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CONTENT
1.0 Introduction2
1.1 ASEAN History, Background and targets3
1.2 Definitions and Differences between Signature andRatification 4-5
1.3 List of Agreements under ASEAN Political-SecurityCommunity 5
1.4 List of Agreements under ASEAN Economic Community6-9
1.5 Listof Agreements under ASEAN Socio-Cultural Community 10
2.0 Significance of ratification of ASEAN agreements is toStrengthen
Ties between ASEAN member states 11-14
3.0 Significance of the ratification of ASEAN agreement is to
achieve
ASEAN Vision 2020 15-174.0 Ratification of ASEAN agreements does impact the Economic
Development
Of ASEAN member states by transforming ASEAN into a region with
Single
Market and Production Base, Competitive Economic Region,
Equitable
Economic Development and Integration with global Economy. 18-19
5.0 Conclusion 19
1
References
Name: Ali Al Rashid Bin Ali Al Tamas
Matric: QGD 140002
What is the significance of the ratification of ASEANa greements and treaties? How does it impact on economic
development of ASEAN countries?
2.0 Introduction
The significance of the ratification of ASEAN agreements and
treaties are very important to ensure the development of ASEAN
member states in various fields namely in the three main
pillars which is ASEAN Political Security Community (APSC),
ASEAN Economic Community (AEC) and ASEAN Socio-Cultural
Community (ASCC). Basically, the significance in this context
means the importance of ratification by each member states to
2
comply with any agreements or treaties that have been signed
before. Without ratification of an agreements, it is hard for
ASEAN to act as one and parallel to ASEAN motto which is ‘One
vision, One identity, One community”. Therefore, this paper
will discuss on the significance of the ratification of ASEAN
agreements and treaties is to strengthen ties between the
ASEAN member states with relevant examples, to achieve targets
of ASEAN vision 2020 and the ratification of ASEAN agreements
does impact the economic development of ASEAN member states by
transforming ASEAN into a region with single market and
production base, competitive economic region, equitable
economic development and integration with global economy.
1.1 ASEAN History, Background and Targets
ASEAN Secretariat Fact book (2011), stated that, ASEAN- the
Association of Southeast Asian Nations was established on
August 1967 in Bangkok Thailand with the signing of the ASEAN
Declaration also known as Bangkok Declaration by the founding
3
members of ASEAN, namely Indonesia, Malaysia, The Philippines,
Singapore and Thailand. Afterwards Brunei Darussalam joined on
8 January 1984, Vietnam on 28 July 1995, Lao PDR and Myanmar
on 23 July 1997, and Cambodia on 30 April 1999, making up what
is today the ten member States of ASEAN. The two pages ASEAN
Declaration contains the aims and purposes of the
Associations, which include corporation in the economic,
social, cultural, technical, educational and others field, and
in the promotion of regional peace and stability through
abiding respect for justice and the rule of law and adherence
to the principles of the United Nations Charter.
With a shared vision of ASEAN as a concert of Southeast Asian
nations, outward looking, living in peace, stability and
prosperity, bonded together in partnership in dynamic
development and in a community of caring societies, the ASEAN
leaders in 2003 resolved that an ASEAN Community shall be
established in 2020. In 2007, the leaders affirmed their
strong commitment to accelerate the establishment of an ASEAN
Community by 2015. The ASEAN Community is comprised of three
pillars, namely the ASEAN Political- Security Community, ASEAN
Economic Community and ASEAN Socio-Cultural Community, all
expected to work in tandem in establishing the ASEAN
Community.
To achieve the ASEAN Community, ASEAN is guided by the ASEAN
Charter, a firm foundation that provides a legal status and
institutional framework for the region. It codifies ASEAN
norms, rules and values, sets clear targets of ASEAN, and
present accountability and compliance. The Charter entered4
into force on 15 December 2008. With the entry into force of
the charter, ASEAN will henceforth operate under a new legal
framework and establish a number of new organs to boost its
community- building process.
1.2 Definition and Differences between Signature andRatifications
The Centre for Biomedical Ethics and Law (2008) define that
ratification and signature are both different names for the
process whereby a states indicates to the other contraction
parties its consent to be bound by the adopted international
agreement. But still there is a difference between both terms.
Signature is a process that has different legal meanings
depending on the circumstances in which it is performed. A
distinction is made between simple signature which is subject
to ratification and definitive signature which is not subject
to ratification. The simple signature applies to most
multilateral treaties. This means that when a state sin a
treaty, the signature is subject to ratification, acceptance
or approval. The state has not expressed its consent to be
bound by a treaty until it ratifies, accept or approve. In
that case, a state that sin a treaty is obliged to refrain, in
good faith, from acts that would defeat the object and purpose
5
of the treaty. Signature alone does not impose on the state
obligations under the treaty. For states this usually means
that the international agreement has to be put before the
national parliament for approval, thereby giving the people a
direct say in the external activities of the states. The
definitive signature, in contrary, occurs where a State
expresses its consent to be bound by a treaty by signing the
treaty without the need for ratification, acceptance or
approval. A State may definitively sign a treaty only when the
treaty so permits. To make the comparison, a definitive
signature has the same force as a simple signature, which is
followed by ratification.
