Fri, 22 Jul 2005

Political will needed to solve Ambalat issue: Malaysian envoy

Veeramalla Anjaiah, The Jakarta Post, Jakarta

The problems affecting Malaysian-Indonesian relations, including the Ambalat issue and the deportation of illegal Indonesian workers, can only be solved by the political will of both countries' leaders, the former Malaysian Ambassador to Indonesia has said.

Ambalat, a maritime area rich in oil and gas reserves, is situated off Indonesia's East Kalimantan province and is claimed by both countries.

The Ambalat issue recently whipped up anti-Malaysian sentiment in Indonesia. Some people consider the outburst represented the accumulated emotion of Indonesian people over Malaysia's forcible deportation of thousands of illegal Indonesian workers, sometimes in an inhuman manner, illegal logging and other issues.

"It's like two brothers (Malaysia and Indonesia) in a big Malay family. We quarrel as well as cooperate in many aspects. This is not the first time we have had problems in our relations. But as close neighbors, we are trying to overcome the problems," Ambassador Hamidon Ali told The Jakarta Post in an interview just before his departure from Jakarta.

Hamidon, one of Malaysia's top diplomats who worked as ambassador to Indonesia from June 2003 to July 2005, was referring to the hiccups in bilateral relations, like migrant labor issues, haze from the forest fires in Sumatra and Kalimantan, illegal logging, human trafficking, border disputes -- including the volatile Ambalat issue -- and terrorism

Malaysia's Minister of Foreign Affairs Syed Hamid Albar has expressed a similar view in the past.

"Our bilateral relations are very good. We manage them very well. We know that there are differences in approaches and some sensitive issues. But we know how to overcome these differences and handle those sensitive issues," Hamid Albar told the Post in Putra Jaya two years ago.

Hamidon said these hiccups should not undermine the strong multi-faceted relationship between the two countries.

"That's why Malaysia attaches greater importance to its relations with Indonesia. Under President Susilo Bambang Yudhoyono our dynamic relations are back on track again," said Hamidon, who is going to take up a new post as Malaysia's Permanent Representative/Ambassador to the United Nations in New York this month.

Hamidon said Malaysia and Indonesia -- which have so many similarities in culture, religion, language and race -- need each other.

"Malaysia is a small country with just 25 million people. We have very limited resources. Our growing economy badly needs Indonesian workers as well as goods. What we want is that Indonesian workers come to Malaysia in a legal manner and work in our country. Now, we are even allowing people to come to Malaysia on tourist visas and find jobs," said Hamidon, an alumni of Harvard University.

He emphasized that Malaysia wants to see Indonesia, which has the largest economy in Southeast Asia, grow and prosper.

"If Indonesia prospers, we also prosper. That's why we want to see a strong, stable and prosperous Indonesia. It benefits us," Hamidon said.

While commenting on the sensitive Ambalat issue, Hamidon said Malaysia is open in finding a solution to the problem.

"Luckily, both countries want to use the United Nations Convention on the Law of the Sea to find a solution to the Ambalat issue. The negotiating teams from both countries are engaged in finding a solution. Malaysia is ready for a political solution or arbitration. We are open on this issue," Hamidon said.

In his personal opinion, there is no point in debating bilateral problems in parliament or the press.

"The best way is to sit down, engage with each other and find solutions," the 55-year-old diplomat said.

Despite all these problems, surprisingly, bilateral trade has been growing strongly since the 1997 economic crisis plunged Indonesia into turmoil.

"Indonesia is our biggest trading partner in the ASEAN (Association of Southeast Asian Nations) region. And our trade with Indonesia is increasing every year," Hamidon said.

The Malaysian Embassy's economics counselor M Radhi A. Razak said bilateral trade between Malaysia and Indonesia increased to US$4.69 billion in 2004 from $3.49 billion in 2003.

"Indonesian exports to Malaysia in 2004 rose to $3.01 billion from $2.36 billion in 2003," Radhi said in a statement sent to the Post.

Bilateral trade with Malaysia has always been in Indonesia's favor. For example, Indonesia enjoyed a trade surplus of $1.33 billion in 2004 and $1.22 billion in 2003.

On the investment side, Malaysian investors -- whose total investments in Indonesia cumulatively amount to $10 billion since 1967 -- want to invest more in crisis-hit Indonesia given the availability of land for oil palm plantations, cheap assets and labor.

According to Radhi, most Malaysian investments were made between 1997 and March 2005, during which period Malaysia invested $6.99 billion.

Hamidon said the Malaysian government not only encouraged its firms to do business with Indonesia but also encouraged Malaysian people to visit Indonesia to strengthen people-to-people contacts.