Overview of the
ASEAN Agreements
by Sok Siphana, JD
Legal
Requirements of Entry into ASEAN
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Overview of the
ASEAN Agreements |
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Legal
Requirements of Entry into ASEAN |
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As
a signatory to a Declaration of Admission, Cambodia will be required to
adhere or accede to and implement all ASEAN declarations, treaties and
agreements, including the key documents that define ASEAN's goals,
principles and objectives including the
Treaty on Amity and Cooperation in Southeast Asia and the Bangkok
Declaration which launched ASEAN in 1967. In addition, ASEAN
requires that new ASEAN members adhere to the:
Joining
ASEAN also means that member countries make a variety of legally binding
commitments upon entry. The Protocol on the Accession to ASEAN
Agreements stated that each new member state "hereby
accedes" to a set of key ASEAN agreements related to economic
matters. The Protocol obligates signatories to accede to the following
agreements:
In
anticipation of membership, Cambodia is undertaking steps to have ASEAN
economic agreements and declarations approved by the Council of
Ministers and the National Assembly. In addition to the above-mentioned
agreements, these include:
In addition, the Council of Ministers approved another four agreements covering security issues. The
Protocol requires the new ASEAN members to extend most-favored nation
status and national treatment to all ASEAN members. It also requires a
new member to ensure transparency in its system for trade and services
by making sure that other ASEAN members are aware of all laws,
regulations and rules, and any changes to them. The
Protocol will also likely include three annexes that list specific
obligations regarding implementation of AFTA/CEPT, the Framework
Agreement on Services and the ASEAN Food Security Reserve which new
members are bound to follow. In
order to ensure that the new members to ASEAN quickly comply with their
commitment to accede to all ASEAN agreements, declarations and treaties,
ASEAN prepared a second protocol by which the new members will accede to
an additional ten ASEAN agreements. This protocol will likely cover such
issues as cooperation in energy, petroleum security, preferences for
ASEAN contractors, conservation of natural resources and the mass media. Accession
to such ASEAN agreements is itself a legal act. More importantly,
however, implementation of the commitments made through such accessions
will require a host of legal reforms including the enactment of new
legislation and re-structuring or elimination of certain regulatory
schemes. While
many of the ASEAN framework agreements, e.g. for services or
intellectual property, do not include legally binding commitments, they
do indicate issues which will likely be addressed later in more specific
binding agreements or which ASEAN members are expected to address in
domestic legislation. BRIEF SUMMARY OF THE KEY LEGAL INSTRUMENTS: The
Bangkok Declaration, signed on August 8, 1967, formally establishes the
Association of Southeast Asian Nations. The major thrust of the document
is found in the first paragraph of the Second provision, which states
the organization's general purpose is: "To
accelerate the economic growth, social progress and cultural development
in the region
throgh join endeavors in the spirit Or equality and partnership
in order to strengthen the
foundation for a prosperous and peaceful community of Southeast
Asian Nations." All
of the other goals enumerated in the Declaration are subsumed in this
clause. The Declaration also creates a very simple institutional
structure. Specifically, it calls for an annual meeting of the foreign
ministers; the creation of a Standing Committee of the ambassadors and
foreign minister of the host country; and permanent and ad hoc
committees to implement policy decisions of the foreign ministers. The
Treaty of Amity and Cooperation. The
Treaty of Amity and Cooperation implicitly replaced the Bangkok
Declaration as the constitutional basis of the organizations. The treaty
enlarges on the regional cooperation scheme called for in the 1967
declaration. First, it extends the areas of regional cooperation on the
political front explicitly. Article 9 of the treaty calls for its
members to maintain regular consultations on regional and international
matters with the idea of coordinating their views, policies, and
actions. This codified existing practice; but more importantly, it put
political cooperation on the same plane as economic and social concerns. Second,
the Treaty explicitly mentions security as an area of cooperation. ASEAN
members were not to participate in any activity which could threaten the
stability or integrity of another ASEAN member (Article 10). Article 11
provides that the members may strengthen their national resilience in
the security field, while Article 12 calls for cooperation in all areas
to achieve regional prosperity and security. The implication is that
ASEAN could not develop and live in peace without a strong political
will and sound economic base. Finally,
the Treaty provides for the pacific settlement of disputes. It
establishes specific legal mechanisms for resolving conflicts among
member states. This is the only concrete chapter of the Treaty. Chapter
IV sets up a three-tier hierarchy for dispute resolution. The Treaty
recommends direct and friendly negotiations while refraining from threat
or use of force as the first means of settling the conflict (Article
13). If these direct consultations are unsuccessful, the parties can
resort to the ASEAN regional dispute settlement machinery (Article 15).