Ratification in contrary to signature refers to the act
undertaken in the international plane, whereby a State
establishes its consent to be bound by a treaty. Usually
ratification involves two distinct procedural acts. The first
is related to the constitutional (internal) laws of a
contracting party. It involves the international procedure
that must be fulfilled before the state can assume the
international obligations enshrined in the international
agreement. In many instances this involves approval by the
national parliament. The second element deals with the
external (international) level. It is the process through
which the contracting party indicates its consent to be bound
to the other contracting parties.
Historically, ratification was intended to avoid that the
representative exceeded his powers or instructions with regard
to the making of a particular agreement. With the decline of6
absolute sovereigns and the increase of parliamentary
democracies the consent by ratification has acquired a new
meaning. Although it still gives the contracting parties the
chance to weigh and consider their options under the proposed
agreement, its most important role is to give the national
parliament, and therefore the citizens, a direct sat in the
public affairs of the state.
1.3 List of Agreements under ASEAN Political-Security
Community
No
.
Name of Agreement Signature Ratification Status
1 The ASEAN Declaration Bangkok(8 Aug 1967)
Nodescriptions
Nodescription
2 Agreement on theestablishment of the ASEANSecretariat
Bali(24 Feb 1976)
Ratified In Force(21 May1976)
3 Treaty of Amity andCorporation in SoutheastAsia
Bali(24 Feb 1976)
Ratified In Force(21 June1976)
4 Revised Memorandum ofUnderstanding on theestablishment of the ASEANFoundation
Bangkok(25 Jul 2000)
Ratified In Force(28 April2007)
5 Treaty on Mutual LealAssistance in CriminalMatters
Kuala Lumpur(29 Nov 2004)
Ratified In Force
6 Agreement for theestablishment of ASEANDevelopment Fund
Vientiane(26 Jul 2005)
Not Required In Force(26 July2005)
7 Treaty on the SoutheastAsia Nuclear Weapon-FreeZone
Bangkok(15 Dec 2005)
Ratified In Force(27 March1997)
8 ASEAN Framework Agreementon Visa Exemption
Kuala Lumpur(25 Jul 2006)
Not Ratified Not In Force
9 ASEAN Convention on The Ratified In Force
7
Counter Terrorism Philippines(13 Jan 2007)
(27 May2011)
10 Charter of the Associationof Southeast Asian Nations
Singapore(20 Nov 2007)
Ratified In Force(15 Dec2008)
11 Cha-Am Hua Hin Declarationon the Roadmap for anASEAN Community (2009-2015)
Thailand(1 March 2009)
Not Required NoDescription
12 Agreement on thePrivileges and Immunitiesof the ASEAN
Cha-Am Hua Hin(25 Oct 2009)
Not Ratified NoDescription
13 Protocol to the ASEANCharter on DisputeSettlement Mechanisms
Hanoi(8 April 2010)
Not Ratified Not In Force
14 Agreement between thegovernment of Indonesiaand the ASEAN on Hostingand ranting Privileges andImmunities to the ASEANSecretariat
Phnom-Penh(2 April 2012)
Ratified In Force
Retrieved from:
http://agreement.asean.org/search/by_pillar/1.html
1.4 List of Agreements under ASEAN Economic Community
No.
Name of Agreement Signature Ratification
Status
1 Agreement for thefacilitation of Searchfor Aircrafts in Distressand Rescue of Survivorsof Aircraft Accidents
Singapore(24 February1977)
NotRatified
Not In Force
2 Agreement for theFacilitation of Searchfor Ships in Distress andRescue of Survivors ofShip Accidents
Kuala Lumpur(15 May 1975)
NotRatified
Not In Force
3 Agreement on ASEANPreferential TradingAgreements
Manila(24 Feb 1977)
Ratified In Force
4 Agreement on the ASEANFood Security Reserve
New York(4 Oct 1979)
Ratified In Force
8
5 Basic Agreement on ASEANIndustrial Projects
Kuala Lumpur(6 March 1980)
Ratified In Force(16 Oct1981)
6 Basic Agreement on ASEANIndustrialComplementation
Manila(18 June 1981)
NotRatified
Not In Force
7 Agreement on theRecognition of Domesticdriving License Issued byASEAN Countries
Kuala Lumpur(9 July 1985)
Ratified In Force(7 Jan 1988)
8 ASEAN Agreement on theConversation of Natureand Natural Resources
Kuala Lumpur(9 July 1985)
Ratified In Force(16 Nov1997)
9 Agreement on ASEAN Energycooperation
Manila(24 June 1986)
Ratified In Force(1 Jan 1970)
10 Agreement of thepreferential Shortlistingof ASEAN Contractors
Jakarta(20 Oct 1986)
Ratified In Force(19 June1988)
