JAKARTA (JP): Vietnamese President Le Duc Anh is scheduled to arrive here today to begin a four-day state visit which will be highlighted by talks with President Soeharto on a number of crucial bilateral and regional issues.

Anh is scheduled to begin talks with Soeharto tomorrow morning to discuss such issues as the repatriation of Vietnamese refugees from Indonesia's Galang prison and the settlement of a disputed continental shelf in the South China Sea.

"We would like Galang island to be vacated immediately," said Minister of Foreign Affairs Ali Alatas yesterday as he answered questions on the agenda for talks between the two countries.

Recent relations between the two countries have blossomed due to a number trading links and governmental cooperation in the health and agriculture fields. Economic ties have multiplied with Indonesian exports totaling US$165 million a year.

However the remaining several hundred Vietnamese refugees left on Galang island and the unsettled demarcation of the disputed continental shelf remains a political thorn.

The suspended fate of the refugees has delayed Indonesia's plans to develop Galang, located just south of Singapore, as part of the industrial zone which began on Batam island.

The issue of the demarcation line has persisted since the late 1970's. The disputed area lies adjacent to Indonesia's Natuna island where a huge natural gas reserve was found.

Despite the high stakes, Alatas played down the dispute saying that it would only be touched on slightly since governmental committees from both sides were already nearing a settlement.

One of the most important developments to watch during Anh's visit here will be talks on the likelihood of Vietnam's membership of the Association of South East Asian Nations (ASEAN).

"We will know exactly what their intent is after their visit here," said Alatas on the membership issue. "From the start Indonesia has had no objections, nor have their been any from ASEAN, the only problem that remains is synchronizing our economic systems."

Vietnam and Laos have already participated in a number of ASEAN activities such as the ASEAN Regional Forum. The two countries currently hold observer status in the Association.

Alatas pointed to today's visit as Vietnam's growing desire to promote integration with its southeast Asian neighbors.

"It is only a matter of time before ASEAN grants both Vietnam and Laos full membership," he said.

While in Indonesia, Anh will also tour the IPTN the state- owned manufacturing company in Bandung.

Anh will return to Vietnam from Bali on Friday after spending a day on the holiday resort island. (07)