This machinery consists of a High Council made up of a cabinet-level
representative from each state, which acts in mediation, inquiry or
conciliation to resolve the dispute (Articles 14, 15). The parties to
the suit, however, have the power not to acquiese to the jurisdiction of
the High Council (Article 16). The Treaty recognizes the procedures
established by the UN to resolve the dispute, if the parties so choose
(Article 17). The
Treaty of Amity and Cooperation provisions suggest that the dispute
settlement mechanism is aimed as accommodation and mediation at high
political levels rather than through formalized legal channels. The Declaration of ASEAN Concord While
the Treaty of Amity and Cooperation may be the new constitutional basis
of ASEAN, it is the Declaration of ASEAN Concord which gives the
organization its facelift. The Concord defines specific ways to promote
cooperation in economic, political, cultural and social, security areas,
as well as the mechanism to improve the ASEAN machinery. In
the political sphere, the Concord calls for the settlement of regional
disputes by pacific means as soon as possible, basically addressing the
renewed territorial dispute between the Philippines and Malaysia. In
addition, it advocates the harmonization of views and taking common
action on issues whenever possible. In the area of security, the
document recommends continued cooperation through bilateral and other
non-ASEAN means. The Concord also makes specific recommendations
regarding social and cultural concerns by advocating the expansion of
opportunities for women and youth, as well as the introduction of ASEAN
studies and languages to primary education in ASEAN nations. While
the Concord takes great strides in developing those areas, its major
accomplishments are in the economic sphere. The Concord codifies a UN
study on means of promoting economic cooperation in the region. It
specifically calls for the liberalization of trade by granting tariff
concessions to ASEAN produced goods, as well as the development of
industrial cooperation with private sector involvement. Also, the plan
outlines preferences for basic commodities, whereby food and energy
requirements of the ASEAN partners are satisfied before goods are
exported in time of crisis. This provision has already been used to
ensure that the area's rice and petroleum requirements are available.
Finally, the meeting of the Economic Ministers has been
institutionalized as an integral part of the ASEAN decision-making
structure. The structure was further formalized by the creation of a
central secretariat. AGREEMENT
ON THE ESTABLISHMENT OF THE ASEAN SECRETARIAT The
agreement establishes a central administrative organ to provide for
greater efficiency in the coordination of ASEAN organs and for more
effective implementation of ASEAN projects and activities.
The Secretariat is
headed by the Secretary General who is appointed by the ASEAN Foreign
Ministers upon nomination by a Contracting Party on a rotational basis
in alphabetical order. The tenure of office shall be two years. The
function and powers and the Secretary-General (i)
be responsible to the ASEAN Ministerial Meeting ,hen it is in
session and to the Standing Committee at all other times; (ii)
take charge of the Secretariat and be responsible for the
discharge of all the functions and responsibilities entrusted to him by
the ASEAN Ministerial Meeting and by the Standing Committee: (iii)
have authority to address communications directly to the
Contracting Parties; (a)
attend personally all the ASEAN Ministerial Meetings as Secretary; (b)
be in attendance at all Meetings of the Standing Committee; and (c)
attend or designate a representative to attend the meetings of all ASEAN
Committees and other similar bodies; (iv)
keep
himself informed of the activities of all ASEAN Committees and other
similar bodies, and (a)
explain, whenever necessary, the directives of the Standing Committee to
ASEAN Committees and other similar bodies; (b)
ensure that the ASEAN Committees and other similar bodies are informed
on relevant current developments in the activities of ASEAN; (c)
act as the channel for formal communications between: 1.
ASEAN Permanent Committees, ad hoc Committees, Expert Groups, and other
ASEAN bodies and the Standing Committee; and 2.
