8th Indonesia - EU SOM

PRESS RELEASE: 8th Senior Officials Meeting in Yogyakarta, 13-14 July 2009

Indonesia and European Union finalise new partnership agreement

The 8th Senior Officials Meeting between the Republic of Indonesia and the European Commission was held in Yogyakarta on 13-14 July 2009 and discussed various areas of cooperation as well as the recent positive developments in bilateral relations. The Indonesian delegation was headed by H.E. Ms Retno L.P. Marsudi Director General for Europe and America, Ministry of Foreign Affairs. Mr James Moran, Director for Asia, Directorate General for External Relations headed the delegation of the European Commission.

The Senior Officials' Meeting (SOM) welcomed the great progress made by Indonesia with regard to air safety. The EU member states endorsed in the Air Safety Committee the lifting of the air restriction on Garuda, Mandala, Premiair and Air Fast. A new Regulation will make this official and is expected tomorrow.

The EU and Indonesia also discussed the possibilities of a civil aviation agreement that would ensure closer coordination in this area in future. After three years of negotiations, the Senior Officials concluded negotiations on a new framework agreement between Indonesia and the EU. Called the Partnership and Cooperation Agreement (PCA), this is the first bilateral agreement between Indonesia on the one hand the European Community and its Member States, on the other. It is the first of its kind in ASEAN.

The PCA is a major step to enhance relations between Indonesia and the EU. It will assure a close and regular dialogue to reinforce our existing bilateral areas of cooperation, such as our Euro 20 billion annual trade relationship and our expanding cooperation in education, research, environment, energy, tourism and transport. It will also open up dialogue and cooperation on global issues such as border management, tackling organized crime, communicable diseases and climate change. Until the PCA is ratified, the existing Senior Officials'Meetings will continue as our principal means of managing relations.

An official signature ceremony is scheduled to take place later this year between the Foreign Minister of Indonesia and, for the EU, the current Presidency, the Foreign Minister of Sweden, as well as the Commissioner for External Relations of the European Commission. It was also agreed that the Minister of Trade of Indonesia will meet with her EU counterparts later in the year to discuss the various outstanding issues on trade and investment. This will be complemented by a high level business to business "Expo" between companies and chambers of Indonesia and the EU scheduled to take place in Brussels towards the end of the year.

Indonesia and the EU agreed to work closely together in the run-up to the Copenhagen Summit on climate change, scheduled for the end of 2009. As well as working on common positions for the summit, both sides committed particularly to pursue cooperation in the forestry and palm oil sectors and to boost financial cooperation on climate change measures in Indonesia.

On financial cooperation, both sides registered satisfaction with progress, especially as regards agreement on Euro 200 million budget support to primary education for 2010. "Aid-for-trade" support was identified as particularly important – a new 15 million Euro programme has started this year and a further 15 million Euro is planned for 2010. Also Senior Officials confirmed the priorities for the period 2011-13 as being continued support for education and "aidfor-trade" with expanded amounts for climate change and governance.

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