11 Memorandum ofUnderstanding onStandstill and Rollbackon Non-Tariff Barriersamong ASEAN countries.
Manila Not-Required
In Force(15 Dec1987)
12 Agreement onEstablishment of theASEAN Tourism InformationCentre
Kuala Lumpur(26 Sep 1988)
Ratified In Force(22 Jan1990)
13 Memorandum ofunderstanding on- Brand-To- Brand Complementationon the AutomotiveIndustry Under the BasicAgreement on ASEANIndustrialComplementation
Pattaya(18 Oct 1988)
Not-Required
In Force(18 Oct1988)
14 Agreement on the CommonEffective PreferentialTariff (CEPT) Scheme forthe ASEAN Free Trade Area(AFTA)
Singapore(28 Jan 1992)
Not-Required
In Force(28 Jan1992)
15 Framework Agreement onEnhancing ASEAN EconomicCooperation
Singapore(28 Jan 1992)
Not-Required
In Force(28 Jan1992)
16 ASEAN Framework Agreementon Services
Bangkok(15 Dec 1995)
Ratified In Force(12 August1998)
9
17 ASEAN Framework Agreementon Intellectual PropertyCooperation
Bangkok(15 Dec 1995)
NotRatified
Not In Force
18 Basic Agreement on theASEAN IndustrialCooperation Scheme
Singapore(27 April1996)
Ratified In Force(10 Oct1996)
19 Ministerial Understandingon ASEAN Cooperation inFinance
Phuket(1 March 1997)
Not-Required
In- Force(1 March1997)
20 Memorandum ofUnderstanding on ASEANSea Turtle Conservationand Protection
Bangkok(12 Sep 1997)
Not-Required
In- Force(12 Sep1997)
21 Agreement on theestablishment of theASEAN Centre for energy
Manila(22 May 1998)
Ratified In- Force(31 Jan2000)
22 Agreement on theRecognition of CommercialVehicle InspectionCertificates for goodvehicles and publicservice Vehicle Issued byASEAN member countries
Singapore(10 Sep 1998)
Ratified In- Force(27 Nov2006)
23 Protocol on NotificationProcedures
Makati(7 Oct 1998)
Not-Ratified
Not-In-Force
24 ASEAN Framework Agreementon the Facilitation ofgoods in Transit
Hanoi(16 Dec 1998)
Ratified In-Force(2 Oct 2000)
25 ASEAN Framework Agreementon Mutual RecognitionArrangements
Hanoi(16 Dec 1998)
Ratified In-Force(6 Feb 2009)
26 Protocol on the SpecialArrangement for Sensitiveand Highly SensitiveProducts
Singapore(30 Sep 1999)
Ratified In-Force
27 E- ASEAN FrameworkAgreement
Singapore(24 Nov 2000)
Not-Ratified
Not-In-Force
28 Ministerial Understandingon ASEAN Cooperation inTelecommunications andInformation Technology
Kuala Lumpur(13 Jul 2001)
Not-Required
In-Force(13 Jul2001)
29 ASEAN Sectorial MutualRecognition Arrangementfor Electrical andElectronic Equipment
Bangkok(5 April 2002)
Not-Required
In-Force(5 April2002
10
30 ASEAN Memorandum ofUnderstanding on theTrans-ASEAN Gas PipelineProject
Bali(5 JUL 2002)
Ratified In-Force(21 May2004)
31 ASEAN Tourism Agreement Phnom Penh(4 Nov 2002)
Ratified In- Force(21 Feb2007)
32 Protocol Governing theImplementation of theASEAN Harmonized TariffNomenclature
Makati(7 August2003)
Not-Required
In-Force(7 August2003)
33 Agreement on the ASEANHarmonized CosmeticRegulatory Scheme
Phnom Penh( 2 Sep 2003)
Not-Required
In-Force(2 Sep 2003)
34 ASEAN Framework Agreementfor the Integration ofPriority Sectors
Vientiane(29 Nov 2004)
Ratified In-Force(31 August2005)
35 ASEAN Protocol onEnhanced DisputeSettlement Mechanism
Vientiane(29 Nov 2004)
Not-Required
In-Force(29 Nov2004)
36 Ministerial Understandingon ASEAN Cooperation inMinerals
Kuching(4 August2005)
Not-Required
In-Force(4 August2005)
37 ASEAN Framework Agreementon Multimodal Transport
Vientiane(17 Nov 2005)
Ratified In-Force(1 Oct 2008)
38 Memorandum ofUnderstanding on theASEAN SWAP Arrangement
No-Description(17 Nov 2005)
Not-Required
In-Force(17 Nov2005)
39 ASEAN Mutual RecognitionArrangement onEngineering Services
Kuala Lumpur(9 Dec 2005)
Ratified In- Force(9 Dec 2005)
40 Agreement on the ASEANHarmonized Electrical andElectronic Equipment(EEE) Regulatory Regime
Kuala Lumpur(9 Dec 2005)
Ratified In- Force(17 Oct2012)
41 Agreement to Establishand Implement the ASEANSingle Window
