1. The Twelfth Meeting of the ASEAN Economic Ministers was held in Kuala Lumpur on 14-15 January 1982. The Meeting was officially opened by His Excellency Dato Seri Dr. Mahathir bin Mohamad, Prime Minister, of Malaysia. The Meeting was preceded by a preparatory Meeting of ASEAN Senior Economic Officials held on 11-12 January, 1982. The Economic Ministers also held a special meeting on 14th January, 1982 to discuss the question. of restructuring of the ASEAN machinery and related organizational questions.


2. The Meeting was attended by His Excellency Mr. Widjojo Nitisastro, Minister Coordinator of Economic, Financial and Industrial Affairs of Indonesia; His Excellency Mr. Radius Prawiro, Minister, of Trade and Cooperatives of Indonesia; His Excellency Mr. A.R. Soehoed, Minister of Industry of Indonesia; His Excellency Mr. Soedarsono Hadisapoetro, Minister, of Agriculture of Indonesia.; His Excellency Mr. Rais Abin, Ambassador of Indonesia to Malaysia; His Excellency Mr. Robert. V. Ongpin, Minister of Trade and Industry of the Philippines; His Excellency Mr. Yusop Abu Bakar, Philippines Ambassador to Malaysia; His Excellency Mr. Edgardo L. Tordesillas, Deputy Minister of Trade and Industry of the Philippines; His Excellency Dr. Vicente B. Valdepenas, Jr., Deputy Minister of Trade and Industry of the Philippines; His Excellency Mr. Victor Macalincag, Deputy Minister of Finance of the Philippines; His Excellency D,. Tony Tan Keng -Yam, Minister for Trade and Industry of Singapore; His excellency M,. Sidek Saniff, Parliamentary Secretary, Ministry of Trade and Industry of Singapore; His Excellency Major General Chatichai Choonhavan, Minister of Industry of Thailand; His Excellency Mr. Thawee Kraikupt, Deputy Minister, of Commerce of Thailand; His Excellency Mr. Narong Wongwan, Deputy Minister., of Agriculture and Cooperatives of Thailand; Ms Excellency Dr. Chirayu Israngkun Na Ayudhaya, Deputy Minister of Industry of Thailand His Excellency Nissai Vejjajiva, Ambassador, of Thailand to Malaysia; His Excellency Tengku Ahmad Rithauddeen, Minister of Trade and Industry of Malaysia; His Excellency Datuk Paul Leong Khee Seong, , Minister, of Primary Industries of Malaysia; His Excellency Dato Abdul Manan bin Othman; Minister of Agriculture of Malaysia; His Excellency Datuk Leo Moggie, Minister of Energy Telecommunication and Posts f Malaysia; His Excellency Dato Lew Sip Hon, Deputy Minister, of Trade and Industry of Malaysia; and His Excellency Datuk Shahrir Abdul Samad, Deputy Minister, of Trade and Industry of Malaysia.


3. His Excellency Narciso G. Reyes, Secretary-General of the ASEAN Secretarian and members of his staff were also present.


4. The Prime Minister of Malaysia His Excellency Dato Dr. Mahathir Mohamed, in his opening remarks welcomed their Excellencies the ASEAN Ministers and their distinguished delegates. The Prime Minister stated that the meeting would chart another landmark in, ASEAN, regional


5. The Prime Minister as pleased to note that considerable progress had been achieved in the field of trade co- operation, industrial cooperation, energy, food, agriculture and forestry, transport and communication as well as ASEANS, collective approach to international issues on commodities, the North-South Dialogue and other international issues. The Prime Minister, however observed that there is room for improvement in the realization of ASEAN projects such as the ASEAN Industrial Projects and the Industrial Complementation Projects. The Prime Minister expressed that the successful implementation of these projects was crucial for the future cooperation and he called upon the private sector, to play their part in carrying out these programme.


6. The Prime Minister stressed that the Meeting should give greater attention to the shipping sector so that ASEAN can be self-reliant in shipping.


7. The President of the ASEAN-CCI Mr. Anand Panyarachun made his presentation to the Ministers on the views and expectations of the ASEAN-CCI with respect to the progress of ASEAN Economic Cooperation and the Ministers expressed their, appreciation to the ASEAN-CCI for their comments.


8. The Meeting noted the recommendations made by the Third Meeting of the ASEAN Economic Minister on Agriculture and Forestry and o noted the recommendations made by the Third Meeting of the ASEAN Economic Ministers on Energy Cooperation.


