New tariff team unrelated to olefin protection debate
New tariff team unrelated to olefin protection debate
JAKARTA (JP): Two senior cabinet ministers yesterday
reiterated their position on the formation of the country's new
tariff team, saying that it is not related to the controversy
over proposed protection for PT Chandra Asri's olefin project
worth US$1.7 billion.
"Like I've said before, the President's decision to reshuffle
the tariff task force has nothing to do with Chandra Asri,"
Minister/State Secretary Moerdiono told reporters after meeting
with President Soeharto here yesterday.
In yesterday's meeting with Soeharto, Moerdiono was
accompanied by Coordinating Minister for Industry and Trade
Hartarto, the new chairman of the tariff team, which used to be
chaired by Minister of Finance Mar'ie Muhammad.
"The President told me about the reshuffle of the tariff team
early last month, long before the Chandra Asri executives went to
the House of Representatives (DPR)," Moerdiono said.
The company's executives urged the DPR earlier this month to
support their proposal for the imposition of a duty between 35
and 40 percent on imports of olefin products, the raw materials
used for various downstream industries.
The request has subsequently led to a heated debate involving
many business leaders, economic analysts as well as politicians.
Mar'ie
Minister Mar'ie, for example, has been reported as an opponent
of tariff protection for the olefin project, which is backed by
the Bimantara Group, Napan Group and Barito Pacific Group.
The debate was intensified further two weeks ago when the
government reshuffled the team to replace Mar'ie with Hartarto as
chairman. Other changes included Minister of Agriculture
Sjarifudin Baharsjah, an assistant to the Coordinating Minister
of Industry and Trade, and State Minister of Investment Sanyoto
Sastrowardoyo as new members. Mar'ie is now vice chairman of the
new line-up, which also includes old members Minister of Industry
Tunky Ariwibowo and Minister of Trade Satrio B. Joedono.
"I will give further explanations about the new team in
January, together with Mar'ie Muhammad," he said.
Hartarto did not mention whether a decision on Chandra Asri
would be reached by then.
The minister said, instead, that the new team's basic duty is
to "prepare the country's journey toward a free trade system of
the ASEAN Free Trade Area, the conclusion of the last meeting of
the Asia Pacific Economic Cooperation (APEC) forum and the
General Agreement on Tariffs and Trade (GATT)."
Moerdiono also cited that the team would work towards more
efficiency in the country's industrial sector from upstream to
the downstream activities. (hdj)