Thailand offers Indonesia agribusiness cooperation
JAKARTA (JP): Thai Prime Minister Banharn Silpa-archa yesterday offered Indonesian companies cooperation in agribusiness, one of Thailand's most rapidly growing export industries.
Cooperation in the sector would further enhance the free trade agreement between the Association of Southeast Asian Nations (ASEAN) of which Indonesia and Thailand are members, Banharn told a meeting with Indonesian business leaders, Antara reported.
Banharn said the potential for cooperation between the countries is huge, and the ASEAN Free Trade Area (AFTA), which is scheduled to come into force in 2003, would further expand the markets.
Thai Minister of Agriculture and Cooperation Suwit Khunkitti, according to Antara, pointed more specifically at processing crude palm oil, rubber and horticulture as the particular agribusiness sectors where cooperation between the countries would be mutually beneficial.
Banharn arrived yesterday for a two-day visit, his first to Indonesia since he was elected to head a seven-party coalition government in July. Banharn and Soeharto have however met on several occasions since then, including in Bangkok in December during the ASEAN summit and last month during a summit meeting of Asian and European leaders, also in the Thai capital.
The two leaders are scheduled to hold their formal meeting today.
Minister/State Secretary Moerdiono said that the two leaders are expected to discuss the prospect of conducting barter trade, with Indonesia supplying locally-produced aircraft built by IPTN in exchange for unspecified Thai products.
A memorandum of understanding on the counter-trade arrangement is also expected to be signed today.
Moerdiono said that during their brief meeting shortly after the state welcoming ceremony at Merdeka Palace, Soeharto and Banharn also underlined the need for ASEAN to expand to include all the 10 Southeast Asian countries.
ASEAN, founded in 1967, comprises Brunei, Indonesia, Malaysia, the Philippines, Singapore, Thailand and Vietnam. The other three countries in the region not included are Cambodia, Laos and Myanmar.
Banharn is also scheduled to make a brief trip to Yogyakarta to visit the ancient Borobudur temple, the largest Buddhist temple in the world. The Thai prime minister and his entourage will also conduct a Buddhist prayer session at Candi Mendut, a temple near Borobudur, before returning home later in the afternoon. (emb)