The Secretariat and other international organizations and Governments,
and (d)
assist, where required, various committees, groups and bodies set
up within the framework of ASEAN; (v)
ascertain
facts or seek clarifications for the purpose of reporting to the
Standing Committee for its consideration; (vi)
prepare
an Annual Report for submission to the ASEAN Ministerial Meeting; (vii)
harmonize,
facilitate and monitor progress in the implementation of all approved
ASEAN activities; (viii)
initiate
plans and programmes of activities for ASEAN regional cooperation in
accordance with approve policy guidelines; (ix)
be
responsible for the Secretariat's security; (x)
prepare
the Annual Budget Estimates of the Secretariat for the approval of the
ASEAN Ministerial Meeting; (xi)
exercise
the administrative and financial powers vested in him under the
provisions of this Agreement and such other Rules and Regulations as may
hereafter come into effect; (xii)
act
as custodial, of all ASEAN documents; and (xiii)
perform such other duties and missions as the ASEAN Ministerial
Meeting or the Standing Committee may direct. ARTICLE 4 7.
Composition and Appointment comprise: (i)
three Bureau Directors; (ii)
a Foreign Trade and Economic Relation Officer; (iii)
an Administrative Officer; (iv)
a Public information Officer; and (v) an Assistant to the Secretary-General who
shall be appointed by the Standing Committe, upon nomination by
Contracting Parties. 8.
The Bureau Directors shall be at least of counsellor rank and
each of the other officers shall be at least of first secretary rank. 9.
The principal considerations in such nominations and appointments
shall be the highest standard of professional efficiency and integrity,
equitable distribution and rotation of post among nationals of the
Contracting Parties. 10.
Where a Staff member nominated by a Contracting Party has been
seconded from the Home Service to the Secretariat, he shall not, by
reason of such appointment, lose his seniority or promotional prospects
in the Home Service. 11.
The appointment of Staff members shall be for a term of three
years, provided that, in special circumstances, the Standing Committee,
upon recommendation of the Secretary General made after consultation by
him with the nominating Contracting Party, may extend the term of such
appointment for a period not exceeding another full term. 12.
The functions and duties of the officers, other than the Bureau
Directors, shall be set out in the Duty Schedules to be prepared by the
Secretary General and approved by the Standing Committee. ARTICLE
5 13.
The three Bureau Directors shall head the following Bureaus
respectively: (i)
Economic; (ii)
Science and Technology; and (iii)
Social
and Cultural. 14.
Each Bureau Director shall, on his own initiative or upon request
by a Contracting Party to the Secretary General, be responsible for
preparing ,working papers containing comments and appropriate
recommendations of the Secretariat on subjects of interest and fields of
activities within the charge of his Bureau, for the consideration of the
representatives of the Contracting Parties at their meetings. PROTOCOL AMENDING THE
AGREEMENT ON THE BANGKOK, 27 JANUARY 1983 1. Paragraph 1 of Article IV of the Agreement shall be replaced by the following: "The Staff for the Secretariat shall comprise; (i) three Bureau Directors; (ii) a Foreign Trade and Economic Relations Officer; (iii) an Administrative officer; (iv) a Public Information officer; (v) an Assistant to the Secretary-General; and (vi) such other officers as the Standing Committee may deem necessary. Appointment to any of the above positions shall be made by the Standing Committee upon nomination by Contracting Parties." PROTOCOL AMENDING THE
AGREEMENT ON THE 1. Paragraph 1 of Article III of the Agreement shall be amended as follows: "The Secretary-General shall be appointed by the ASEAN Foreign Ministers upon nomination by a Contracting Party o. a rotational basis in alphabetical order. The tenure of office shall be three years." PROTOCOL AMENDING THE AGREEMENT OF THE ARTICLE 4 Composition and Appointment The Staff of the Secretariat shall comprise: (a) a Deputy Secretary-General; (b) three Bureau Directors; (c) nine Assistant Directors; and (d) such other officers as the Standing Committee may deem necessary. 2. The Deputy Secretary-General shall be appointed by the ASEAN Foreign Ministers upon nomination by a Contracting Party on a rotational basis in alphabetical order. The tenure of office shall be three years and shall have a one-year overlap with the tenures of the outgoing and incoming Secretary-General. The Deputy Secretary-General shall be at least of Minister or Minister-Counselor or equivalent rank. He shall also, at the time of holding this office, be in the public service of his Government. 3. The Bureau Directors shall be at least of Counselor or equivalent rank and the Assistant Directors and other officers shall be at least of First Secretary or equivalent rank. They shall be appointed by the Standing Committee upon nomination by the Contracting Parties. They shall also, at the time of holding such offices, be in the public service of their respective Governments. 