Fri, 08 Feb 2002

RI and Australia sign pact to combat int'l terrorism

The Jakarta Post, Jakarta

Despite a cool reception by some members of the Indonesian legislature, visiting Australian Prime Minister John Howard attempted to smooth strained ties with Indonesia on Thursday, pledging cooperation in combating international terrorism and a commitment to address trade imbalances.

The Prime Minister also played down the snub by leaders of both the House of Representatives and the People's Consultative Assembly, saying that the important thing was that his visit had secured some good outcomes.

"But the relationship needs careful attention, you can never take it for granted," he said.

Howard witnessed the signing of a memorandum of understanding on cooperation to combat international terrorism, describing it as "a very positive step".

"I think it's very good for relations between our two countries as it addresses a very important issue," Howard said.

Indonesian Foreign Affairs Minister Hassan Wirayuda said after the signing ceremony that the pact provided for the exchange of intelligence information, training, and visits, similar to the bilateral agreements between Indonesia, Malaysia, Singapore and Thailand.

Ties between the two nations soured in 1998 when Australia changed its position on recognizing Indonesia's invasion of East Timor, instead calling for a United Nations'-sponsored referendum on independence for the former Portuguese colony.

Australia then headed an international peacekeeping force in East Timor after Indonesian Military-backed militias went on a murderous rampage after the East Timor people voted for independence in 1999.

Illegal immigration has recently become a sore point, with Australia accusing Indonesia of a "lack of cooperation" in stemming the tide of asylum-seekers arriving in Australian via Indonesia.

Prior to Howard's arrival on Wednesday, two of Indonesia's top politicians -- Assembly Speaker Amien Rais and House Speaker Akbar Tandjung -- formally refused to meet him on a one-on-one basis.

Legislators charged Howard of supporting separatist elements in Aceh and Papua, an allegation that PM Howard vehemently denied.

"It's not my role to be involved in any domestic affairs of Indonesia.. we respect the Indonesian territorial integrity and we don't seek to undermine it," Howard said.

After the comments, Amien attended a state banquet at the State Palace on Wednesday evening, to prevent a further decline in relations.

"If we shake hands and have dinner together, I think it is a win-win solution. We need each other," Amien told The Jakarta Post after meeting a delegation of German parliamentarians on Thursday.

"I take a solution. I don't think I have to worsen this dispute. Don't exaggerate the controversy surrounding the visit of Howard. Misunderstanding between two countries is normal," Amien said.

Howard also addressed a meeting of the Indonesia-Australia Business Council on Thursday, pledging to address imbalances in trade and investment between Indonesia and Australia.

Citing steady growth in trade between the two nations this year, he said good corporate governance and a transparent Indonesian legal system would see further improvement in bilateral trade and investment.

Indonesia exported US$1.5 billion in products and services to Australia and imported $1.7 billion in 2000, while Australia exported $1.65 billion to Indonesia. During the first nine months of last year Australia imported $1.85 billion worth of goods, AFP reported.

According to Australian ambassador to Indonesia Richard Smith, total trade with Indonesia returned to pre-crisis levels of $3.87 billion last year.

In his trip to Yogyakarta later in the day, Howard received a royal welcome from Governor Hamengkubuwono X, who is also the Yogyakarta sultan, despite opposition from local legislature.

Howard held a 30-minute meeting with Hamengkubuwono, which the latter described as a conversation about culture. Hamengkubuwono suggested during the meeting that Australia open a cultural center in the city in order to enable the country "to take part in an intensive cultural dialog between various ethnic groups living in the city."

After dinner, Howard watched a classical dance performance called Beksan Menak Putri Rengganis Widaninggar, which is usually performed to welcome a state guest.

A student demonstration is expected to greet Howard when he visits the Gadjah Mada University on Friday.