9. The Meeting considered and adopted Reports of the Committees of the ASEAN Economic Ministers.


10. The Meting approved tariff preferences on 1,948 items exchanged during the 13th COTT Meeting and noted that the number of preferences exchanged under the PTA now totaled 8,529 items. The Meeting agreed to grant a 20-25% margin of preferences on items of import value equal to or less the USS 1,000,000 as recorded in the import statistics of 1978 of member states. The 20-25% margin is also to be applied to the latest list of 1,948 items and to future exchanged of tariff preferences. The Meeting also agreed that COTT should study the implications of raising the concessions to items with import values up to US$2.5 million


11. The Meeting approved and adopted the ASEAN Copper Fabrication Plant (Philippines) as the Fourth ASEAN Industrial Project. The AEM initialed the Supplementary Agreement of the ASEAN Rock Salt Soda ash Project (Thailand). The Meeting decided that in the implementation of the national projects similar to an approved AIP, ASEAN should adhere to the Basic Agreement on ASEAN Industrial Projects. The Meeting also took note of the proposed expansion of Indonesia’s national fertilizer plant.


12. The Meeting adopted and approved policies related to the implementation of the ASEAN Industrial Projects (AIPs) with a two-year time frame for the implementation of subsequent sets of AIPs based n agreed procedures.


13. The Meeting approved 1st June, 1982 as the effective date of the initial 50 per cent across the board tariff cut for products i. the First Package of automotive complementation. The Meting also agreed on a two year implementation period up to 1st January 1984 for the Second Package of new automotive complementation.


14. The Meeting adopted the Integrated Work Programme in Shipping (IWPS) for 1982-1986 and agreed that the feasibility study for setting p of an ASEAN Line, Service be expedited.


15. The Meeting noted the progress of ASEAN Economic Cooperation projects with third countries and international organisations.


16. The Meeting also viewed the progress of the negotiations on iternational economic issues such as ECDC, GATT, MFA and the global negotiations. On ECDC the Ministers reiterated that ASEAN should play a more active role on ECDC matters as agreed at the Eleventh AEM Meeting in Jakarta. The Meeting noted the objectives of the forth coming GATT Ministerial Meeting which will be held i. Geneva in October, 1982 and agreed that a Preparatory Meeting of Senior Trade Official be held. As regards the MFA, the Minister agreed that ASEAN textile negotiators should meet early to discuss a common position in their upcoming bilateral Negotiations with the EEC.


17. The Meeting agreed that the potentials for Technical Cooperation among Developing Countries (TCDC) could be further developed in ASEAN. A meeting of the ASEAN Hads of TCDC national focal points or any appropriate senior officials involved in TCDC will be convened in the Philippines to identify possible area of TCDC which ASEAN as a group may pursue, as well as the mechanism for coordinating ASEAN TCDC activities.


18. The Meeting expressed concern that the implementation of the Integrated Programme for Commodities, especially from the viewpoint of establishing and operating effective international commodity agreements is not proceeding at a satisfactory pace. In the spirit of international cooperation emanating from recent meetings like the Cancun Summit on North- South Issues, the Meeting urged the International Community, especially the developed consuming countries, to ensure the success of international commodity Agreements. The Meeting agreed that ASEAN countries would intensify cooperation on all commodities of interest to ASEAN countries. ASEAN would vigorously pursue a joint approach on these commodities in order to strengthen these commodities and to seek solutions at the international level to problems facing ASEAN producers.


19. In this regard, the Meeting urged all producing and consuming countries to sign and ratify the Sixth International Tin Agreement (ITA) before the deadline 30th April 1982, as a tangible means of promoting producer/ consumer cooperation on commodities, for the mutual benefit of both sides.


20. The Meeting deeply regretted the US move to sell tin from its stockpile to the world market. The Meeting, considered this new move by the US General Services Administration (GSA) as a direct contravention against assurances that have been given by the US to the ITC in general and producers in particular, that the US, in its policy of stockpile releases, would not make any moves that could cause market disruption particularly at a time when tin consumption is till depressed. The Meeting noted that the US moves also obviously do not heed the repeated calls of Ministers of tin producing countries that the US should act responsibly in its stockpile disposal programme. The Meeting urged the US to immediately stop GSA sales of tin in the world market.


21. Considering the rising production costs of NR in producing countries and the need to encourage rubber production, the Meeting agreed that ASEAN together with other producers would press for an upward revision of the, buffer stock price range to a more realistic level in coming meetings of the International Natural Rubber Council. % would ensure that the INRA fulfill its role to bring about balanced growth between the supply and demand for natural rubber and help stabilize rubber export earnings of producing countries.


22. The Meeting agreed that ASEAN should urge the EEC to participate in the International Sugar Agreement and to exert possible efforts so that in the exercise of its commercial policy ASEAN economies will not be hut. Furthermore, it was agreed that ASEAN should request the EEC to avoid unfavorable repercussions of the enlargement of the community on ASEAN-EEC trade in vegetable oil and oilseeds.


23. It vas agreed that ASEAN will request the US and other importing country members of ICO to support ASEAN producers in their request for increase in coffee quota considering the importance of the commodity to ASEAN economies.


24. The Thirteenth ASEAN Economic Ministers was held in the Philippines in May 1982.


25. The Delegates of Indonesia, the Philippines, Singapore and Thailand expressed their sincere appreciation to the government and people of Malaysia for the warm hospitality accorded to them and the excellent arrangements made for the Meeting.


26. The Meeting was held in the traditional spirit of ASEAN solidarity and cordiality.