4. The principal considerations in such nominations and appointments shall be the highest standard of professional efficiency, competence and integrity, equitable distribution and rotation of post among nationals of the Contracting Parties. 5. The Bureau Directors and Assistant Directors who have acted in the capacities nominated by their respective Governments and approved by the Standing Committee prior to the entry into force of this Protocol shall not be prejudiced in any way whatsoever by the restructuring envisaged in this Protocol. 6. Where a Staff member nominated by a Contracting Party has been seconded from the Home Service to the Secretariat he shall not, by reason of such appointment, lose his seniority or promotional prospects in the Home Service during and after his secondment. 7. The appointment of the Directors, the Assistant Directors and other officials shall be for a term of three years, provided that, in special circumstances, the Standing Committee, upon recommendation of the Secretary- General made after consultation by him with the term of such appointment for a period not exceeding another full term. 8. The functions and duties of the Staff of the Secretariat, other than the Deputy Secretary- General and the Bureau Directors, shall be set out in the Duty Schedules to be prepared by the Secretary-General and approved by the Standing Committee. ARTICLE 2 9. Article 5 of the Agreement shall be amended to read as follows: ARTICLE 5 DEPUTY SECRETARY-GENERAL AND BUREAU
DIRECTORS 10. The Deputy Secretary-General shall: a) assist the Secretary-General in the performance of the Secretary-General's duties; b) facilitate the transition of work between the outgoing Secretary-General and the incoming Secretary-General; c) vet concept, discussion or informal papers prepared by the Secretariat; d) assume the functions of the Secretary- General in his absence, subject to the prior authorization by the Secretary- General; e) attend meetings upon the instruction of the Secretary-General; f) coordinate the research activities of the ASEAN Secretariat and chair the ASEAN Secretariat's Executive Review Committee; g) handle matters pertaining to affiliated ASEAN Non-Governmental Organizations; and h) perform such Other duties as directed by the Secretary-General. 11. The three Bureau Directors shall head Bureau I, Bureau II, and Bureau III respectively in that order of seniority. They shall within the purview of their respective responsibilities: (a) manage and coordinate the activities of their respective Bureaus; (b) monitor developments on ASEAN cooperation and activities within their respective purviews and keep the Secretary-General and the Deputy Secretary-General informed of the developments thereof to facilitate their respective areas of work; (c) prepare briefs, research papers and various reports on matters within their respective purviews for purpose of information, discussions and making recommendations; (d) participate in ASEAN and other meetings and act as a resource person at relevant ASEAN meetings as decided by the Secretary-General. (e) carry out research in relation to information and discussion papers prepared by the ASEAN Secretariat, as a member of the Executive Review Committee; (f) supervise and direct the work of the Assistant Directors and other staff of their respective Bureaus; and (g) perform other functions as directed by the Secretary-General or the Deputy Secretary-General. 12. The activities of ASEAN permanent committees, ad hoc committees and experts groups in so far as they relate to the activities of the three Bureaus referred to in paragraph 2 above shall also come within the purview of the respective Bureaus. Matters pertaining to affiliated ASEAN Non-Governmental Organizations shall fall within the purview of the Deputy Secretary-General. 13. If for any reason the Secretary-General is unable temporarily to perform his functions, the Chairman of the Standing Committee shall designate the Deputy Secretary-General as Acting Secretary-General. If for any reason, the Deputy Secretary-General could not act as Secretary-General, the Chairman of the Standing Committee shall designate the most senior Bureau Director as Officer-in-Charge. 14. If for any reason the Deputy Secretary-General is unable temporarily to perform his functions, the Chairman of the Standing Committee shall designate the most senior Bureau Director to act as Deputy Secretary-General. PROTOCOL AMENDING THE
AGREEMENT ON THE ESTABLISHMENT Article 2 of the Agreement shall be amended to read as follows: ARTICLE 2 The Secretariat shall comprise the Head of the Secretariat, who shall be known as the Secretary-General of ASEAN, hereinafter referred to as the Secretary-General, Openly Recruited Professional Staff and Locally Recruited Staff. ARTICLE 2 Article 3 of the Agreement shall be amended to read as follows: ARTICLE 3 Appointment 1. The Secretary-General, who shall be accorded Ministerial status, shall be selected by the ASEAN Ministerial Meeting and appointed by the Heads of Government on the basis of merit. The tenure of office shall be 5 years, provided that the Heads of Government, upon recommendation of the ASEAN Ministerial Meeting, may extend the term of the appointment. Functions and Powers 2.