Kuala Lumpur(9 Dec 2005)
Ratified In- Force(9 Dec 2005)
42 Agreement on theEstablishment of ASEANAnimal Health Trust Fund
Singapore(17 Nov 2006)
Not-Required
In-Force(17 Nov2006)
43 ASEAN Mutual RecognitionArrangement on NursingServices
Cebu(8 Dec 2006)
Not-Required
In- Force(8 Dec 2006)
44 Protocol to Provide Makati City Not- In- Force
11
Special Consideration forRice and Sugar
(23 August2007)
Required (23 August2007)
45 Memorandum ofUnderstanding on theASEAN Power Grid
Singapore(23 August2007)
Ratified In- Force(19 March2009)
46 ASEAN Mutual RecognitionArrangement onArchitectural Services
Singapore(19 Nov 2007)
Ratified In- Force(19 Nov2007)
47 ASEAN FrameworkArrangement for theMutual Recognition ofSurveying Qualifications
Singapore(19 Nov 2007)
Ratified In- Force(19 Nov2008)
48 ASEAN Memorandum ofUnderstanding onCooperation Relating toAircraft Accident andIncident Investigation
Lapu-Lapu City(29 May 2008)
Not-Required
In- Force(29 May2008)
49 ASEAN Mutual RecognitionArrangement on MedicalPractitioners
Cha-Am(26 Feb 2009)
Ratified In- Force(26 August2009)
50 ASEAN Mutual RecognitionArrangement Framework onAccountancy Services
Cha-Am(26 Feb 2009)
Ratified In- Force(26 May2009)
51 ASEAN Mutual RecognitionArrangement on DentalPractitioners
Cha-Am(26 Feb 2009)
Ratified In- Force(26 August2009)
52 ASEAN ComprehensiveInvestment Agreement
Cha-Am(26 Feb 2009)
Ratified In- Force(29 March2012)
53 ASEAN Trade in GoodsAgreement
Cha-Am(26 Feb 2009)
Ratified In- Force(30 April2010)
54 ASEAN Petroleum SecurityAgreement
Cha-Am(1 March 2009)
Not-Ratified
Not In-Force
55 ASEAN Sectorial MutualRecognition Arrangementfor Good ManufacturingPractice (GMP) Inspectionof Manufacturers ofMedicinal Products
Pattaya(10 April2009)
Not-Required
In- Force(10 April2009)
56 ASEAN MultilateralAgreement on Air Services
Manila(20 May 2009)
Ratified(7 August2009)
In- Force(13 Oct2009)
57 ASEAN MultilateralAgreement on the FullLiberalisation of Air
Manila(20 May 2009)
Ratified In- Force(13 Oct2009)
12
Freight Services58 Memorandum of
Understanding on ASEANCooperation inAgriculture and ForestProducts Promotion Scheme
Bandar SeriBegawan(11 Nov 2009)
Not-Required
In- Force(11 Nov2009)
59 ASEAN Framework Agreementon the Facilitation ofInter-State Transport
Manila(10 Dec 2009)
Ratified In- Force(30 Dec2011)
60 ASEAN Memorandum ofUnderstanding onCooperation Relating toMarine Casualty andMarine Incident SafetyInvestigations
Hanoi(10 Dec 2009)
Not-Required
In- Force(10 Dec2009)
61 Memorandum ofUnderstanding between theGovernments of theParticipating MemberStates of the Associationof Southeast Asiannations (ASEAN) on thePilot Project for theImplementation of aRegional Self-Certification System
Da Nang(30 August2010)
Ratified In- Force(25 Oct2010)
62 ASEAN MultilateralAgreement on the FullLiberalisation ofPassenger Air Services
Bandar SeriBegawan(12 Nov 2010)
Ratified In- Force(30 June2011)
63 Memorandum ofUnderstanding on theAssociation of SoutheastAsian Nations’ AirServices Engagement withDialogue Partners
Bandar SeriBegawan(12 Nov 2010)
Not-Ratified
Not In-Force
64 ASEAN Agreement onCustoms
Phnom Penh(30 March 2012
Not-Ratified
Not In-Force
65 Memorandum ofUnderstanding among theGovernments of the
Siem Reap(29 August2012)
Not-Ratified
Not In-Force
66 ASEAN Mutual RecognitionArrangement on TourismProfessionals
Bangkok(9 Nov 2012)
Not-Ratified
Not In-Force
67 ASEAN Agreement on the Phnom Penh Not- Not In-Force
13
Movement of NaturalPersons
(19 Nov 2012) Ratified
68 Memorandum ofUnderstanding on ASEANCo-Operation inAgriculture and ForestProducts Promotion Scheme
Nay Pyi Taw(24 Sep 2014)
Not-Required
In- Force(24 Sep2014)
Retrieved from: http://agreement.asean.org/search/by_pillar/2.html
1.5 List of Agreements under ASEAN Socio-Cultural Community
No.
