Trade and Investment Framework
Trade and Investment Framework
Australia and Indonesia
UNDERSCORING the commitment of Leaders to a Comprehensive Partnership between Australia and Indonesia;
DESIRING to strengthen further their close and enduring relationship through enhanced trade and investment links;
RECOGNISING that open, transparent and competitive markets are the key drivers of economic efficiency and contribute to wealth creation and consumer welfare;
UNDERLINING their commitment to maintain outward-looking trade and investment policies to bolster and sustain economic growth;
ASPIRING to promote their mutual interest through future further economic partnership and by forging deeper and broader economic linkages through the facilitation and expansion of trade and investment;
MINDFUL OF AND ADHERING TO their respective commitments to the spirit, rights and obligations of existing membership of global, regional and bilateral agreements and organisations.
Have reached the following understandings:
Both countries will work to:
enhance cooperation on trade, investment and business climate issues;
forge a closer policy dialogue on economic and investment climate issues;
contribute to trade and investment facilitation through minimising impediments, promoting transparency in regulations and reducing costs;
promote business competitiveness; and
enhance capacity building and bilateral technical assistance in the areas of trade and investment policy and economic governance.
Both countries will expand policy dialogue and undertake consultations in the areas of trade and investment facilitation, trade and investment promotion and capacity building.
In taking forward cooperation and dialogue, both Governments will commence work on the issues identified in the Action Agenda at Annex A.
The Working Groups under the Australia-Indonesia Ministerial Forum (AIMF) will, as appropriate, implement the provisions of the Trade and Investment Framework (TIF), focusing on the Action Agenda. Officials will, as a priority, establish a timetable for implementation of the Action Agenda.
Working Groups will coordinate and cooperate on issues, as required.
Relevant Working Groups will meet jointly at senior officials level prior to each meeting of the AIMF, or on an ad hoc basis to address issues identified in the Action Agenda as required.
Trade Ministers at their Annual Meeting, and other ministers as appropriate, at the AIMF will:
- review progress in implementation of the TIF, including of any work program;
- establish new priorities;
- conduct a policy dialogue on business climate issues of relevance to the commercial relationship; and
- establish an experts group to explore ways in which the bilateral economic and trade relationship can be strengthened in the future.
To the extent possible, Australia and Indonesia will endeavour to coordinate closely the efforts of the AIMF, the Australia Indonesia Partnership for Reconstruction and Development (AIPRD) and Trade Ministers' Meetings in implementing the Trade and Investment Framework.
Each country will afford adequate opportunity for consultations to exchange information on issues raised by the other country with respect to measures affecting trade and investment activities between the two countries.
Each country will afford adequate opportunity for consultations on issues related to the possible implications of agreements between either country and a third country or countries that provide for preferential treatment of trade or investment.
Business will be consulted on the Action Agenda as required and involved, as appropriate, in any policy dialogue.
Ministers will periodically monitor and review the progress on the implementation of the framework.
SIGNED at Vientiane on 29 September, 2005.
FOR THE GOVERNMENT OF AUSTRALIA
Deputy Prime Minister
Minister for Trade
FOR THE GOVERNMENT OF THE REPUBLIC OF INDONESIA
MARI ELKA PANGESTU
Minister of Trade
Australia and Indonesia will take forward work on the following priority issues, with a view to reviewing progress at the next meeting of the Australia-Indonesia Ministerial Forum (AIMF) in 2006:
Trade and Investment facilitation
- Reducing costs associated with technical barriers, regulatory and administrative requirements, including through cooperation on standards, and in customs administration.
- Building closer linkages in a range of sectors including, textiles, clothing and footwear, health, education and legal services, food and agricultural processing, energy and mining, and infrastructure development.
Trade and Investment promotion
- Promoting Indonesia and Australia as attractive investment destinations.
- Identifying and implementing initiatives to enhance the environment for business.
- Identifying opportunities for promoting investment opportunities in each others' and third markets.
- Commencing a policy dialogue on business climate issues including, inter-alia, trade and industry policy, taxation issues, customs and other regulatory regimes, investment policy, anti-corruption and judicial reform and infrastructure.
- Continue close dialogue on trade policy issues, including APEC and WTO, in appropriate fora.
- Cooperating further on the provision of technical advice and assistance, as appropriate, on trade and investment-related issues. This includes on sanitary and phyto-sanitary issues, customs, standards and conformance and intellectual property rights, investment and trade policy training.
Small and Medium Enterprises (SMEs)
- Building stronger ties between the private sectors of both countries, particularly among SMEs, which could benefit from increased networking and linkages with each other.