The 24th AEM held in Manila on 22-23 October 1992 prepared the way for the implementation of the CEPT Scheme for AFTA by I January 1993. The Meeting discussed the implementing details of the AFTA Agreement, including the rules of origin, principles and lists of products for accelerated tariff reduction, operational procedures, and products for inclusion. It directed the AFTA Council to finalize the operational details of the CEPT Scheme.
The AFTA Council, which was established by the Fourth Summit to supervise, coordinate, and review the implementation of the CEPT Scheme for AFTA, met thrice in 1992 to set the stage for the launching of AFTA. In the Third Meeting of the AFRA Council in Jakarta on 11December 1992, the operational details of the CEPF Scheme for AFRA were finalized and the profile of the CEPT product inclusions and exclusions were announced based on the indicative lists exchanged among Member Countries.
The SEOM Meetings held after the Third AFRA Council Meeting in December 1992 were directed towards finalizing the list of CEPT products. To ensure the successful implementation of the CEPT Scheme, work towards the harmonization of product nomenclature, as well as the standardization of product quality was initiated.
Cooperation in Industry, Finance and Investment
The ASEAN Economic Ministers (AEM), at its 24th Meeting in Manila, called on the establishment of a collective body for long-term coordination on product standards and quality. As a result, the ASEAN Consultative Committee on Standards and Quality (ACCSQ) was formed in February 1993. The first Meeting of ACCQ framed a Terms of Reference for their long-ten-n work and established four Task Forces on the following areas: (a) harmonization of standards, (b) testing and accreditation of laboratories, (c) conformity assessment, and (d) technical information.
To ensure the smooth implementation of AFTA, it was necessary to harmonize the tariff nomenclature beyond the currently internationally accepted 6 digits of the Harmonised System (HS). Towards this end, the SEOM agreed at its meeting on 12-13 July 1993, to begin a three-stage programme for the harmonization of ASEAN tariff nomenclature as follows: (1) consolidation of tariff submissions by tariff lines; (2) identification of problem areas; and (3) resolution of problems and agreement on a harmonized ASEAN tariff nomenclature by ASEAN tariff customs officials.
The Second Protocol to amend the revised Basic Agreement on ASEAN Industrial Joint Ventures (BAAIJV) incorporating further improvements to the ASEAN Industrial Joint Ventures (AIJV) Scheme was initialed by the AEM at their 24th Meeting of October 1992 in Manila. The Protocol is expected to be signed by all ASEAN Foreign Ministers in July 1993. Amendments to the legal agreements became necessary on account of the dissolution of the five Economic Committees including the Committee on Industry, Minerals, and Energy (COIME).
ASEAN Cooperation in Intellectual Property was also initiated by the ASEAN Standing Committee (ASC). The cooperative arrangements resulted from the first consultative meeting held in Geneva in January 1993 at the World Intellectual Property Organization (WIPO) headquarters.
On investments, the 25th AMM in July 1992 agreed that officials responsible for investment promotion should conduct regular consultations with a view to increasing the inflow of foreign direct investments in ASEAN. Following this directive, the Investment Coordinating Board of Indonesia convened a Consultative Forum for the Promotion of Foreign Direct Investment in ASEAN countries. The Forum signed a Memorandum of Understanding incorporating mechanisms, objectives, and plans of action to guide the ASEAN Member Countries. The Forum, which decided to meet yearly, agreed to undertake studies on the feasibility of establishing ASEAN Promotion Centres in various parts of the world.
The 12th ASEAN Centre (Tokyo) Council Meeting held in Tokyo, Japan, in December 1992 decided to organize an ASEAN Fair in Osaka in 1995 with the theme "Japan-ASEAN Cooperation Towards the 21 st Century through Trade, Investment and Tourism". The project is a new initiative of the ASEAN Centre to feature ASEAN, introduce high quality products, attractive investment incentives and interesting tourism destinations in the region.
Cooperation in Energy and Minerals
To enhance further economic development in the region, the cooperation in the area of energy and energy conservation have been given increasing attention. The AEM on Energy Cooperation, at their meeting of 28 January 1993 in Bangkok, approved the undertaking of a study on designing a master plan on natural gas development and utilization with funding from the European Community (EC). The Meeting also approved the formation of an Experts Group on Energy Conservation to further enhance ASEAN economic cooperation in energy.
In the area of coal development, the 3rd Intra-ASEAN Coal Workshop was held in the Philippines on 20-23 October 1992 to promote cooperation in coal development through exchange of information in coal resources, sharing of existing facilities and enhancement of intra-ASEAN coal trade and joint venture coal projects.
On electricity, considerable progress has been achieved through activities undertaken under the auspices of the Forum of Heads of ASEAN Power Utilities. These included the agreement on the Terms of Reference for future activities on micro/mini-hydro power plant development. The activities included exchanges of information and experience on planning, design and construction of micro/ mini-hydro development. On interconnections, the Terms of Reference for the feasibility studies on the four medium-term projects had been identified and submitted to potential sources of technical assistance. Technical assistance from Australia had been secured for the prefeasibility study of the Sarawak-Brunei Darussalam-Sabah Interconnection Project.