The Secretary-General shall: (i) be responsible to the Heads of Government Meeting and to all Meetings of ASEAN Ministers when they are in session and to the Chairman of the Standing Committee at all other times. (ii) take charge of the Secretariat and be responsible for the discharge of all the duties and responsibilities entrusted to the Secretary-General by the Heads of Government Meeting, the ASEAN Ministerial Meeting and the Standing Committee. (iii) have the authority to address communications directly to the Contracting Parties. (iv) initiate, advise, co-ordinate and implement ASEAN activities. (v) develop and provide the regional perspective on subjects and issues before ASEAN. (vi) prepare the ASEAN 3 year Plan of Co-operation for submission to appropriate ASEAN Bodies and final approval by the Heads of Governments. (vii) monitor the implementation of the approved ASEAN 3-year Plan and submit recommendations as and when necessary to the ASEAN Standing Committee. (viii) conduct, and collaborate in, research activities and convene meetings of officials and experts as required. (ix) plan, programme, coordinate, harmonize and manage all approved technical co-operation activities. (x) serve as spokesman and representative of ASEAN on all matters, in the absence of any decision to the contrary in respect of a specific subject by the Chairman of the Standing Committee. (xi) conduct consultations with the Contracting Parties, the private sector, the Non-Governmental Organizations and other constituencies of ASEAN. (xii) coordinate ASEAN dialogues with international and regional organizations and with any dialogue country that may be assigned to him. (xiii) be in attendance at all Heads of Government Meetings. (xiv) be the Secretary to all the Meetings of ASEAN Ministers. (xv) address the ASEAN Ministerial Meeting on all aspects of regional co-operation and offer assessments and recommendations on ASEANs external relations. (xvi) participate in and provide technical support to all Meetings of the Standing Committee and chair, on behalf of the Chairman of the ASEAN Ministerial Meeting, all Meetings of the Standing Committee except the first and last. (xvii) to participate and provide technical support for the ASEAN Economic Ministers Meeting. (xviii) participate and provide the technical support for the Senior Officials Meeting, the, Senior Economic Officials Meeting, other ASEAN Committees, and the Chairmen of task forces and working groups set up within the framework of ASEAN as necessary. (xix) attend, or designate representatives to attend and participate as a member in the Meetings of all ASEAN Committees and other similar bodies. (xx) monitor the implementation of the Agreement on the Common Effective Preferential Tariff (CEPT) Scheme for the ASEAN Free Trade Area (AFTA), serve as a member of, and provide support to the Ministerial-level Council set up to supervise, (xxi) coordinate and review the implementation of the ASEAN Free Trade Area. (xxii) ensure that the ASEAN Committees and other similar bodies are informed of the directives of the Standing Committee and on relevant current developments in the activities of ASEAN; (xxiii) act as the channel for formal communications between: (xxiv) ASEAN Committees, and other ASEAN bodies and the Standing Committee; and (xxv) the Secretariat and other international organizations and governments. (xxvi) administer funds established for ASEAN co- operation. (xxvii) ensure organizational discipline in the Secretariat and have authority to recruit, terminate or promote staff under the provisions of this Agreement and such other Rules and Regulations as may hereafter come into effect. (xxviii) exercise the administrative and financial powers vested in the Secretary-General under the provisions of this Agreement and such other Rules and Regulations as may hereafter come into effect. (xxix) prepare the Annual Budget Estimates of the Secretariat for the approval of the ASEAN Ministerial Meeting. (xxx) act as custodian of all ASEAN documents. (xxxi) be responsible for the Secretariats security. (xxxii) prepare an Annual Report for submission to the ASEAN Ministerial Meeting. 3. The Secretary-General shall present drafts of Staff Regulations, Financial Regulations and Security Regulations for the Secretariat to the Standing Committee for its approval and shall apply and carry out the same from such date as it may specify. 4. The Secretary-General may propose amendments to such Regulations for the approval of the Standing Committee and such amendments shall come into force from such date as it may specify. ARTICLE 4 Composition and Appointment 1. The Openly Recruited Professional Staff of the Secretariat shall comprise of: a) a Deputy Secretary-General b) four Bureau Directors c) eleven Assistant Directors d) eight Senior officers- e) any additional Openly Recruited Professional Staff as the ASEAN Ministerial Meeting may deem necessary. 