Name of Agreement Signature Ratification
Status
1 Agreement for thePromotion of Cooperationin Mass Media andCultural Activities
CameronHighlands(17 Dec 1969)
Not-Required
In- Force(17 Dec1969)
2 Agreement on theEstablishment of theASEAN Cultural Fund
No Description(2 Dec 1978)
Not-Required
In- Force(2 Dec 1978)
3 Charter of the ASEANUniversity Network
(30 Nov 1995) ThisChartershall comeinto forceuponadoption bytheMinistersresponsiblefor HigherEducation
Non
14
of theASEANMemberCountries
4 Agreement on theAugmentation of the ASEANScience Fund
GentlingHighlands(8 April 2000)
Ratified In- Force(26 April2010)
5 ASEAN Agreement on Transboundary Haze Pollution
Kuala Lumpur(10 June 2002)
Ratified In- Force(26 Nov2003)
6 ASEAN Agreement onDisaster Management andEmergency Response
Vientiane(26 July 2005)
Ratified In- Force(24 Dec2009)
7 Agreement on theEstablishment of theASEAN Centre forBiodiversity
Bangkok(12 Sep 20050
Ratified In- Force(23 July2009)
8 Agreement on theEstablishment of theASEAN Co-ordinatingCentre for HumanitarianAssistance on DisasterManagement
Bali(17 Nov 2011)
Ratified In- Force(7 April2014)
Retrieved from: http://agreement.asean.org/search/by_pillar/3.html
15
2.0 Significance of ratification of ASEAN agreements is to
strengthen ties between ASEAN member states
Sim, (2003), the varying legal system of the ASEAN member
states shows the varying treatment of ASEAN agreements.
Agreements signed by Malaysia and Singapore Prime Ministers
which follow west minister’s parliamentary system could be
view as an act of government although some of the policy still
being debated in parliament but not take so many times to
comply or ratified any treaties or agreements. However, that
would not be the case for The Philippines, where the issues of
Senate ratification arise almost every time the Philippines
Presidents sign ASEAN agreements. The issues also come up less
frequently under Thai and Indonesian law. On the other hand,
Cambodia determines whether an agreement must be subject to
domestic ratification based on the nomenclature applied to
agreements. Ratification in ASEAN thus determined on a lowest
common denominator basis, with many agreements using specific
nomenclature or tailored subject matters to avoid domestic
ratification if possible. One would not view un-ratified but
signed agreements as binding under international law.
Nevertheless, such agreements still have binding force as
ASEAN commitments, if not binding international legal
commitments. Articles 7.2(a) of the ASEAN Charter stated that
the ASEAN Summit of national leaders is the supreme policy-
making body of ASEAN. Hence, decision and agreements made at
the ASEAN Summit represent the final word on ASEAN matters
that is until the ASEAN Summit decides otherwise at a later
meeting. That would mean that un-ratified but signed16
agreements are binding as ASEAN commitments but are subject to
later amendment or revision. This is not different from what
happens in all forms of government, where the state makes
policy decision which can and often are later revised or
amended. In either case, un-ratified but signed ASEAN
agreements can be invoked by other ASEAN member states and
should be allowed as the basis for invoking dispute
resolution.
In my point of view I think that ratification of agreements is
very important to strengthen ties between ASEAN member states.
For example, in the case of Trans boundary Haze Pollution
(THP) between Malaysia, Singapore and Indonesia. Singapore
government has welcomed the Indonesian Parliament’s decision
to ratify the ASEAN Agreement on Trans boundary Haze
Pollution. The decision to ratify the pacts comes 12 years
after it was first signed. It obliges Indonesia to strengthen
its policies and enforcement against forest fires and causes
of Trans boundary haze, as well as participate in regional
decision making on the issue. A statement from Singapore’s
Ministry of Environment and Water Resources (MEWR) on Tuesday
(16 Sep 2014) said the ratification is timely coming against
the backdrop of the recent escalation of hotspots in Sumatra
and Kalimantan. It’s also comes a day after air quality levels
in Singapore hits 113, in unhealthy range of the pollutant
Standard Index, due to increased hotspot activity in Sumatra.
