The ASEAN Economic Ministers held Informal Consultations with the representatives of the Southern African Development Community (SADC) on 17 October 1997.

ASEAN was represented by:

1. H.E. Dato' Seri Rafidah Aziz, Minister of International Trade and Industry, Malaysia;
2. H.E. Pehin Dato Abdul Rahman Taib, Minister of Industry and Primary Resources, Brunei Darussalam;
3. On behalf of Indonesia, Mr. Bachrum Harahap, Assistant to the Coordinating Minister for Production and Distribution;
4. H.E. Mr. Sompadith Vorasane, Minister of Commerce, Lao PDR;
5. H.E. Brigadier General David O. Abel, Minister of National Planning and Economic Development, Myanmar;
6. H.E. Mr. Cesar B. Bautista, Secretary of Trade and Industry, Philippines;
7. H.E. Lee Yock Suan, Minister for Trade and Industry, Singapore;
8. H.E. Dr. Narongchai Akrasanee Minister of Commerce, Thailand;
9. H.E. Mr. Truong Dinh Tuyen, Minister of Trade, Vietnam; and their respective delegations.

The SADC was represented by:

1. H.E. Dr. William Shija, the Chairman of the SADC Industry and Trade Sector and Minister of Trade and Industry, Tanzania;
2. H.E. Mr. Alec Erwin Minister of Trade and Industry, South Africa; and their respective delegations.

4. H.E. Dato' Ajit Singh, the Secretary-General of ASEAN and H.E. Dr. Kaire Mbuende, Executive Secretary of SADC were also present at the Consultations. H.E. Dato' Seri Rafidah and H.E. Dr. William Shija co-chaired the consultations. The Consultations was also ascended by H.E. Mr. Keat Chhon, Senior Minister in Charge of Rehabilitation and Development and Minister of Economy and Finance, Cambodia and his delegation as Observer.

5. The Minister noted the progress in the ASEAN-SADC linkage since the First AEM-SADC Ministers Information Consultations during the WTO Ministerial Conference in Singapore in December 1996. The Ministers reiterated the importance of establishing this linkage towards strengthening trade and investment ties between the two regions.

6. The Minister were briefed on the latest developments especially in the progress of economic integration within AFTA and SADC and noted that the linkage in terms of trade and investment been the two regions is at a low level. The two way trade between ASEAN and SADC was US$ 3,220.2 million in 1996. ASEAN's exports to SADC was US$ 1,775.6 million. This represented 0.55% of ASEAN's total exports. ASEAN's imports from SADC was US$ 1,444.6 million or 0.41% of ASEAN' s total imports. SADC imports from ASEAN represents about 4.5% of total SADC imports.

7. The Ministers recognised the enormous potential that exists in the SADC region in terms of market size (184 million people), high economic growth, low inflation rate, raw materials and other resources, including energy. This potential, they agreed was a viable basis for enhanced cooperation between ASEAN and SADC especially in sectors such as metal engineering, telecommunications, agriculture, and infrastructure development.

8. The Ministers noted the developments that are taking place in the context of WTO and post Lome negotiations and agreed that concerted actions should take place among ASEAN and SADC to ameliorate the negative impact and take advantage of opportunities offered by globalisation on their respective Member States.

9. The Minister reviewed areas of cooperation between ASEAN and SADC with a view to bringing enhanced mutual benefits. They agreed that initial cooperation activities can focus on:

1. trade and investment promotion and facilitation;
2. strengthening private sector linkages;
3. links between research institutions; and
4. transfer of technology between the two regions.

10. The Ministers directed Senior officials of both sides and the ASEAN and SADC Secretariats to develop programmes aimed at strengthening cooperation between the two regions.

11. The Ministers agreed that ASEAN and SADC continue to hold regular consultations on the occasion of the AEM SADC Council of Ministers Meetings and on the occasion of international meetings where AEM and SADC Ministers are involved.

12. The Minister noted with appreciation the continued efforts and support of the Heads of State and Government of the ASEAN and SADC countries to strengthen the relationships between the two regions.