View
5.349
Download
3
Embed Size (px)
Citation preview
ASEAN Economic Community 2015
ASEAN Strategic Plan of Action–– Direction and Action needed ––
SUPHAT SAQUANDEEKULExecutive Director, Bureau of ASEAN Affairs
Department of Trade NegotiationsMinistry of Commerce
CONTENT1. ASEAN -- background & key indicators --2. Towards ASEAN Economic Community 20153. What will be the changes in AECs?4. ASEAN with ASEAN Plus5. What are benefits / impacts from AEC6. Are you ready for AEC 2015?7. Opportunities & Challenges for ASEAN Food
Industry in AEC
ASEAN ASEAN –– background & key indicators background & key indicators ––
ASEAN (Association of South East Asian Nations)
CAMBODIACAMBODIA
ASEAN -6
Established in 1967CLMV
5
Country Populations(million) Country GDP
(million$) Country GDP per Capita ($) Country Export
(million$) Country FDI(million$)
1.Indonesia 231,4 1.Indonesia 546,527 1. Singapore 36,631 1.Singapore 269,832 1.Singapore 16,809
2.Philippines 92,2 2.Thailand 264,230 2. Brunei 26,486 2. Malaysia 156,891 2. Vietnam 7,600
3.Vietnam 86.0 3.Malaysia 191,618 3. Malaysia 6,822 3. Thailand 152,497 3. Thailand 4,976
4.Thailand 66.9 4.Singapore 177,569 4. Thailand 3,951 4. Indonesia 116,510 4. Indonesia 4,877
5.Myanmar 59.5 5.Philippines 161,357 5. Indonesia 2,364 5. Vietnam 56,691 5.Philippines 1,948
6.Malaysia 28.3 6.Vietnam 96,317 6.Philippines 1,750 6 Philippines 38,335 6. Malaysia 1,381
7.Cambodia 14.9 7.Myanmar 24.024 7. Vietnam 1,120 7. Brunei 7,169 7. Myanmar 579
8.Singapore 6.1 8.Brunei 14,147 8. Lao PDR 910 8. Myanmar 6,341 8. Cambodia 530
9.Lao PDR 5.0 9.Cambodia 10,368 9. Cambodia 693 9. Cambodia 4,986 9. Brunei 370
10.Brunei 0.4 10.Lao PDR 5,742 10.Myanmar 419 10. Lao PDR 1,237 10. Lao PDR 319
Source: ASEAN Secretariat , Statistics of Year 2009
GDP: Gross Domestic Productions / FDI : Foreign Direct Investment
Towards Towards AEC AEC 2015 2015
ASEAN COMMUNITYAC : 2015
ASEANSocial-Cultural
Community(ASCC)
ASEAN Security
Community(ASC)
ASEANEconomic
Community(AEC)
AEC BLUEPRINT
& Strategic Schedule
One VisionOne IdentityOne Community
What will be the changes in What will be the changes in AEC AEC ??
(Common Effective Preferential Tariff)
1. Single Market & Production Base
Year2015
Free flow of goods
Free flow of services
Free flow of investment
Free flow of skilled labor
Freer flow of capitals
e-ASEANTaxation
Intellectual Property
Competition Policy
Infrastructure DevelopmentConsumer Protection
2. Competitive Economic Region
3. Equitable Economic Development 4. Integration into Global Economy
Supporting development of SMEs
Narrowing development gapbetween ASEAN-6 & CLMV
Enhanced Participation in global supply network
Coherent approach toward external economic relations
FTA with Non-ASEAN Countries
ASEAN Economic Community : AEC
AEC GOALS
1 January 2010 ASEAN-6 reduced Import duty to 0%
1 January 2015 CLMV will reduce Import duty to 0%
Products in Sensitive List : import duties must be ≤ 5%
Products in Highly Sensitive List : more flexible tariff rates but must be agreed upon by other member states.
Rice & Sugar
Malaysia, Indonesia, Philippines
Except for
Products :
Countries :
AEC Blueprint : Free Flow of Goods
AEC Blueprint : Free Flow of Goods
Brunei
ThailandThailand coffee, potato, copra, cut flowers
coffee, tea
Laosome animals, meat of bovine, swine, poultry, some vegetables and
fruits, rice, tobacco
Cambodia poultry, fish, some vegetables and fruits
Malaysia some animals, swine, poultry, eggs, some plants and fruits, tobacco
Myanmar bean, coffee, sugar, silk, cotton
Philippines some animals, swine, poultry, tapioca, corn
Vietnam some animals, poultry, eggs, some plants, processed meat, sugar
Singapore and Indonesia none
Tariff rateTo be reduced to
5%
5%
5%
5%--
5%
5%
5%
5%
ASEAN–6 by 1 January 2010
CLMV by 1 January 2015
Products in Sensitive List : import duties must be ≤ 5%
Malaysia Rice at 20% in 2010
Indonesia
Philippines
Rice at 25% in 2010 Sugar: from 40% to 5-10% in 2010
Sugar: 38% till 2011, from 2012 be reduced gradually to 5% in 2015
Rice: 40% till 2014, then be reduced to 35% in 2015
: more flexible tariff rates but must be agreed upon by other member states.
