By AFP, Reuters and Eliza J. Diaz
ECONOMIC INTEGRATION plans were affirmed by leaders of the Association of Southeast Asian Nations (ASEAN) yesterday but simmering tensions have highlighted the hurdles facing the region.
Three joint statements -- on the group’s role in the world, establishment of an Institute for Peace and Reconciliation and on enhancing cooperation against trafficking in persons -- were issued at the close of the 18th ASEAN Summit held over the weekend in Jakarta.
A feud between Thailand and Cambodia, however, overshadowed the conference and the summit ended with no resolution to the dispute, over ownership of territory surrounding a Khmer temple.
A draft communique stating that junta-ruled Myanmar would chair the group in 2014 also raised concerns, although the final statement from host Indonesia said it was still being considered.
ASEAN, which comprises, Indonesia, Malaysia, Brunei, Vietnam, Thailand, Singapore, Cambodia, the Philippines, Myanmar and Laos, is targeting economic integration by 2015.
The region has attracted the interest of investors but ASEAN’s policy of non-interference in its members’ affairs and moving by consensus has led to criticism that it is largely ineffective.
Indonesian President Susilo Bambang Yudhoyono, the summit’s chairman, hosted an unscheduled meeting yesterday between Cambodian Prime Minister Hun Sen -- who launched a surprising verbal attack during the summit’s opening session -- and his Thai counterpart Abhisit Vejjajiva.
The Cambodian premier admitted after Sunday’s meeting that the row was "spoiling" the summit, which was supposed to focus on long-term plans to create a harmonized economic community.
Mr. Abhisit said he was ready for dialogue and insisted the matter be resolved bilaterally, instead of under UN auspices as Cambodia wants. He agreed that the dispute, which was not on the formal agenda of the summit, threatened to undermine the credibility of the bloc’s rhetoric about regional integration and playing a greater role in world affairs.
"I accept that the issue could affect the credibility of ASEAN. We must therefore make sure that any problem should be solved, locally, bilaterally and if needed with the facilitation of the region," he said.
Putting a brave face on the episode, ASEAN Secretary-General Surin Pitsuwan said: "The fact that they are meeting is a good sign."
Other ASEAN leaders were not so sanguine.
Philippine President Benigno S. C. Aquino III, speaking to reporters late Saturday, said ASEAN unity was at stake and expressed concern that the conflict could worsen.
"How can we have one ASEAN, one family if we have two major components who cannot solve their problems?" he said.
Mr. Aquino said he had asked the Cambodian leader whether there was anything the Philippines could do to help, but Hun Sen "just smiled" in response.
"It is very important that we hold together," Indonesian President Susilo Bambang Yudhoyono told leaders, adding the group faced enormous challenges.
"They need to ponder how badly the ill will generated would impede ASEAN collaboration on projects... An ASEAN disunited will be taken less seriously by investors," Singapore’s Straits Times newspaper said in an editorial.
Enrico Tanuwidjaja, an analyst at OSK-DMG Group, said "If the Cambodia and Thailand situation gets worse, then I’m afraid they might have to postpone it (economic integration) to 2020 or even put it on hold."
On the matter of Myanmar chairing ASEAN, US-based Human Rights Watch said the organization would become the "laughingstock of intergovernmental forums" if it granted the request.
Human rights issues involving Myanmar have stalled proposed free trade agreements between ASEAN and other economic blocs such as the European Union.
EU and ASEAN ministers met last Friday -- before the Cambodia-Thailand tiff took center stage -- and they endorsed increased trade ties between the two regions.
"The ministers... agreed on the importance of involving the private sector in the development and implementation of the ASEAN-EU trade agenda," the ministers said in a statement issued after the meeting.
An EU-ASEAN Business Council was also launched last week and the European Chamber of Commerce in the Philippines (ECCP) said the country should move to strengthen its foothold.
"Europe is a huge market that has not been fully recognized by the Philippines yet, since it has, in the past, spent more time and effort on developing its trade relations with the [US]," ECCP Executive Vice-President Henry Schumacher said in an e-mail.
"... Europe matters, but these European markets are not being delivered on a silver plate, so Philippine businesses have to go for it and become more visible in this region," he continued.
Among others, Mr. Schumacher noted that "The Philippine market share of the EU BPO/IT (business process outsourcing/information technology) industry is only 10%, but much more could be done here."
"Philippine food exports are also minimal compared to Vietnam or Thailand, because the country hasn’t been accredited as an agricultural/food exporter yet," he added.
"The Philippine tourism market is not as competitive... [for example] only one airline from Europe flies to the Philippines," he remarked. -- reports from AFP, Reuters and Eliza J. Diaz
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