- During the period under review the Committee
on Trade and Tourism met twice for their 27th
Meeting in, Yogyakarta, Indonesia on 28-30 August
1989 and 28th Meeting in Cebu City, the Philippines
on 12-14 March 1990. Trade Initiatives as
directed by the Third ASEAN Summit in 1987
continue to be the main thrust of the work of COTT.
- On the implementation of the Protocol on
Improvement and Extension of Tariff Preferences
under the ASEAN Preferential Trading Arrangement
(PTA), all member countries have implemented the
1989 Programmes, into which a total of 500 new
items have been introduced with a minimum Margin
of Preferences (MOPS) of 25%. This has brought
the total number of items which are accorded
preferential tariff to 15,295. With respect to the
existing items, 3,544 of which have enjoyed further
deepening of the MOPS.
- With regard to the Exclusion Lists, member
countries are in the process of compiling the remaining
respective Lists. Once these Lists become
available, the ASEAN Secretariat will publish them.
- At the request of the private sector, COTT has
identified an indicative list of 159 chemical products
as candidate for inclusion in the positive list proposed
for reduction of ASEAN content requirement
from 50% to 35%. The list will be finalized after
consultation between member countries and their
private sector.
- With respect to the implementation of the
Memorandum of Understanding on Standstill and
Rollback of Non-Tariff Barriers (NTBs), the bilateral
consultations under the Trade Preference Negotiating
Group (TPNG) took place during COTT
Meetings. Although no consessions were granted
during the period under review, the TPNG sessions
provide an opportunity for member countries to
negotiate the request list for roll back of Non Tariff
Measures (NTMs) and exchange views on the matter.
Member countries have already started to
exchange the information on the NTMs that were
removed unilaterally or through the course of
bilateral consultations as well as the information on
tariff changes taken unilaterally since the Third
ASEAN Summit.
Intra-ASEAN Cooperation in Commodities
- The Ad-Hoc Working Group on Commodities
set up under COTT also met during the COTT
Meetings to consider ways to implement the 8-point
initiatives on commodities as agreed by the Third
ASEAN Summit. Member countries agreed on the
assignment of responsibility and prioritization of
commodity list as well as the work programmes on
market development of ASEAN commodities. The
possibility of establishing producers associations
will also be explored for commodities of which two
or more ASEAN member countries constitute the
major producers. With regard to the ASEAN Data
Bank on Commodities (ADBC), member countries
agreed that in the initial period, it would be an
integral part of the ASEAN Secretariat and linked
to member countries. Meanwhile, a request would
be made to the UNDP to conduct a feasibility study
on its establishment.
ASEAN Trade Fair
- The Fourth ASEAN Trade Fair was held in
Jakarta on 3-13 October 1989. The event which
was participated by private sectors of ASEAN
member countries was a successful one, drawing
a total of 250,000 visitors and more than 2,000
buyers. The sale contract during the Fair amounted
to US$ 67.9 million. The Fifth ASEAN Trade Fair
is to be held in Kuala Lumpur in 1991.
Private Sector Participation
- At the consultation session with the representative
of the ASEAN-CCI during the COTT meetings,
views on matter of mutual interests were
exchanged, particularly with regard to problems
faced by products of ASEAN origins exported to
major dialogue partners. The ASEAN-CCI was
assured that their concerns have been duly taken
up with the dialogue partners. COTT requested the
private sectors to provide specific details for the
products that are currently affected, such as canned
seafood, meat products and fresh fruits and
vegetables. As regard the reduction of ASEAN content
requirement exercise, the ASEAN-CCI was requested
to submit items of their interest apart from
the chemical products which are already under
the consideration of member countries.
- The ASEAN-CCI was urged to consider increasing
their involvement and be more active in
the meetings conducted by ASEAN officials, particularly
in meetings of the economic committees
and dialogue with third countries as the amended
revised Guidelines on the Private Sector Participation
now provide greater scope for them to do so.
To this end, the ASEAN-CC[ met with members of
COTT in May 1990 in Bangkok for a "brainstorming"
session to discuss ways and means to implement
guidelines and at the same time to improve
upon present arrangements to enable the private
sector to benefit as much as possible from ASEAN
meetings.
Uruguay Round of Multilateral Trade Negotiation.
- As the Uruguay Round of the Multilateral
Trade Negotiations moves into the final stage,
ASEAN member countries recognize the needs for
even greater and closer coordination at all levels.
To this end, the 21st AEM agreed that ASEAN
should develop common approach on negotiating
issues to guide the ASEAN negotiators in Geneva.
Based upon COTT recommendations, common
elements were endorsed by the 21st AEM to form
a basis for the proposed guidelines in 6 areas of
negotiation, namely; Tropical Products, Agriculture,
Trade-Related Intellectual Property Rights (TRIPs),
Trade-Related Investment Measures (TRIMs), Trade
in Service, and Safeguards. The 21st AEM, however,
agreed that while they are to have common
general positions, the ASEAN negotiators in Geneva
would retain the flexibility of individual countries
to state their positions on issues of particular
interest to them.
International Economic Issues.
