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MEMORANDUM OF UNDERSTANDING
BETWEEN
THE GOVERNMENT OF THE REPUBLIC OF INDONESIA
AND
THE GOVERNMENT OF AUSTRF-LIA
RELATING TO A FORAGE RESEARCH PROJECT IN INDONESIA

C)

GENERAL



1.

This MEMORANDUM expresses the understandings of the Government of the
Republic of Indonesia and the Government

of Australia concerning the responsibilities and contributions respectively of
the two Governments in regard to joint
cooperation project on research development in forages (hereinafter ref erred to
as the Project) located within the Research
Institute for Animal Production (RIAP),
Central Research Institute for Animal
Sciences which is intended to contribute



to research and training in forage production and management as further des cribed and
detailed in Annex 1 to this Memorandum.

AUTHORITIES


2.

The Executing Authorities for this Project
will be :

For the Indonesian Government: the Central
Research Institute for Animal Sciences

•.

(CRIAS), Agency for Agricultural Research
and Deve lopment (AARD) , Department of
Agriculture.



For the Australian Government: The Australian



Development Assistance Bureau (ADAB) of the
Department of Foreign Affairs.
The Australian Development Assistance Bureau
may nominate suitably qualified agents to
undertake any part of its functions on its

behalf.

. .. I I . ..

I

2

DURATION

3.

This Memorandum will take effect from
the date of its signature and the Project
will be deemed to have commenced from
that date.
The Australian contribution to the Project
and all undertakings given herein will
cease on 30 June 1987 or on such other date
as may be arranged between the two Governments.


PROJECT

4.

Responsibility for development and direction
of the Project will be vested in a Project

ORGANISATION

Coordinating Board, whose chaL:-man will be
appointed by the Indonesian Government.
Membership of the Board will include the
Australian Team Leader, who is to be appointed
by the Australian Government in consultation
with the Indonesian Government.
Membership of the Project

Coordinating Board


will also include representatives of the
Indonesian Government Department ref erred to
in Clause 2 above, or nominated at the discretion of the Indonesian Government, as well as
a nominee designated by the Australian Embassy,
Jakarta.
The Board will meet not less than twice each
year.
5.

Functions of the Project _C0ordinating Board
will include :
(a)

defining research priorities for the
Project;

(b)

reviewing and reporting on progress to
the two Governments;


..... I I . ....

3

(c)

recommending to the two Governments
changes in program, budget and future
development;

(d)

integrating the activities

of the

Project with other CRIAS activities;
and
(e)


co-ordinating the disposition of
Project personnel.

RESPONSIBILITY

6.

Overall responsibility for this Project
will rest with the Government .of Indonesia.
The final authority

for decisions

or

implementation of the agreed works program
shall

rest with


the Head of AARD after

considering consultations between the
Director of CRIAS, the Director of RIAP
and the Australian Project Manager.

CONTRIBUTIONS

7.

The contributions of the Indonesian and
Australian Governments are detailed in
Annex 1 and are estimated

to

value

Rp.1,100,000,000 and $A.6,329,000 respectively. Disbursement of the Indonesian and

Australian Governments' contributions will
be subject to the normal parliamentary
approval of annual appropriations.

EVALUATION

8.

An evaluation of progress of the Project
may be made at times arrenged between and
mutually convenient to the Indonesian and
Australian Governments. Such an evaluation
would

be

tigation

undertaken
team


Governments

and

by a joint

appointed

by

independent

the

investwo

of

... I I . ..


4

staff involved in the Project .

It is

expected that an evaluation will take place
in mid 1985.
This evaluation should recommend to the two
Governments furthersteps to be undertaken
after 1 July 1987.

PERSONNEL

9.

For the purposes of this Project, the Indonesian Government will, in accordance with
prevailing laws and regulations, facilitate
the employment by the Australian Government
or its agents of personnel as required for
the Project and established between the two
Governments by :
(a)

granting exemption from income or other
taxes

on

project

salaries

and

allowances;
(b)

granting exemption from import and
other duties on personal and household
effects;

(c)

granting exemption from taxes and duties
on

the

purchase

in

Indonesia

of a

locally assembled motor vehicle per
expert on condition that it either be
re-exported, sold to a person who has
the same privileges, or duty paid on
its assessed value at time of sale within
Indonesia.

The expert's assignment should

be on along term basis of at least twelv e
(12) consecutive months period;
(d)

granting to Australian project personnel
all rights and entitlements accorded to
the aid personnel of any other donor
country; and

(e)

e xpe diting the issue of all documentation
required for the entry of, and performance

... I I . . .

-

5

-

of work by, Australian employed
expatriate project personnel, including
work permits or certificates for eligible
persons.
SUPPLIES

10.

(a)

The Indonesian Government will, in
accordance with prevailing laws and
regulations either exempt from import
duties

and

other taxes or pay such

duties on all goods supplied

for

the

Project;
(b)

The Indonesian Government will facilitate
movement

of

project

equipment

and

supplies by providing appropriate customs and wharfage facilities in the port
closest to the project sites and will be
responsible for the expeditious transport
of such equipment and supplies to the
sites; and
(c)

Project equipment and supplies provided
by Australia will be available for the
unrestricted use of the Project and
shall not be withdrawn from such use
without the consent of the Project Coordinating Board.
The Australian Project Manager in
consultation with the Director of RIAP
shall exercise administrative control
over such supplies for the duration of
the Project.