On minerals, the ASEAN Secretariat has proposed to ASEAN Member Countries to examine ASEAN cooperation in the area of industrial minerals. The establishment of a Regional Development Centre on Mineral Resources (ARDCMR) has been suggested for consideration. Meanwhile the establishment of focal points on industrial minerals development would be initiated by the ASEAN Secretariat for consideration by Member Countries.
Cooperation in Food, Agriculture and Forestry
Agriculture still remains the major employer of the labor force in ASEAN. Cooperation in this area has always been active with recent initiatives being undertaken within the Framework Agreement on Enhancing ASEAN Economic Cooperation adopted by the Fourth Summit. The 14th Meeting of ASEAN Ministers on Agriculture and Forestry (AMAF) held in Bandung on 8-10 October 1992 identified the specific areas of cooperation in food. agriculture and forestry governed by the Framework Agreement. These included, among others, increasing agricultural output to meet regional and international demand, conserving natural resources, and improving agricultural and forestry sustainability.
To increase the availability of food and make the condition of food satisfy the need of the market, cooperation in food handling featured importantly among the ASEAN Member Countries. Many new developments took place during this period. The ASEAN-Australia Postharvest System Improvement Programme (AAPSIP) started operations in 1992. A number of regional training programmes, consultancies and study tours in the area of livestock and horticulture have been conducted. While ASEAN countries have made progress in improving grain post-harvest systems, there is still a need to tackle new emerging postharvest problems in the ASEAN region. In view of this, the 14th Meeting of AMAF in October 1992 supported the establishment of the ASEAN Grain Postharvest Technology Centre (AGPTC) to undertake studies on grain postharvest systems, particularly on the programme to strengthen the food security status in Member Countries.
In fisheries, activities of the ASEAN Aquaculture Development and Coordination Programme (AADCP) were satisfactorily implemented by the collaborating ASEAN-EC institutions. The activities included training, workshops, fellowships and exchange missions in ASEAN and EC countries. A mid-ten-n evaluation team was fielded by EC in June 1993. A report from the evaluation team would be expected after the period under review. Under the ASEAN- Canada Fisheries Postharvest Technology Project Phase U, the Regional Workshop on Fish Inspection was conducted in Jakarta on 30 November to 3 December 1992 to develop a self-regulatory quality control programme. The pilot project in Brunei Darussalam, Philippines and Thailand has also been initiated.
To continue ASEAN's efforts to counter the Anti-Tropical Timber Campaign, the ASEAN Institute of Forest Management (AIFM) disseminated the brochure entitled "Forest Conservation, Sustainable Management and Development - an ASEAN Commitment" to all Member Countries. The brochure was also distributed during the Joint Indonesia-Malaysia Mission to Japan in September 1992. Phase 11 of the AIFM was inaugurated on 26 July 1992 with the signing of the Memorandum of Understanding between Malaysia and the Government of Canada in Manila. Under Phase 11, the activities of the project would be expanded to include forest protection, integrated forest resource management, silviculture and reforestation. With the combined assistance of the EC, Malaysia and other ASEAN Member Countries, the ASEAN Timber Technology Centre (ATTC) successfully implemented Phase I activities in providing services to ASEAN Member Countries and other countries on timber industry. The EC has agreed to provide bridging assistance to the project until the end of 1993 as the Project Agreement for Phase 11 was still under preparation.
Cooperation in Transportation and Communication
The period under review saw the completion of the Second Integrated Work Programme in Transportation and Communications (IWPFC), 1987-91, and the launching of the Programme of Action in Transportation and Communications (POATC), 1992-96, endorsed by the AEM.
With a view to contributing towards the achievement of ASEAN's ultimate goal of establishing the ASEAN Transportation and Communications Networks, the Programme of Action seeks to further enhance regional collaboration in the provision of safe, efficient and innovative transportation and communications infrastructure network, system and services. The projects and/or programme activities addressed five main areas determined by the Programme of Action, namely, (a) policy, (b) economic and technical studies, (c) human resources development, (d) institutional building, and (e) exchange of information and sharing of expertise.
Among the major projects which have been approved and submitted for financial and technical support include the Multimodal Transport and New Information Technology, ASEAN Transport and Communications Policy Studies, and Contingency/ Response Plan for Hazardous Cargo Emergencies. Projects at the sub-sector level had been selected to help achieve the objectives of the land, shipping and ports, and civil aviation and related services subsectors, as well as those of posts and telecommunications. Some of on-going projects in telecomunications include ASEAN Optical Fibre Submarine Cable Network, Satellite Communication Development, and Ku-band Propagation Measurement Programme on Earth Space Paths.
Cooperation in Tourism
Cooperation in tourism is aimed to promote regional tourism interaction among the peoples of ASEAN and to develop viable and competitive tourist industries in the region. Projects during 1992/93 were aimed at promoting the attractiveness of ASEAN as tourist destinations for visitors from Japan, Europe, the Americas, Oceania and Asia.
Projects included those dealing with the promotional, marketing, manpower development and research aspects of tourism. Among these were projects like European Tourism Demand and Marketing Strategy for ASEAN, Familiarisation Programme for Korean Tour Operators, Korean Language Training Programme for Tour Guides, Assistance for Visit ASEAN Year 1992, Campaign for the Korean Market, and Assistance for Visit ASEAN Year 1992 Campaign for the Korean Market Public Relations Programme.