- On international commodities issues, ASEAN
ASEAN member countries continue to adopt joint
common approaches on various issues of their concern,
such as anti-tropical timber campaign, anti-
tropical vegetable oils campaign, farm subsidies and
the Common Fund for Commodities. With regard
to the anti-tropical timber campaign, in view of the
worsening situation, the 21st AEM agreed to form
an ASEAN Ministerial delegation to promote better
understanding in the consumer countries, particularly
the EC. In connection to the Common Fund,
ASEAN joint efforts had produced result in the
appointment of officials of ASEAN member countries
to the post of Managing Director and the
Executive Board of the Common Fund.
- As for trade restructive measures affecting
ASEAN Export, based on COTT's recommendations,
the 21st AEM adopted the 7-point common
approaches on trade restrictive measures against
ASEAN products. The 21st AEM also agreed to the
setting up of the ASEAN Experts Group to study
the manifestation and implications of the CVD and
anti-dumping actions and other trade restrictive
measures of major trading partners affecting
ASEAN products and to recommend common
approaches and positions to counter such actions.
The 28th COTT agreed on the composition and the
Terms of Reference of the Experts Group.
ASEAN Technical Experts Group on the EC
Standards
- As directed by the 21st AEM, COTT considered
and approved the Terms of Reference of an
ASEAN Technical Group to monitor and appraise
developments and to consult with the EC officials
on the evolution and harmonization of standards as
the EC develops towards the Single Market in 1992.
The Technical Experts Group is to convene their first
meeting back-to-back with the EC-funded seminar
on standards in food sector.
Post COTT Meeting with the Deputy USTR
- Immediately after their 27th Meeting, COTT
held a meeting with the Deputy US Trade Representative
to exchange views on multilateral trade
issues, ASEAN-US trade relations and cooperation
programmes such as ASEAN Automatic Data
Exchange (ADE) and ASEAN Private Investment and
Trade Opportunities (PITO). On the ASEAN-US
Initiatives, upon an approval of the AEM and the
USTR on the terms of reference, a Joint Working
Group between ASEAN and US at Senior Officials
Meeting level would be set up to review the ASEAN-
US trade relations with a view to strengthening and
enhancing it.
Cooperation in Tourism
- The Sub-Committee on Tourism held their
24th and 25th Meetings in Manila and Pattaya,
Thailand on 21-24 August 1989 and on 11-14
January 1990, respectively. They also had a
Special Informal Meeting on 4 August 1989.
Significant progress has been achieved in the various
activities under their purview.
- As a way to commemorate the 25th Anniversary
of ASEAN, 1992 has been designated as the
Visit ASEAN Year. The six ASEAN countries will
be promoted as one single tourist destination.
Marketing activities pertaining to the VAY '92 campaign
have been well on the way, including the
production of the ASEAN Film and ASEAN Update
newsletter. An advertising agency and its
associated public relations consultancy firm have
been contracted to carry out the VAY '92 promotional
campaign focusing on the four countries/
region that have been designated as principal
markets, namely; Japan, Australia, West Germany
and the ASEAN region. Campaign will center around
the theme "ASEAN-the World's Only 6-in-1
Tropical Paradise.
- Cooperation also came from the dialogue
partners for the VAY '92 campaign. Japan through
the ASEAN Promotion Centre on Trade, Investment
and Tourism had allocated US$ 300,000 for the
production of an ASEAN Film in Japanese which
was completed in March 1990. The EC support
comes under the ASEAN Integrated Marketing
Strategy Project which is jointly funded by ASEAN
member countries. Starting from February 1990 for
a period of three years, the project aims to develop
selected European markets for ASEAN. With
respect to coordination from other ASEAN bodies,
favourable responses have been received from the
ASEAN national carriers, ASEAN Tourism Associations
(ASEANTA) and Committee on Culture and
Information (COCI) in connection with SCOT�s
requests for their support in the VAY '92 campaign.
The VAY '92 National Committees are in the process
of being formed in each member country to
coordinate the activities at the national level and
to draw up the VAY '92 Calendar of Events. The
launching of the VAY '92 is planned to coincide
with the ASEAN Tourism Forum 1991 (ATF '91)
in Bandung, Indonesia.
- The ATF '90 which was held in Pattaya,
Thailand on 10-17 January 1990 marked the first
time that the event was held outside the ASEAN
capitals. It brought together 1,115 delegates from
ASEAN NTOs, buyers from overseas, and ASEAN
tourist industries to participate in events which
included the 25th Meeting of the ASEAN Sub-
Committee on Tourism (SCOT), TRAVEX and
ASEAN Tourism Conference. The ATF '91 will be
held in Bandung, Indonesia on 10-16 January 1991.
- Since its establishment, the ASEAN Tourism
Information Center (ATIC) has played a key role in
coordinating and implementing the various SCOT
activities, particularly those in connection with the
VAY '92 campaign and technical assistance projects
supported by the dialogue partners. As its term
expires in 1991 prior to the completion of the VAY
'92, the need for ATIC's extension for another
three-year term is being considered by member
countries.
- As for other projects under the purview of
SCOT, the ASEAN International Passenger Exit
Survey has just commenced. This, along with the
ASEAN Integrated Marketing Strategy for Europe,
represents a US $ 2.68 million Tourism Technical
Assistance programme funded by the EC. Another
EC-funded project under the implementation is the
ASEAN Integrated Manpower Training Programme
which started in September 1989. This training project
aims to establish a certification programme and
an international scheme for manpower in the vocational
and craft areas. With regard to the project
on Estimation of Prepayment of International
Tourists and Economic Impact Study on Tourism,
the EC has just appointed a consultant firm to
implement it.