Dr. Vivian Balakrishnan (MEWR) reiterated Singapore’s stand
that there is a pressing need for more effective measures on
the round and looks forward to closer cooperation with the
17
Indonesian government and ASEAN partners to tackle this
recurrent problem (Channel News Asia, 2014)
After month of Indonesian-origin haze having shrouded Malaysia
and Singapore, and Indonesia President Bambang Yudhiyono
having to apologize to the ASEAN neighbours for the haze, the
Indonesia government announced that it had moved on ratifying
the 2002 ASEAN Agreement on Trans boundary Haze Pollution.
Indonesia Environment Minister Balthasar Kambuaya said that
the documents necessary for the ratification had been cleared.
First, the Haze Agreement itself will not empower ASEAN member
or the ASEAN institutions with authority to take action on the
ground in Indonesia and elsewhere to deal with the haze.
Article 4 of (THP) of the agreements sets forth of the
following general obligations for ASEAN members. 1;Co-operate
in developing and implementing measures to prevent and monitor
(THP) as a result of land and/or forest fires which should be
mitigated, and to control sources of fires, including by the
identification of fires, development of monitoring, assessment
and early warning systems, exchange of information and
technology, and the provision of mutual assistance. 2;When
(THP) originates from within their territories, respond
promptly to a request for relevant information or
consultations sought by a State or States that are or may be
affected by such (THP), with a view to minimising the
consequences of the (THP). 3; Take legislative, administrative
or other measures to implement their obligations under this
agreement. (asean.org/haze pollution agreement, pdf)
18
David, (2014) in other words, the Haze Agreement more or less
formalizes the cooperative efforts that take place already in
ASEAN. For example, assistance can only be given or more
accurately, assistance can be received with the consent of the
recipient state, and is subject to the direction and control
of the recipient state. Moreover, dispute resolution under
the Haze Agreement is limited to consultation or negotiation.
Arbitration is not an option. Hence retaliatory action on
Indonesian-origin goods or direct intervention in Indonesia
would not be allowed by the Haze Agreement.
Given the difficulty of obtaining ratification and the lack of
strong authority and enforcement powers in the Haze Agreement,
why should ASEAN members care strongly about its
ratification? Because at this point, more than 10 years after
its signing, ratification by Indonesia would send a strong
political message to the rest of ASEAN that it takes the issue
seriously. After ratification, continued haze problems will
become that much more embarrassing for the Indonesian
government. In other words, at this point the act of
ratifying the Haze Agreement has more meaning than the Haze
Agreement itself.
This, again, is the ASEAN Way. Masilamani & Petterson (2014),
without strong legal mechanisms or empowered regional
institutions, ASEAN must resort to peer pressure and diplomacy
to resolve many of its problems. Yet there is value in such
processes, when the haze first hit in 1997-98, there was
general official denial about the source of the haze. This
time, there was general acknowledgement of where the haze19
originated. The first step in dealing with a problem is to
accept that one exists. So the ASEAN Way does work, albeit
more slowly and less consistently than what would happen in
the West. By ratifying the (THP) agreement, although not yet
knowing that Indonesian government will act positively, but
still they do their best in complying this issues with other
ASEAN members states especially Singapore and Malaysia and
directly improves their ties and relationship.
20
3.0 Significance of the ratification of ASEAN agreement is to
achieve ASEAN Vision 2020
In the course of time, ASEAN Vision has evolved over time and
the development of thought as well as the potential and the
need for ASEAN member states is in line with existing
challenges. Since its formation as the Bangkok Declaration in
1967 until a few decades later, the leaders have manages to
establish the ASEAN Vision 2020 which was announced at the
ASEAN Summit in Kuala Lumpur in 1997. ASEAN Vision 2020 as its
core emphasizes ASEAN as “a concert of Southeast Asian
nations, outward looking, and living in peace, stability and
prosperity, bonded together in partnership in dynamic
development and in a community of caring society”. So, in
order to achieve ASEAN Vision 2020, ASEAN member states must
come together and agree and ratify agreements so that any
related ASEAN project will be implemented as soon as possible.
I think that, in a attempt to increase the role of ASEAN in
the future or to create an ASEAN Community, therefore all
agreements that has been formulated shall be ratified and
implemented so that the impact can really be felt by people in
each ASEAN member country. In order to realize ASEAN
Community, there are at least four important aspects need to
be realized. It includes, food security related to rice
economy, energy security associated with the availability of
gas and electricity, service sectors related with people to
people linkages and infrastructure and transportation to
accelerate of ASEAN connectivity.
