AADCP NEWSLETTER No.9, January 2006

Page 1: AADCP News

In this Newsletter:
·  7th Joint Selection and Review Panel meeting
·  Foot and Mouth Disease Reference Laboratory supported
·  Training in Intellectual Property Search and Examination Procedures
·  3rd Program Stream PCC meeting
·  Customs Capacity Building in ASEAN
·  ASEAN Minerals: Trade and Investment
·  Harmonisation and Integration of Customs Cargo Processing Policies and Practices
·  Profile of key ASEAN staff in AADCP team
·  AADCP Events: February - May 2006

Inaugural East Asia summit enhances regional dialogue

Australia joined the ASEAN Member Countries, Japan, China, the Republic of Korea, India and New Zealand at the first East Asia Summit, which took place in Kuala Lumpur, Malaysia on 14 December 2005. The meeting was chaired by the Chairman of the 11th ASEAN Summit and the Prime Minister of Malaysia, the Honourable Dato' Seri Abdullah Badawi.

Heads of State and Government attending the Summit, including the Australian Prime Minister, the Honourable John Howard MP, had a wide and positive exchange of views on matters of economic and strategic importance. Recognising their countries' growing inter-dependence in many fields, they pledged to a range of measures to promote regional security and prosperity.

Issues addressed by the Summit included de-nuclearisation of the Korean Peninsula, international terrorism and maritime security. To reinforce cooperation in combatting infectious diseases, the meeting adopted the East Asia Summit Declaration on Avian Influenza Prevention, Control and Response.

Leaders discussed development issues including sustainable development, technology transfer, trade and investment related issues, challenges to socioeconomic development, namely poverty, the development gap, capacity building and good governance, and promotion of human rights and democracy. They reiterated their commitment to concerted regional and global efforts to respond to these challenges. Leaders reaffirmed their commitment to a successful outcome of the Doha Round negotiations for freeing up world trade. Strong support was expressed for ASEAN's efforts to realise the ASEAN Community and strengthen links with the region as a whole.

It was agreed to hold the East Asia Summit annually, with ASEAN as the driving force. Leaders welcomed the Summit's constructive discussion and inclusive style. They signed the Kuala Lumpur Declaration on the East Asia Summit which sets out the basis for future Summit meetings. Prior to the East Asia Summit, the Australian Minister for Foreign Affairs, the Honourable Alexander Downer MP, announced a A$10.5 million package of support for the Summit's trade and economic cooperation goals.

The package included:

·  A$5 million to finance joint research into aspects of economic integration between ASEAN and other East Asian nations attending the Summit;

·  A new A$1.5 million Free Trade Agreement Capacity Building Facility to assist ASEAN nations in accessing world markets;

·  A$2.7 million for innovative joint activities related to ASEAN's East ASEAN Growth Area initiative;

·  A$1.3 million contribution to the recently created ASEAN Development Fund.

Page 2: Regional Partnerships Scheme News

7th Joint Selection and Review Panel Meeting

The 7th Joint Selection and Review Panel (JSRP) meeting was held in Jakarta on 25 October 2005. Key objectives were consideration of new project proposals and review of Regional Partnerships Scheme (RPS) progress. Following AusAID's update on the status of the AADCP Mid Term Review, the meeting also considered narrowing and refocusing RPS priority sectors. JSRP Co-Chair Mr Ross Muir, Director, Asia Economic Section, AusAID, commented that we are now more than half-way through implementing the RPS program and this meeting presented a good opportunity to review RPS resources and areas of focus.

ASEC Co-Chair, Mr Dhannan Sunoto, welcomed the addition of independent panel member Mr David Barber. The JSRP recommended that the two proposals submitted for funding be revised. These have since been resubmitted to the JSRP and approved for funding. The two new projects - Cambodia, Lao PDR, Myanmar: Energy Policy System Analysis Project Phase II and Development of ASEAN Common Curriculum on Tourism Project – will commence in the first quarter of 2006.

Foot and Mouth Disease Regional Reference Laboratory

The Thailand Department of Livestock Development (DLD) operates a facility at Pak Chong that, with the support of key project partner, CSIRO Livestock Industries Australian Animal Health Laboratory, will become the designated Regional Reference Laboratory (RRL) for the Southeast Asian Foot and Mouth Disease (SEAFMD) Control Program. Other project partners are the ASEAN Secretariat (ASEC), the ASEAN Sectoral Working Group on Livestock (ASWGL) and the Office International des Epizooties (OIE) SEAFMD Regional Coordination Unit.

