Tuna, mushroom exports blocked by EU barriers

Tuna, mushroom exports blocked by EU barriers

JAKARTA (JP): An official reported yesterday that Indonesia's
exports of canned mushrooms and canned tuna to the European Union
have been blocked by low quotas as well as high import tariffs.

Chairman of the National Agency for Export Development Rudy
Lengkong noted that the European Union (EU) has set an annual
quota of only 4,000 tons for Indonesian exports of canned
mushroom, as compared to a quota of 24,000 tons for Poland.

Lengkong said that Indonesia's canned tuna exports to the EU
are also limited to an annual quota increase of six percent.

"How can we earn more foreign exchange from the exports of
processed foods, especially canned tuna, if their increase is
limited to only six percent," Lengkong said.

Lengkong told journalists, after chairing a business meeting
between Indonesia's processed food producers and executives of
the United Nordic Inc. Ab. at the Hilton Hotel yesterday, that
the entrance of Indonesia's canned tuna into the EU is also
hindered by higher import tariffs.

He noted that the EU imposes an import tariff of 24 percent
on canned tuna from Asian countries, including Indonesia, as
compared to only 18 percent on those from African, Caribbean and
Pacific countries.

"If the import tariffs on us are higher than those given to
other countries, our canned tuna will not sell well over there
because the end prices will be more expensive," Jim Wiryawan of
PT Mantrust said.

He noted that EU countries often argue that the lower import
tariffs imposed on African, Caribbean and Pacific countries'
products are based on the General System of Preferences, and
therefore should not bear problems for other countries.

Indonesia's exports of processed food increased by 15 percent
to US$656.3 million in the January-October period of last year
from US$569.2 million in the corresponding period of 1993.

Minister of Trade Satrio B. Joedono has raised concern over
the EU's unequal treatment of agricultural product suppliers.

Joedono hinted that the EU has awarded very low import
tariffs, up to zero percent, on agricultural products from Latin
American countries.

The reason behind giving them low import tariffs, Joedono
said, is to divert Latin American countries from the drug
business into agriculture development.

"We have also declared war on drug trafficking and have been
quite successful. But the developed countries grant nothing to us
for our success," Joedono contended. (rid)