LIABILITY

11.

The Indonesian Government will be responsible
for dealing with any claims which may be
brought by third parties again.st Australia
and its experts, agents or Australian
personnel and will hold harmless Australia
and its experts, agents and personnel in

... I I . ..

6

case of any claims or liabilities resulting
from operations under this Memorandum.
This provision will not relieve any person
from liability

for any

criminal, grossly

negligent or fraudulent act.
12.

SECURITY

The Indonesian Government will arrange for
any protection deemed necessary

to ensure

the safety of Australian personnel, project
and personnel equipment both at the
locations,

in

transit and

official representational

ーイッェセ

on any

N 」エ@

other

activity

in

Indonesia.
The Australian Government will take reasonable
precautions

to

ensure

that

Australian

personnel have due regard for local traditions and customs.
SETTLEMENT OF

13.

DIFFERENCES

Any disputes arising out of the interpretation or implementation of the Memorandum shall be settled amicably by consultation or negotiation b e tween the two
Governments.

AMENDMENTS

14.

Amendments to this Memorandum may be made
at any time by an Exchange of Letters
between the two Governments.

ANNEX 1 to this Memorandum forms an integral part of it.
SIGNED at Jakarta, in duplicate, this twentieth day of August 1982.

FOR THE GOVERNMENT OF
AUSTRALIA

FOR\.rHE GOVERNMENT OF
THE

reセublic@

OF INDONESIA

Signed

Signed
FREDERICK R.DALRYMPLE
AMBASSADOR

PROF IR

sセaron@

HADISAPOETRO

MINISTER FOR AGRI CULTURE OF THE
REPUBLIC OF INDONESIA

ANNEX

1

FORAGE RESEARCH PROJECT

A.

Objectives
This project is a continuation of the existing Soils,

Agronomy and Animal Productivity (Monitoring Cattle Productivity
on Pastures - MCPP) Project that has been supported by ADAB and
RIAP since 1978.
The Project aims at the improvement of forages for use
with Indonesian farming systems through the development of a
research program of RIAP.
The general objectives of the research program are :
(a)

to evaluate plant genetic resources suitable for
the various

intensive

and

extensive

animal

production systems, this includes studies of ways
to incorporate

and

integrate forage

production

into house gardens;
(b)

to study appropriate management systems to ensure
successful

establishment,

productivity

and

persistence of forage species: these studies will
focus on the need to produce animal feed and to
conserve or rehabilitate existing land and forage
resources;
(c)

to study the functioning of

various

animal

production systems in order to facilitate the
extension of new or modified forage production
techniques.
The Project will involve the development of the physical
resources of RIAP at Bogor and in South Sulawesi to

foster

sustained program of forage research, and staff development
through in-service training, post-graduate study, and support
for liaison meetings and study tours by personnel engaged in
forage research in different governmental agencies.

. .. I I . ..

a

- 2 ANNEX
B.

1

Australian Contribution
Australia will support the Project with funds totalling

$A6,329,000 (based on 1981 costs) up until 30 June 1987.
Australia will provide :
(1)

Accommodation and remuneration for all Australian
personnel assigned to the Project namely :
(a)

for resident scientists, two technical
personnel, one administrative officer and
two Australian post-graduate stude nts, to
be based at Bogor and in South Sulawesi;

(b)

consultant scientific and technical experts
who will make a number of short visits.

(2)

A comprehensive training program for Indonesian
personnel, namely :
(a)

approximately twelve project awards for
Masters degree studies in Australia;

(b)

on-site technical training courses under
the guidance of resident Australian personnel;

(c)

support for attendance at seminars and
conferences concerned with forage research.

(3)

Vehicles to assist Project staff, both Indonesian
and Australian, in the conduct of the research
program. It is envisaged that these will comprise
at any one time :
(a)

four 4 wheel drive vehicles;

(b)

two locally assembled sedans;

( c)
(d)

four utilities;
two 2 .5 . tonne trucks;

( e)

six motor cycles.

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- 3 -

ANNEX
(4)

1

Field laboratory and scientific equipment to be
recommended by the Project Coordinating Board.

C.

Indonesian Contribution
Funds from the Indonesian Government, totalling

Rp.1,100,000,000 (based on 1981 costs) from April 1982 to April
1987, will be used to provide the following
(1)

purchase contruction and servicing of Project land
and structures at Bogor and South Sulawesi;

(2)

salaries, allowances and housing for Indonesian
scientists and technicians appointed to the Project;

(3)

local transportation and travel costs for Indonesian
Project staff;

(4)

maintenance of buildings and equipment, and the
purchase of laboratory supplies;

(5)

costs associated with administration staff to assist
the Indonesian Project Administrator; a secretary
for the Australian administrative officer and drivers
for Project vehicles;

(6)

handling costs of research equipment, including customs duties, wharfage and expendition charges and
transport costs of Project equipment from the points
of arrival in Indonesia to the Project sites.