The Inception Workshop for the Establishment of a Reference Laboratory for the Southeast Asian Foot and Mouth Disease Control Program was held in Bangkok in June 2005. CSIRO, DLD, ASEC, ASWGL and OIE discussed project implementation and planned the first 12 months of project activities.

In September 2005, CSIRO Quality Assurance Specialist, Mr Ross Lunt, visited Pak Chong to facilitate the process of the laboratory achieving accreditation to the International Standards Organisation (ISO) veterinary laboratory standard (ISO 17025).

In November 2005, heads of national FMD laboratories attended a workshop with senior CSIRO and DLD staff to discuss harmonisation of approaches to FMD diagnosis and formation of the laboratory network with Pak Chong as the hub. The workshop included training in basic diagnostic techniques and quality control as well as a course on packaging diagnostic and infectious materials for transport under International Air Transport Authority (IATA) regulations.

In late 2005, CSIRO Biosafety and Biocontainment Specialist, Mr Peter Le Blanc Smith, assisted RRL staff to develop and implement formal biocontainment policies and procedures.

Advanced Training in Intellectual Property Search and Examination Procedures

ASEAN Trade Marks Examiners recently attended a training course as part of the Advanced Training in Intellectual Property Search and Examination Procedures for Intellectual Property Offices in the ASEAN Region Project managed by IP Australia.

Aimed at enabling participants to more effectively process trade mark applications, topics included core principles of examination, classification and searching systems/techniques, and new types of trade marks.

“One of the most impressive course outcomes was the exchange of information between trainers and Trade Mark Examiners from ASEAN IP offices”, said Mr Matthew Forno, Project Manager and IP Australia Assistant Director of International Cooperation. “Knowledge shared will benefit traders by providing greater certainty in intellectual property rights in the ASEAN region”.

Ms Nurzalina Badruddin, Head of Submission Section, Trade Marks Division, IP Corporation of Malaysia, said “Close interaction between trainers and participants was a very good feature of this course.”

Participants indicated genuine enthusiasm to apply what they had learned. “I have learned so many useful tips for examining trade mark (TM) applications that I can't wait to go back and apply the knowledge to our TM files and applications,” said Ms Norazizah Ja'afar, Deputy Registrar, Registry of Trade Marks of Brunei Darussalam.

A follow-up Patent Examiners course will be conducted in February 2006.

Page 3: Program Stream News

Program Stream News

Activity Implementing Partners for New Projects Briefed

In mid-2005, Cardno Acil conducted the third tender round to select Australian Implementing Partners (AIPs) for the Strengthening ASEAN Plant Health Capacity Project and the Strengthening ASEAN Risk Assessment Capability to Support Food Safety Measures Project.

Successful AIPs RMIT International Pty Ltd, in association with the Department of Agriculture, Fisheries and Forestry, and AMSAT Ltd, in association with Food Standards Australia New Zealand, attended an Inception Briefing at Cardno Acil's Melbourne office on 18 October 2005. Briefing content included the program structure, stakeholders, and financial and reporting processes.

New Program Stream PCC Format Facilitates Cross Project Learning

The third Program Stream Program Coordination Committee (PCC) meeting held in Jakarta on 22-23 September 2005 adopted a new format. Plenary sessions preceded and followed break-out sessions. Project discussions brought together ASEAN Secretariat Desk Officers, Australian Implementing Partners (who attended the PCC meeting for the first time), and ASEAN Regional Focal Points.

These discussions were held in parallel with a policy meeting between AusAID and the ASEAN Secretariat. In addition, Mr Michael Mugliston, Head of Australia's Asia Trade Task Force, provided a comprehensive overview of the ongoing ASEAN-Australia New Zealand Free Trade Agreement (AANZ-FTA) negotiations.

Program Stream is now halfway through its five-year term and significant lessons have been drawn from PCC discussions during this period. These include clearer recognition of the development gap in different sectors and the need to apply differential approaches to achieve regional harmonisation.

Enhanced Customs Capacity Building in ASEAN

Customs reform is an important part of ASEAN's economic integration agenda and initiatives are underway to streamline and harmonise customs practices across the region. The Enhanced Customs Capacity Building Project, is working to establish a regulatory framework for cargo processing and customs valuation. The intention is that enhancing practices in these areas will facilitate trade thus benefiting the economies of all ASEAN member countries. Sustaining an enhanced customs regime will require regional harmonisation of customs practices and organisational reform within national agencies, so capacity building is a central theme of the project.

