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PROTOCOL
RELATING TO ECONOMIC, TRADE AND TOURISM COOPERATION
BETWEEN
THE GOVERNMENT OF THE REPUBLIC OF INDONESIA
AND
THE GOVERNMENT OF THE KINGDOM OF THAILAND

The Government of the Republic of Indonesia and the Government of the Kingdom
of Thai land:

DESIRING to expand and strengthen bilateral relations between the two countries in
all areas of economic and technical cooperation. particularly trade and tourism:

DESIRING further to mark the milestone visit of H.E. President K.H. Abdurrahman
Wahid of the Republic of Indonesia to Thailand at the invitation of H.E. Prime
Minister Thaksin Shinawatra of the l(ingdorn of Thailand. during 14-15 May 2001:

RECOGNIZING the need to exchange views and information on bilateral. regional
and international affairs and the increased cooperation and coordination on policies
and measures to resolve the current economic difficulties facing the two countries:


WTTH A VIEW to reinforcing the Agreement between the Government of the
Kingdom of Thailand and the Government of the Republic of 1ndonesia on Economic
and Technical Cooperation. signed at Bangkok in 1992:

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PlJRSU ANT to the provisions of Article II of the aforementioned

aァイ・ュョエセ@

HA VE AGREED to join efforts in the improvement of economic recovery as well as
to enhance bilateral economic and trade relations between Thailand and Indonesia,
particularly during the next five years. with special emphasis on the following:

I. Economic and Trade Cooperation

a.

The two countries desire and intend to widen the scope of trade and economic
cooperation with each other utilizing counter and barter trade measures as well as

utilizing payments in local currency and setting up an appropriate facility for
such arrangements as an immediate priority. Initially. Thailand and lndonesia
will propose a list of agricultural and industrial products for trade between the
two countries and periodically review and expand the list for mutual benefits.
Appropriate tax and privileges may be extended under appropriate AFTA or other
regional arrangements.

b.

Informal meetings of experts and advisors group to be designated by Thailand
and Indonesia will be established to fmiher explore, complement and expand the
cooperation between the two countries to facilitate all areas of economic
cooperation on bilateral. regional and international issues to enhance mutual
benefits to the two countries.

II. Fisheries

a.

Thailand welcomes Indonesian nevv policies and regulations on captured fisheries

that offer opportunity for foreign vessels to fish [n Indonesian Exclusive

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Economic Zone (EEZ) through four cooperation schemes namely I) licensing 2)
partnership 3) chartering and 4) hire-purchase.
b. Thailand requests Indonesia to consider providing conducive conditions to the
above-mentioned schemes which can be applied to currently Thai owned vessels
fishing in Indonesian EEZ.
c.

Indonesia seeks assistance from Thailand to encourage Thai fishing vessels
currently flying Indonesian flags to enter into these nevv schemes as vessels
flying Thai flags.

d.

It is suggested that a committee or a consultative group on fisheries between
Thailand and Indonesia be established to work on fisheries cooperation matters.


e.

Both sides will facilitate the cooperation through the exchange of information
and recommendations to their respective privafe sectors to prevent any
unforeseen problems among them.

セゥN@

III. Oil and Gas

Crude oil processing
There is an available excess capacity of Thailand's refinery that may be
used to refine crude oil under processing or exchange arrangement. which
matches the technical specification of the refinery plant. The Petroleum
Authority of Thailand (PTT) offers the concept in combining processing
and trading, that the final product can be taken from PTT facilities in
Thailand as well as outside Thailand, based on the same agreed value
amount of the crude. For the time being,

エィゥセ@


concept is considered more

suitable to lndonesian private oil business. Contact person of the PTT is
already established.

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b. East Natuna Gas Project
After conducting a thorough discussion based on Thailand gas demand
and potential supply from outside Thailand, it is indicated that the first
gas from East Natuna will come in the year 2013, three years in advance
initially predicted.

It means that MOU of selling and purchasing gas

should take place after the year 2003. With regard to this matter. both
sides agreed to establish a joint working group to study gas marketing,
source of gas supplies and the basic principle for arranging the
management of gas transportation through pipeline (ASEAN Gas Grid).


IV. Aerospace

a. In view of the long-term relationship between the Ministry of Agriculture and
Cooperatives of Thailand (MOAC) and the Indonesian Aerospace (LAE) since
1978, MOAC expresses her full support to ensure the continuation of the
cooperation with IAE.
b. MOAC had informed IAE that at the present time, MOAC is revising the plan to
improve the efficiency of her aircraft operation. If such plan will recommend that
MOAC needs additional aircraft the Thai Government will consider lAE as a
priority to supply aircraft to Thailand within the context of the ASEAN spirit.
With regard to the budget limitation of MOAC. both sides are sharing the view
that a holistic approach is needed to resolve the financial constraint.

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V. Tourism

a.


The Tourism Authority of Thailand has already received the Indonesian draft of
the ""MOU on Tourism Cooperation". and informed the Indonesia that the TAT is
discussing with authorities concerned to finalize the draft before submitting it to
the cabinet for approval.

b. The date for signing the MOU will be communicated through the diplomatic
channel.

VI. Natural Rubber

a. Thailand requested the Indonesian Government to join in the Ministerial
Committee on Rubber in order to help stabilize the Natural Rubber Prices. which
are currently affecting farmers of both countries.
b.

lndonesia will respond to the request of Thailand and informed that Indonesian
delegates will visit Thailand to discuss the matter.

VI I. IT Development


a.

Indonesia requested the Thai Government to support and cooperate on the
development of Information Technology in Indonesia.

b.

Thai land responds in principle to meet the request, and the technical officials
will further discuss the matter.

DONE in duplicate at Bangkok on this 14 111 day of May 200 I.

111

the English

language.

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FOR THE GOVERNMENT OF

FOR TH E GOVERNM ENT Of

THE REPUBLIC Of IN DON ES I/\

THE K INGDOM OF THAI LAND

Signed
(H.E. Dr. /\lwi Shihab)
Minister of foreign Affairs

I

Signed
(H.E. Dr. Surakiart Sathirathai)
Minister of Foreign Affairs