RI insists on its candidate for INRO chief

RI insists on its candidate for INRO chief

JAKARTA (JP): Indonesia has no plans to withdraw its candidate
for head of the Kuala Lumpur-based International Natural Rubber
Organization (INRO) in spite of an objection from Malaysia,
according to Minister of Agriculture Sjarifudin Baharsjah.

Sjarifudin said here yesterday that Malaysia's suggestion to
bring it up during President Soeharto's upcoming meeting with
Prime Minister Mahathir Mohamad was "childish" and unnecessary.

"I'm surprised that Malaysia was so quick to say the issue
must be brought to the heads of government," he told reporters
yesterday.

"We have reasons for thinking that Indonesia has a duty and a
right to propose a candidate for the post. I think (the
governments) need to talk first because Pak Harto and Mr.
Mahathir will have a very tight agenda," he added.

Sjarifudin was responding to earlier reports saying that
Malaysia would refuse to ratify the third International Natural
Rubber Agreement (INRA III) unless Indonesia withdraws its bid
for the executive directorship of INRO.

Primary Industries Minister Lim Keng Yaik also accused
Indonesia of seeking to sabotage Malaysia's bid for the post.

Sjarifudin yesterday refused to disclose the name of
Indonesia's candidate, but asserted: "We have a person of the
right caliber and experience for the post".

The post, first held by Indonesia at the start of the INRA I
16 years ago, is currently held by Thailand's Pong Sono.

Malaysia said Monday that recent developments have caused it
to "seriously consider" whether or not to join INRA III.

INRA III can only replace INRA II, which expired last
December, if it can get 75 percent of the votes of both INRO's
exporting and importing members by Jan. 1, 1997.

Sjarifudin said he is not bothered if Malaysia decides to
refrain from signing the global rubber agreement because
Malaysia's rubber production has been decreasing with the
conversion of its rubber plantations to other uses.

"Rapid industrial development has cut back the contribution of
natural rubber in many industries, so I think there's no point in
walking out on the agreement. What disturbs me is how quick they
were to suggest bringing it to Mr. Mahathir and Pak Harto,"
Sjarifudin said.

INRO, which groups six producers led by Indonesia, Thailand
and Malaysia and 21 consuming parties headed by the United
States, the European Union and Japan, administers INRA through a
buffer stock mechanism to stabilize rubber prices.

So far only six INRO members have ratified the pact, namely
Japan, Spain and Greece, representing the consumers, and
Thailand, Sri Lanka and Nigeria from the producers' side,
officials said. (pwn)