Australian firm Uniquest Pty Ltd in association with the University of Canberra's Centre for Customs and Excise Studies (CCES) is working with customs agencies from all member countries and the ASEAN Secretariat to implement the project. The principal forum through which the project operates is a program of regional workshops with customs officials from member countries.

Uniquest Project Coordinator Ms Natalie Marinho said, “These workshops enable countries to work together to develop customs models with regional scope. For some countries, the workshops are the first time they have come together to discuss these issues”.

Workshop participants can receive credit towards the CCES Graduate Certificate, Graduate Diploma and Master of International Customs Law and Administration award programs.

The first of four workshops focused on helping customs officers refine their implementation plans for cargo processing was recently held in Kuala Lumpur, Malaysia. Workshops will be held in Bangkok, Manila and Hanoi between January and March 2006.

Announcement of name change

Contracted by AusAID to manage Regional Partnerships Scheme (RPS), Program Stream (PS) and overall coordination of AADCP, ACIL Australia Pty Ltd announced its acquisition by Cardno Ltd and merger with Cardno Ltd's international engineering division in July 2005. Now named Cardno Acil Pty Ltd, the firm will continue to manage the programs through teams located within the ASEAN Secretariat in Jakarta and its Melbourne Office.

Page 4: Regional Economic Policy Support Facility News

ASEAN Minerals: Enhancing Trade and Investment

The Regional Economic Policy Support Facility (REPSF) research study ASEAN Minerals: Enhancing Trade and Investment, focused on how to harness the untapped potential of the minerals sector in ASEAN member countries and capitalise on emerging growth opportunities in global markets. This had been requested by the ASEAN Senior Officials Meeting on Minerals (ASOMM) through the ASEAN Secretariat.

Drawing on the consultations undertaken in ASEAN member countries, the study examined the key factors constraining the development of the minerals sector in the region. The assessment revealed that the relatively poor performance of the sector can be attributed to economy-wide factors such as underdeveloped infrastructure and weak governance, and factors specific to the minerals sector such as poor reliability of geological data and unclear licensing processes. These factors raise the risks associated with mining in the region and limit the capacity of ASEAN member countries to offer an attractive investment regime and mobilise necessary capital. The study also found that, in parallel with global trends, the management of environmental and social issues related to mining are becoming increasingly important in ASEAN, both from the perspectives of investors and the community generally.

The policy recommendations, developed within the ASEAN Minerals Action Plan 2005-2010 framework, highlight the need for a strong and effective policy framework to foster the sustainable development of the minerals sector in the region. This underscores the role of governments in providing strategic direction; the requisite legal, regulatory and institutional frameworks to pursue economic, social and environmental objectives; accountability, transparency and stakeholder engagement; and systems to deliver tangible benefits to their citizens.

The project was undertaken jointly by the Australian Bureau of Agricultural and Resource Economics (Ms Jane Mélanie, Ms Marina Kim, Mr Sam Hester, Mr Peter Berry, Ms Allison Ball and Ms Karen Schneider) and Mekong Economics (Mr Paul Burke, Ms Le Hoa Au Duong and Dr Adam McCarty). The study was completed in December 2005.

Cargo Processing Research Study

Hundreds, if not thousands of physical and paper interactions are required to bring about the movement of goods or services from a supplier in country A to a consumer in country B. Customs clearance is a small but important sub-set of these interactions and according to the recently completed Harmonisation and Integration of Customs Cargo Processing Policies and Practices in the ASEAN Region REPSF project, customs clearance and cargo processing among the ASEAN nations can be further improved and harmonised. The project was carried out by a team from the Society for the Advancement of Technology Management in the Philippines (SATMP) and the Centre for International Economics (CIE) in Australia. Dr Florian Alburo and Dr Joy Abrenica from SATMP led the project to completion.

Team members visited each ASEAN member country customs agency and prepared individual country reports. From these emerged a picture of steady convergence towards the international standards of customs processing spelled out in the Revised Kyoto Convention (RKC) and other international agreements and conventions. The study proposed ways of further enhancing this harmonisation and integration into a more cohesive regional policy and practice for expeditious customs clearance and release. These proposals reflect the fact that some members were further along the path to RKC compatibility than others.

Thus the study proposed:

·  Facilitation of shared experiences;

·  Adoption of common customs data codes, identical units and fields;

·  Development of a regional customs declaration form;

·  Commonality in the sequencing of procedural steps followed by each customs agency and working toward a more interoperable and integrated customs environment;

·  Collective exploration of opportunities opened up by new information technology to simplify and consolidate processes; and