Rice & SugarMalaysia, Indonesia, Philippines
Products :
Countries :
AEC Blueprint : Free Flow of Goods
Products in Highly Sensitive List
other sectors 51%
Logistics sector
ICT, Health, Tourism, Air Transport
51%
AEC Blueprint : Free Flow of Services
ACIA covers liberalization, protection, facilitation, and promotion
Investment : 1. Agriculture2. Fisheries3. Forestry4. Mining5. Manufacturing
Extend non-discriminatory treatment to investors in ASEAN
Revise AIA ACIA (ASEAN Comprehensive Investment Agreement )
AEC Blueprint : Free Flow of Investment
AEC Blueprint : Free Flow of Skilled Labor
MRAs enables the qualifications of services suppliers recognised by one ASEAN country to be mutually recognised by another ASEAN member
ASEANASEAN and ASEAN Plusand ASEAN Plus
Enhancing ASEAN External Economic Relations
ASEAN-Korea FTA
ASEAN-Japan CEP
ASEAN-China FTA
ASEAN-India FTA
ASEAN-Australia- New Zealand FTA
ASEAN-GCC
ASEAN-MERCOSUR
Future possible FTA Existing FTA
ASEAN-Russia
ASEAN-EU
ASEAN-Canada
ASEAN-US
Others Dialogue Partners
Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, United Arab Emirates
Argentina, Brazil, Paraguay, Uruguay, Venezuela
ACFTAChina
AJCEP
Japan AKFTA
Korea
AIFTAIndia
Goods : Since July 2005 ~
Services : Since 2007 ~
Investment : Signed on 13 Aug 09
Goods / Services / Investment : Signed in 2008
For Thailand effective on 2 June 09
Goods / Services : ASEAN except Thailand since 2007For Thailand Services : Signed on 26 Feb 09, Effective on 1 June 09/ Goods effective on 1 Oct 09Investment all ASEAN :Signed on 2 June 09 Effective on 31 Oct. 09
Goods / Services / Investment:
Signed on 26 Feb 09, Effective on 1 Jan 10
New ZealandAustralia &
AANZFTA
Goods : Signed on 13 Aug 09,Effective on 1 Jan 10
Services/Investment : under negotiations
FTA between ASEAN and Dialogue Partners-at present
AEC
ASEAN Plus3
ASEAN Plus 6
Enhancing ASEAN FTA
ASEAN 10 : Population: 590 ml. ( 9% of global population)GDP :1,499 billion US$ ( 2% of global GDP)
EAFTA (ASEAN +3) : Population: 2,068 ml. ( 31% of global population)GDP :9,901 billion US$ ( 18% of global GDP)
CEPEA (ASEAN +6) : Population: 3,268 ml. ( 50% of global population)GDP : 12,250 billion US$ ( 22% of global GDP)
CEPEA (Comprehensive Economic Partnership in East Asia) (ASEAN +6)
New ZealandAustralia
India
EAFTA (East Asia FTA) (ASEAN +3)
China Japan
Korea
AEC
What are benefits / impacts What are benefits / impacts from AEC?from AEC?
Who will benefit from AEC ?Who will benefit from AEC ?
Stakeholders Impacts
Manufacturer
Larger economies of scale reduce production costs enhance competitiveness
More choice of inputs/materials from other ASEAN at lower prices
Service ProviderExpanded markets for services
Enhance competitiveness
More choice of services experts
ExporterGreater demand for exports
Strengthen business networks & partnerships across ASEAN
FarmerExpanded markets for agricultural products both within and outside ASEAN
Increase of income
ConsumerGreater choices and varieties of goods and services through increase in intra-regional trade
Who will be affected by AEC?Who will be affected by AEC?
Stakeholders Impacts
ManufacturerUncompetitive manufacturers with high cost of production may be defeated by other competitors in ASEAN.
Service ProviderMore competitors in the market
Valuable human resources may be taken by other ASEAN.
Exporter
More intense competition
High possibility of going out of market unless having measures for improving efficiency, quality, and innovation.
FarmerWill be competed with better quality goods at competitive prices
Income might decrease
ConsumerExposed to harm from low quality products unless measures for consumer protection are in place.
Are you ready for Are you ready for AEC 2015AEC 2015??
Emphasis on quality, design, standards etc
Do not overlook “ Unseen Opportunities”
Differentiateyour products & services
Thinking out of a box
Creativity and Sustainability
Cut down costsRaw material / inputs from ASEAN at lower prices
Improve efficiency & management
Know your markets Study consumers’ behavior in AEC
Try to turn “rivals” into “partners”Know yourself& your rivals
Increase your strength / reduce weakness
Become a part of ASEAN food supply chain
How to Draw Your Strengths from AEC ?
Search for suitable markets for your products & services
Whether joint venture or wholly owned enterprise ?
Learn culture, attitude, social value , ways of thinking etc of other ASEAN people
Expand Business in ASEAN
Ensure the readiness ofHuman Resources
How to Draw Your Strengths from AEC ?
Whether local employees or dispatch ones ?
“How to retain them with us?”Maintain your “precious”personals
Opportunities & Challenges Opportunities & Challenges For Food Industry in AEC For Food Industry in AEC
Larger market increased demand for foodGreater access to the ASEAN (& Asian) market
Creation of ASEAN production networks through partnerships with ASEAN food producers
Complete or partly relocation of manufacturing base to CLMV
Solving professional/skilled-labor shortage problem in the region
OpportunitiesOpportunities for Food Industry in AECfor Food Industry in AEC
Economy of scale reduce cost of productions enhanced competitiveness
More choices to import raw materials/semi-final products from other ASEAN at lower prices
Increased competition in trade, investment and resources
R&D and Innovation
Encouragement of administrative reforms in pace with rapidly changing environment in ASEAN
Higher competition in professional/skilled labor market
Challenges Challenges for Food Industry in AECfor Food Industry in AEC
Risk to exposure to low-quality products & services from other ASEAN & ASEAN Plus countries
Encouragement on improvement of products and services