First EU-ASEAN Business Summit to begin this week

First EU-ASEAN Business Summit to begin this week

2011-05-03 06:09:16 GMT+7 (ICT)

BRUSSELS (BNO NEWS) -- The European Union (EU) on Monday announced that its Trade Commissioner is set to travel to Indonesia as the first EU-ASEAN (Association of Southeast Asian Nations) Business Summit is scheduled to begin on Thursday.

The summit will gather ASEAN economic and trade ministers from the Southeast Asian block of ten countries, who will meet with Karel De Gucht, the EU Trade Commissioner .

The Summit is expected to help intensify business-to-business relations but also promote dialogue between governments and the private sector. The EU aims to open up new business opportunities in this fast growing region and create strong partnerships that help to support ASEAN's economic integration.

De Gucht is also scheduled to meet Indonesian Authorities to discuss bilateral trade issues and further enhance trade and investment relations with Indonesia.

"The first ASEAN-EU Business Summit in Jakarta is an important signal that shows both regions mean business when it comes to building stronger economic ties," said Commissioner De Gucht. "Given the economic dynamism of the ASEAN region, I see considerable opportunities for working more closely together in the coming years."

ASEAN, which includes Brunei Darussalam, Burma/Myanmar, Cambodia, Indonesia, Laos, Malaysia, Philippines, Singapore, Thailand and Vietnam, as a whole represents the EU's seventh largest trading partner with €175 billion ($259.82 billion) of trade in goods and services.

Likewise, the EU is ASEAN's second largest trading partner after China, accounting for around 10.9 percent of ASEAN trade and is by far the largest investor in ASEAN countries, with EU companies' investments averagely reaching approximately €10.4 billion annually from 2002-2009.

Furthermore, the EU has increased its economic ties with Southeast Asia by opening negotiations for Free Trade Agreements with Singapore and Malaysia in 2010.

These bilateral agreements are considered as building blocks for a future agreement with the whole region, as the EU has maintained the door open to start negotiations with other partners in the region on comprehensive free trade agreements.

Indonesia, the host country of the first EU-ASEAN Business Summit, is also a major partner with EU-Indonesia merchandise trade standing at € 20 billion ($29.7 billion)in 2010, with a €7 billion ($10.4 billion) surplus for Indonesia.

European companies are the largest investors in the country, and in 2009, the EU and Indonesia signed a Partnership Cooperation Agreement as a first step towards closer economic and political ties.

A joint "Vision Group," set up by business, government and academics in late 2010, will present concrete recommendations on ways to enhance EU-Indonesia trade and investment ties.

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