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Big challenges await RI with new EAS members: NZ

As a member of the East Asian Summit (EAS), New Zealand is excited to see how Indonesia leads as ASEAN chair this year, with the US and Russia becoming new members of the EAS

The Jakarta Post
Fri, March 18, 2011

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Big challenges await RI with new EAS members: NZ

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em>As a member of the East Asian Summit (EAS), New Zealand is excited to see how Indonesia leads as ASEAN chair this year, with the US and Russia becoming new members of the EAS. New Zealand’s Ambassador to both Indonesia and ASEAN, David Taylor, shares his views in a recent interview with The Jakarta Post’s Mustaqim Adamrah on bilateral relations and Indonesia’s ASEAN chairmanship. Here are excerpts of the interview.

Question: How are the bilateral relations between Indonesia and New Zealand and what are the challenges the two countries face?

Answer: I think we have a strong relationship. We’re focused on helping Indonesia to work through the transformation that has been taking place for about 12 years. We have our largest aid program in Asia within Indonesia — around NZ$20 million [US$14.4 million]. And the core element within that is our scholarship program, which has increased from 15 last year to 50 this year.

Indonesia is our eighth trading partner, two-way trade pretty much in balance, with about NZ$2 billion in terms of goods trade.

And we’re looking to take that relationship even further forth. There’s an agreement called the AANZFTA, which is a negotiation between the ASEAN economy, Australia and New Zealand. And Indonesia we hope [will] soon ratify ... that would make the trade between the two countries even easier.

I think you can market for a number of Indonesian manufactured foods and for some fruit and vegetables, obviously they have to go through a phytosanitary process.

You already export a lot of oil and palm oil and furniture to New Zealand. There’s also prospects for clothing and footwear.

We’re also working very closely with you in the geothermal sector. We’ve built the Kamojang power plant [in West Java]. We’re training a large number of the geothermal engineers that are working within the industry at the moment. And we are eager to continue to build the geothermal links both through more aid program engagements and through education.

I think the biggest challenge [in bilateral relations] is raising awareness on both sides.

One of the tools that we’ve been using to raise awareness is Facebook. We see that it is a good way to share stories that are relevant to people of both nations.

What can Indonesia and New Zealand do to maximize their true potentials?

One is by getting Indonesia to ratify the AANZFTA, at both ends getting out and telling the story that there are new opportunities.

I would love to see Indonesia open a trade office in New Zealand because that would mean Indonesian government officials actively looking to promote trade from Indonesia to New Zealand.

We have a trade team in our embassy here, and we get regular visits from experts of our sides who are coming, looking at opportunities and building relations with key Indonesian companies and investors.

The second thing: I think that it would be very positive having a direct service again between Indonesia and New Zealand. [State flag carrier] Garuda [Indonesia] used to fly, but because of its economic issues 13 years ago, it stopped its service.

A third area of mutual cooperation is the agricultural sector. As part of our commitments under the free trade agreement, we’ll be providing some programs to help build the capacity of the Indonesian agricultural sector.

Indonesia is chairing ASEAN this year. How do you think of Indonesia’s performance now and in the future?

The role that Indonesia has played in finding a way forward in the Thailand-Cambodia border dispute, I think, is particularly praiseworthy.

I think there’s a period of change in the region. ASEAN has signed in a very ambitious plan to integrate.

I think [our] main expectation is around shaping the East Asia Summit. The new organization has got new members — Russia and the United States.

We look into Indonesia to help forge a consensus among the members of the East Asia Summit on that way forward.

Another piece of work that Indonesia needs to be focusing on is how the East Asia Summit proceeds and develops alongside APEC, in particular with deals of world economic agenda.

Will the inclusion of the US and Russia in the East Asia Summit impact the region or give change to regional architecture?

It’s inevitable that when you bring in countries like the US and Russia, there will be changes with your own global agenda, in understanding an issue. In the chairmanship role, Indonesia has something to prove, how to co-opt the US and Russia in a positive way with the existing East Asia Summit members and agenda.

But the next question — are there associated risks with the expansion of the East Asia Summit? I prefer to see more opportunities because I think any policy dialogues where we got the US and Russia at the table about regional interests, it’s going to be a stronger joint-conversation.

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