Pakistan, Indonesia complement each other economically
Pakistan, Indonesia complement each other economically
This week Pakistan Prime Minister Benazir Bhutto visits
Indonesia. The following is an interview with Mustafa Kamal Kazi,
the new Pakistan Ambassador to Indonesia.
By Gedsiri Suhartono
JAKARTA (JP): Few ambassadors are lucky enough to be visited
by their head of state shortly after they are posted in a
country. Ambassador Mustafa Kamal Kazi is one of them.
"My job is made easier. I will not have to do a lot of running
to find out what I should do. The visit will provide me a very
long and interesting agenda to follow up. It's a blessing in the
open," Kazi said lightheartedly.
He said a well-paved road lies ahead in line with Prime
Minister Benazir Bhutto's visit.
The 49-year-old envoy, who carries himself casually, took up
his post barely a month ago. He is replacing Ambassador M. Tayyab
Siddiqui who is now back at the Pakistani foreign affairs
ministry.
Bhutto is scheduled to arrive tomorrow. She will be
accompanied by a number of cabinet ministers and about 60
businesspeople. The last Pakistan prime minister to visit
Indonesia was Zia ul-Haq in 1983.
Kazi said the vacuum was due to different priorities placed in
each country's respective development.
Kazi regarded the upcoming visit of Bhutto as a turning point
in Indonesian-Pakistan relations.
"Our prime minister attaches high importance to economic
relations with East Asia," Kazi said.
Since 1993, our prime minister has ordered an increase in
economic emphasis to East Asia with the "Look East Approach", he
said.
Kazi said he believed regular state visits would intensify the
relationship between the two countries.
Prime Minister Bhutto's visit aims to emphasize the business
opportunities now available in Pakistan after the liberalization
of its economy has provided incentives for investors.
Kazi said it was not until the late 1980's that his government
realized the importance of deregulation in boosting economic
growth.
"It was early in the 1990s that we realized our potential to
increase trade in a dramatic manner," he said.
Prior to 1980, Kazi added, Pakistan's developmental plan
focused on only the public sector.
According to Kazi, Pakistan has been capturing the attention
of investors in the past two years due to the government's
incentive of allowing a 100 percent foreign ownership.
The time has come, he said, for both Indonesia and Pakistan to
take part in the global economy by introducing their economic
potential.
Indonesia, for example, has raw materials and Pakistan has
been producing machines to process raw materials like sugar cane
and cement, he said.
Pakistan's export to Indonesia increased by 379 percent during
January to September 1995, or from US$18,313 million in 1994 to
$87,712 million.
Major exporting commodities include rice, cotton yarn and
fabric, medical instruments, synthetic rubber latex, and rubber
goods.
New items recorded were sugar molasses and honey, organic
chemicals and iron, steel and aluminum structures.
Indonesia's exports to Pakistan, however, have decreased by 10
percent during the same period. To $84,925 last year from $94,392
in 1994.
"Pakistan and Indonesia offer good markets to each other,"
Kazi said.
Both countries, he said, have a broad range of consumers and
strategic geographic locations conducive to business cooperation.
"We consider Indonesia one of the giants in Southeast Asia,"
he said, adding that Pakistan could be a useful partner for
Indonesia if the latter expands exports to Central Asia.
Politically, Kazi said Pakistan will be seeking Indonesia's
help to gain full dialog partner status in the Association of
Southeast Asian Nations.
Asked how he found life in Jakarta, Ambassador Kazi, who was
previously stationed in Iraq, said: "I am moving into a different
world. From an environment pervaded with confrontation and
conflict to a country where there is compromise and progress."
He said he quickly felt at home, especially because culturally
Pakistan and Indonesia do not differ radically.
Prior to Iraq Kazi served at Pakistan missions in Stockholm,
Addis Ababa, Paris and Tokyo.
Kazi said he believed Indonesia and Pakistan trust each other.
"Indonesia has always been in excellent political standing
with Pakistan," he said, "both countries have been in an
endurable emotionally-laden relationship."
Some 600 Pakistani soldiers helped fight for Indonesia's
independence in the 1940s. Nine of the survivors were bestowed
medals of honor by the Indonesian government last year, said the
soft spoken ambassador.