22
Firstly, food security especially rice is very important for
ASEAN considering most of ASEAN population consumes rice and
ASEAN population is expected to reach 600 million by 2020. As
for the provision of the rice requires considerable time to
produce it compared to the need of time consuming. Besides the
issues of the time, considering factor related to the food
supply is supply and demand, then by itself has the
sensitivity to inflation because it is a strategic commodity
trade (Hartarto, 2011). Food security is therefore an
important agenda for ASEAN to anticipate in the event of a
crisis situation as occurred during the financial crisis in
2008 that also have affected to food security in most ASEAN
countries. As concrete step, it needs to be determined the
division of the barn storage and mechanism or distribution
protocol in case of crisis. As an illustration of the ratio
between productions of rice with their use in any ASEAN
country can be seen in the table below, it shows that the use
of the rice is higher than the production. Therefore any
agreements related to food security should be fastened and
ratify in order to sustain food availability especially in
ASEAN countries.
Ratio table of rice production 2011
Items 2009 2010 2011 Change2010 over
2011Quanti
ty%
Supply(milliontons)
150.05 154.60 159.76 5.16 3.34
23
Beginningstock
20.79 24.00 26.67 2.67 11.13
Production 125.72 126.92 130.91 3.99 3.14Import 3.53 3.68 2.18 -1.50 -
40.76Demand(milliontons)
150.05 154.60 159.76 5.16 3.34
Domesticutilization
107.34 109.34 110.54 1.20 1.10
Export 16.92 18.60 19.42 1.32 7.10
Ending Stock 25.79 26.67 29.80 2.63 9.86
Self-Sufficiencyratio (%)
117.13 116.08 118.43 2.35 2.02
FoodSecurityratio (%)
19.37 21.95 24.13 2.18 9.93
Source: ASEAN Food Security Information (AFSIS) 2011
Secondly, energy security associated with the availability of gas
and electricity. Agreement and cooperation of ASEAN countries to
build and explore potential energy sources need to be intensified by
inviting the private sector to invest in the ASEAN energy sector.
Some plans that have been proclaimed as the development project of
Trans ASEAN Gas Pipeline (TAGP) and the ASEAN Power Grid projects
need to be realized such as, the Sarawak region can complement the
use of electric power in Sumatra (Hartarto, 2011) Likewise with the
gas use, with the construction of gas pipeline from fellow ASEAN
countries, it will co-exist if there is shortage of supply in one
territory and it will be more efficient because it does not require
vehicle. It can be realized by creating a pilot project of gas
pipeline between Sumatra to the Malay Peninsula, considering Sumatra
24
has a gas source which is sufficient to be supplied to Malaysia. In
order to realize this, not only agreement but must have ratification
from related parties to pursuit the projects and people of ASEAN
will directly benefit from the project.
Thirdly, Hartarto (2011), the service sectors play an important role
in improving overall economic performance. Based on WTO data in
2007, trade in service sector reached USD 3.5 Billion which the
average per-year growth since 1980 of 8.5%. To increase the mobility
of the provision of the service sector among ASEAN countries, then
on December 15, 1995 in Bangkok, ASEAN Economic Ministers signed the
ASEAN Framework agreement in Services (AFAS). This agreement is made
with a belief that liberalization of service sectors can benefit
ASEAN member countries through efficiencies and greater growth from
good trade liberalization. With the liberalization of service sector
through the removal of barriers to entry permit application for
every profession or employment in any ASEAN member countries will
provide spill over benefits in the form of movement of capital and
labour that will simultaneously increase productivity and ultimately
increase higher economic growth. With regard to above, it should be
immediately carried out a wider an clearer setting of the service
sector given the reality of the labour of the each country both
skilled and unskilled in fact already practice in each country. For
example, Indonesian worker in Malaysia, Singapore and Thailand.
Finally, Hartarto (2011), Infrastructure and Transportation
associated with ASEAN connectivity. To realize the ASEAN
connectivity which has been implemented by the European Union,
therefore several plan which have been proposed by ASEAN in several
agreements. It includes ASEAN Framework agreement on the
Facilitation of Good Transit (AFAFGIT), ASEAN Framework agreement on25
Multimodal Transport (AFAMT), ASEAN Framework agreement on
Facilitation of Interstate Transport (AFAFIST) and ASEAN cooperation
in Information and Communication Technology (ICT). Some plan that
have been found at short notice such as making- joint project
Railway Singapore-Kunming Rail Link (SKRL), the ASEAN Highway
Network Project (AHN) with route Singapore- Malaysia- Thailand-
Cambodia- Vietnam- China (Kunming). ASEAN Community sooner or later
will be happened, therefore it required the readiness of each ASEAN
member states to internally support the regions big plans. The key
to success of the big plans are on the seriousness and commitment of
the leaders and citizens of each ASEAN member.
