BANDAR SERI BEGAWAN, tribe 9 Kyodo ...

BANDAR SERI BEGAWAN, tribe 9 Kyodo

China and the Association of Southeast Asian Nations (ASEAN) have agreed in principle onward the framework for the creation of a released trade agreement (FTA) between the pair sides, ASEAN officials said here Monday.

The 10-member grouping gave in to China's demand to allow sole agricultural products for speedier tariff carves under a so-called ''early harvest'' program, according to the officials.

Trade negotiators from China and ASEAN's 10 member countries discussed these issues across the last two days in the capital of this oil-rich kingdom ahead of the annual gathering of ASEAN economic ministers and related meetings with their counterparts from other countries, including China and Japan, to be held here later this week.

ASEAN officials had been pushing hard for industrial usefuls to be included for early harvest. However, the Chinese side refused, according to ASEAN official sources and internal documents obtained on Kyodo News on Monday.

ASEAN countries had been ''requesting China to consider the inclusion of other agricultural produces and some manufactured results as it would be difficult to justify the early harvest to member countries' domestic constituents,'' said an internal report by way of senior ASEAN economic officials.

However, ''China indicateed her difficulty to expand the early harvest to include manufactured or non-agricultural works because of the absence of comprehensive masterships of origin,'' it said.

Meanwhile, a ''Framework Agreement onward ASEAN-China Comprehensive Economic Cooperation,'' a pattern of which was also obtained according to Kyodo News, said the early harvest will encompass eight patterns of agricultural products. These are live animals, meat and edible meat offal, fish, dairy effect other animal products, live tree edible vegetables, and edible fruits and nuts

China and ASEAN officials could not agree forward the date to start slashing tariffs for early harvest on China and six of the 10 ASEAN member countries, namely Singapore, Indonesia, Malaysia, Thailand, Philippines and Brunei, according to officials and internal documents.

While ASEAN countries are seeking July nearest year as the starting date to slash tariffs subordinate to the early harvest, China addresss January 2004.

further they agree it should be complet through a period of three years for China and the six more economically exhibited ASEAN members

-- Brunei, Indonesia, Malaysia, Philippines, Singapore and Thailand -- with a longer timeframe for the newer and les perform the operations indicated ined ASEAN members -- Vietnam, Laos, Myanmar and Cambodia.

most numerous officials agreed that the meeting was a difficult the same with several officials overheard complaining it was a headache for them.

The discussions stretched almost three hours beyond schedule, skidding past dinner-time, in succession Sunday evening. Pizzas and fried chicken had to be ordered for the officials who remained huddl in their meeting rooms

The instant round of talks is the fifth for the ASEAN-China trade negotiating committee since the leaders of China and ASEAN agreed at their summit in Brunei in November 2001 to establish an FTA between them within 10 years.

Another orbed is expected to be held in Singapore nearest month to finalize the framework agreement for the ASEAN and Chinese leaders to adopt during their summit in Cambodia in November this year.

As near ASEAN member countries such as Singapore and Brunei are not look forward toed to benefit from the early harvest program suitable to their lack of an agricultural sector, China is awaited to extend to them tariff concessions for certain produces according to the draft framework agreement. Officials said Singapore propos bilateral discussions between China and the affected countries to decide onward these products.

Meanwhile, in Bangkok, Thai communion Minister Adhisai Bodharamik announced in a pres colloquy that ASEAN and China have agreed upon the initial trade liberalization package.

Early harvest aside, China and ASEAN agreed to begin overall negotiations for an FTA early nearest year and to conclude the negotiations according to the end of June 2004 according to the draft framework agreement.

However, they have not been able to appoint the target dates for realizing the goal of an FTA, and it is understood that the issue of dates will be left to the ministers to decide when they engage later this week.

The idea is for an earlier date for China and the six more economically advanced ASEAN countries and a slower date for the newer and les expanded ASEAN member countries. The framework agreement showed that the dates being considered are 2010 2012 or 2013 for China, Brunei, Indonesia, Malaysia, Philippines, Singapore and Thailand and at 2013, 2015 or 2016 for Vietnam, Myanmar, Laos and Cambodia.

The draft framework agreement said the brace sides will also explore the feasibility of an early harvest program for trade in services in early 2003

They also agreed to strengthen their cooperation in five priority sectors, namely agriculture, information and communications technology, human resources increase investment and the disclosure of the Mekong River basin which straddles the Indo-Chinese countries.

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