Indonesia`s initiative on mainstay product trade development accepted

Indonesia`s initiative on mainstay product trade development accepted

Indonesia's Trade Minister Gita Wirjawan (left) chats whith Russia's Trade Economic Development Deputy Alexey Likhacheva (ANTARA/Ari Bowo Sucipto)

Nusa Dua Bali (ANTARA News) - Indonesia`s proposal for mainstay product trade development, such as crude palm oil, rubber and rattan--which will contribute to inclusive and sustainable development, boost rural development and reduce poverty--has been accepted.

"The Indonesian initiative was agreed upon by Asia Pacific Economic Cooperation (APEC) trade ministers during meetings on October 4 and 5 and will in general be reflected in the APEC Leaders` Declaration," Indonesian Trade Minister Gita Wirjawan pointed out in a press statement on Monday.

He further revealed that the Indonesian proposal was accepted by APEC economies for further development. The initiative is actually a bigger concept than just an effort to include a product in APEC`s Environment Goods List, which has a commercial orientation, Wirjawan stated.

The Indonesian initiative will contribute to rural development and poverty eradication. It will also boost awareness among people about the importance of environment preservation, from which village residents can draw direct benefits, Wirjawan noted.

It was reported earlier that Indonesia`s efforts to include crude palm oil (CPO) and rubber in the Environmental Goods List (EG List) of APEC had failed again.

"Although they are not included in the EG List, we will continue our efforts to get Indonesian CPO and rubber placed on the list by early next year," International Trade Cooperation Director General at the Trade Ministry, Imam Pambagyo had said after attending a meeting with senior officials of APEC (CSOM APEC) last week.

Pambagyo had noted that various members of APEC had objected to the long process that would follow if Indonesia forced the issue of including the two commodities in the EG List.

In September 2012, leaders and representatives from 21 APEC member countries had approved a list of 54 environmentally friendly goods at the APEC Summit in Vladivostok, Russia. These goods will receive tariff reductions of up to 5 percent by 2015.

"The Vladivostok consensus was passed after a long and difficult process. If the package (of the EG List) that has been agreed upon has to be reopened to add CPO and rubber, other countries must also be allowed to make such additions (and this would take time)," the director general had stated.

He added that other APEC countries were not ready yet to follow suit by making additions because they needed to perform the mandatory consultations at home first.

"We want our aspirations to be accommodated, so we are preparing a stronger proposal," the director general said.

Pambagyo said Indonesia has proposed that for the next year APEC should develop products that focus on sustainable growth, regional development and poverty alleviation.