable
treatment granted to members of the Commonwealth.
The non-oil trade deficit with New Zealand reached $179.9
million last year from imports of $244.5 million and exports of
only $64.6 million. Indonesia's main imports include pulp and
waste paper, milk cream and milk products and animal feed.
Djoko noted that Indonesian exporters have not given enough
attention to New Zealand because of its distant geographic
location.
To bolster trade with Indonesia, New Zealand has lowered its
import tariffs and agreed to set up joint a trade committee.
Djoko said Indonesia runs trade deficits with 11 of its major
trading partners, including Taiwan, Germany, the United States
and China.
The government was now looking at ways of offsetting these
deficits, he said.
They include identifying products most needed by the trading
partners, setting up bilateral trade forums, sending trade
missions, and conducting trade diplomacy to expand the country's
export market and identifying the problems curbing export growth.
(08)