4.0 Ratification of ASEAN agreements does impact the Economic
Development of ASEAN member states by transforming ASEAN into a
region with Single Market and Production Base, Competitive
Economic Region, Equitable Economic Development and Integration
with global Economy.
ASEAN Fact book (2011), with the ratification of all ASEAN Economic
Community blueprints agreements, ASEAN will transform into a region
with single market and production base, competitive economic region,
26
equitable economic development and integration with global economy.
Firstly, the establishment of ASEAN as a single market and
production base will make ASEAN more dynamic and competitive with
new mechanism and measures to strengthen the implementation of its
existing economic initiatives, accelerating regional integration in
priority sectors, facilitating movement of business persons, skilled
labour and talents and strengthening the institutional mechanism of
ASEAN. An ASEAN single market production base comprises five core
elements. It includes free flow of goods, free flow of services,
free flow of investments, free flow of capital and free flow of
skilled labour. Industrial sector includes agro based products, air
travel, automotive, e-ASEAN, electronics, fisheries, healthcare,
rubber based products, textiles and apparel, tourism, wood based
products and logistics as well as the food, agriculture and forestry
sectors. A single market for goods and services will facilitate the
development of productions networks in the region and enhance ASEAN
capacity to serve as a global production centre as a part of the
global supply chain. Tariffs will be eliminated and non-tariff
barriers will be gradually phased out. Simple, harmonised and
standardised trade and customs are expected to reduce transaction
cost. There will be a free movement of professionals. ASEAN
investors will be free to invest in sectors and services sectors
will be opened up.
Secondly, the creation of a stable, prosperous, and highly
competitive economic region is the goal of ASEAN economic
integration. There are six core elements under the competitive
economic region. It includes competition policy, consumer
protection, intellectual property rights, infrastructure
development, taxation and e-commerce. ASEAN member states has
committed themselves to introduce nation-wide competition policy and
27
laws (CPL) to ensure a level playing field and incubate a culture of
fair business competition for enhanced regional economic performance
in the long run.
Thirdly, under equitable economic development there are two
elements. It includes Small and Medium Enterprise (SME) development
and Initiatives for ASEAN Integration. These initiatives move
towards bridging the development divide both at the SME level and
enhance economic integration of Cambodia, Lao PDR, Myanmar and
Vietnam (CLMV) to enable all member states to move forward in a
unified manner and to enhance ASEAN competitiveness as a region as
well for all to benefit from the integration process.
Finally, ASEAN operates in an increasingly inter-connected and
highly networked global environment, with interdependent markets and
globalised industries. In order ASEAN businesses to compete
internationally, to make ASEAN a more dynamic and mainstream global
supplier and to ensure that the internal markets remain attractive
for foreign investment. ASEAN has to look beyond the AEC border. Two
approaches taken by ASEAN in integrating with the global economy are
a coherent approach towards external economic relations through Free
Trade Agreement and Close Economic Partnership (CEPT) and enhanced
participation in global supply networks.
5.0 CONCLUSION
ASEAN is committed to fulfil the 2007 plead to implement the ASEAN
Community by the end of 2015. That said many of ASEAN agreements and
treaties have already been realised between 2007 and now and ASEAN
people are already enjoying the fruits of greater ASEAN integration
as a results. ASEAN has now focused its attention on the
implementation of remaining agreements and treaties under APSC, AEC
and ASCC. While there are challenges that ASEAN will face in
28
completing the tasks, ASEAN commitment to ratify and implementing
the APSC, AEC and ASCC remain undiminished. ASEAN community 2015
will not be the end of ASEAN integration efforts. At their annual
summit meeting in Brunei Darussalam in 2013, the ASEAN head of state
committed to create a post-2015 vision that built on the blueprints
for an ASEAN Community and the master plan on ASEAN Connectivity
(ASEAN AEC, 2014). The leader goals is to realise a community that
is politically cohesive, economically integrated, socially
responsible and a truly people-oriented, people centred and rules-
based ASEAN. The heads of state, leaders under the private sectors
and other experts know that regional integration and the building of
the single market for the AEC is just the beginning. It will
continue past 2015 as barriers are lowered, connectivity is
enhanced, infrastructure is built and legal framework is refined to
fit the community. New situations will emerge, fears must be
overcome, unforeseen consequences will be encountered and solutions
will be found. ASEAN people in all their diversity and creativity
are the most crucial factor on ASEAN journey.
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