Rahardi hopes for end of Australian union boycott

Rahardi hopes for end of Australian union boycott

JAKARTA (JP): Minister of Industry and Trade Rahardi Ramelan
said on Monday he was hopeful that an Australian union boycott
against Indonesia goods would end, following Jakarta's decision
to allow United Nations peacekeeping forces in East Timor.

"I'm not particularly worried," Rahardi said.

He said the government would not take any position regarding
the Australian boycott, or the retaliations planned by Indonesian
exporters and importers.

"As a minister, I will not stand in the way if any
(Indonesian) associations threaten to stop trading with
Australia," he said, noting that Canberra was also not taking any
measure to prevent the Australian boycott.

He said the government would not approach the Australian
government to request the union boycott be lifted, adding: "We
have to preserve the republic's dignity."

Australian trade unions began boycotting Indonesian products
on Friday in an effort to put pressure on Jakarta over its
handling of East Timor.

Many goods arriving from Indonesia or destined for Indonesia,
have been stranded in Australian ports as union workers refuse to
load or unload them.

The boycott continued on Monday, and containers worth around
A$50 million to $80 million (US$33 million to $52 million)
started clogging Australian ports and ships waiting off the
coast, Reuters reported on Monday.

Australian commodities affected included wheat bound for
Indonesia, the news agency said, quoting an unnamed Indonesian
source.

Australia's umbrella union body said it had called for an end
to action against flights by state-owned Garuda Indonesia which
were severely disrupted last week.

"In the light of President Habibie's announcement last night,
the ACTU has called on unions to suspend actions that prevent
airline passengers traveling to Indonesia," said Australian
Council of Trade Unions president Jennie George.

"Other bans will remain in place. The ACTU will continue with
its industrial action until it becomes clear that peace and
security has been restored for the people in East Timor," she
said.

Aburizal Bakrie, chairman of the Indonesian Chamber of
Commerce and Industry (Kadin), said the Australian boycott would
have little impact on Indonesian traders, Antara reported.

"Indonesian trade does not depend too much on Australia. If it
boycotts Indonesia, we can turn to other countries," Aburizal
said during a meeting of the APEC Business Advisory Council in
Auckland.

He said the Australian action would stimulate Indonesian
companies to diversify their export markets away from Australia.

Aburizal said he took note of the concerns registered by
Australians regarding the situation in East Timor. "(But) we said
we are also concerned about Australia's threat," he said.

With exception for 1998, bilateral trade has been in favor of
Australia.

According to Australian Embassy figures, Indonesia exported
A$3.56 billion (US$2.39 billion) worth of goods to Australia last
year and imported A$2.15 billion (US$1.44 billion) in return.

In the first four months of 1999, it had exported US$232.08
million and imported $411.73 million, the Ministry of Industry
and Trade said.

The Maritime Union of Australia (MUA) said it would review its
bans on all cargo between Australia and Indonesia on a daily
basis, but indicated a change of heart was not likely in the near
future.

"We're not going to lift any sanctions until there are clear
indications that the human rights abuses and the slaughter up
there (in East Timor) have stopped and the situation is back
under control," MUA deputy national secretary Paddy Crumlin said
in Sydney.

"The announcement of the peacekeeping force clearly does not
resolve the situation up there at the moment," he said.

Australian employers said the bans would not help the East
Timorese.

Industrial action would only hurt Australian companies and
individuals, said Mark Paterson, chief executive of the
Australian Chamber of Commerce and Industry.

"We are concerned about the impact on innocent parties that
can't do anything about the situation in East Timor," he said.
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