2. The Deputy Secretary-General shall be appointed by the Secretary-General, following open recruitment and selection by a panel, comprising of representatives of the Contracting Parties, under the Chairmanship of the Secretary-General. The tenure of office shall be three years provided that the Secretary-General may extend the term of the appointment for a period not exceeding three years. The Deputy Secretary-General shall be accorded a rank which will be equivalent to Minister or Minister-Counsellor or equivalent rank. 3. The Bureau Directors shall be accorded a rank which will be equivalent to the rank of Counsellor, the Assistant Directors shall be accorded a rank equivalent to the rank of First Secretary and the Senior Officers shall be accorded a rank equivalent to the rank of Second Secretary. They shall be appointed by the Secretary-General through open recruitment. The tenure of office shall be for an initial period of up to three years. The Secretary-General can approve an extension not exceeding three years on the basis of efficient and effective performance as well as the provisions of this Agreement and such other Rules and Regulations as may hereafter come into effect. 4. The principal considerations in such appointments, through open recruitment, shall be the highest standards of professional efficiency, competence, integrity and equitable distribution of posts among nationals of the Contracting Parties. 5. The Deputy Secretary-General, Bureau Directors and Assistant Directors who have acted in the capacities nominated by their respective Governments and approved by the Standing Committee prior to the entry into force of this Protocol shall continue to carry their respective post designations for the remaining tenure of their current appointments, provided that they also be subjected to such other Rules and Regulations as may hereafter come into effect following the restructuring as envisaged in this Protocol. 6. The functions and duties of all the Staff of the Secretariat shall be set out in the Position Descriptions to be prepared by the Secretary-General and approved by the Standing Committee. ARTICLE 4 Article 5 of the Agreement shall be amended to read as follows: ARTICLE 5 DEPUTY SECRETARY - GENERAL 1. The Deputy Secretary-General shall: a) assist the Secretary-General in the performance of the Secretary-Generals duties; b) identify strategies on issues requiring attention by the appropriate ASEAN bodies; c) assume the functions of the Secretary-General in his absence, subject to the prior authorization by the Chairman of the Standing Committee; d) attend meetings upon the instruction of the Secretary-General; e) coordinate the research activities of the ASEAN Secretariat; f) handle matters pertaining to affiliated ASEAN Non-Governmental Organizations; and g) perform such other duties as directed by the Secretary-General. 2. The Bureau Directors shall within the purview of their respective responsibilities: a) manage and coordinate the activities of their respective Bureaus; b) monitor developments on ASEAN co-operation and activities within their respective purviews and keep the Office of-the Secretary-General informed of the developments thereof to facilitate their respective areas of work; c) prepare briefs, papers and various reports on matters within their respective purviews for purposes of information, discussions and making recommendations; d) participate in ASEAN and other meetings and act as resource persons at relevant ASEAN meetings as decided by the Secretary-General; e) supervise and direct the work of the Assistant Directors and other staff of their respective Bureaus; and f) perform any other functions as directed by the Secretary-General. 3. The activities of ASEAN committees, and other ASEAN bodies in so far as they relate to the activities of the Bureaus referred to in paragraph 2 above shall also come within the purview of the respective Bureaus. 4. If for any reason the Secretary-General is unable temporarily to perform his functions, the Chairman of the Standing Committee shall appoint the Deputy Secretary-General as Acting Secretary-General. If for any reason the Deputy Secretary-General could not act as Secretary-General, the Chairman of the Standing Committee shall appoint the most senior Bureau Director as Officer-in-Charge. 5. If for any reason the Deputy Secretary-General is unable temporarily to perform his functions, the Secretary-General shall appoint the most senior Bureau Director to act as Deputy Secretary-General. AGREEMENT ON THE ASEAN FOOD SECURITY RESERVE| The ASEAN Member Countries hereby agree that food security needs to be dealt with from several aspects, especially, where appropriate, through: (i) the strengthening of the food production base of the ASEAN Member Countries; (ii) the prevention of post harvest losses of food grains; (iii) the establishment of a food information and early warning system; (iv) the adoption of effective national stock holding policies and improved arrangements for meeting requirements of emergency food supplies; (v) the promotion of stability of food prices; (vi)
the
adoption of policies and programmes for improving consumption and
nutrition, particularly of the vulnerable groups within each ASEAN
member Country. (vii) the promotion of labour opportunities especially rural areas and increasing the income particularly of the small farmers; and (viii) other measures, including possible long-term trade arrangements. ARTICLE 2 The Governments of the ASEAN Member Countries hereby agree to establish the ASEAN Food Security Reserve. The term “ASEAN Food Security Reserve” shall mean the sum total of the basic food stocks, particularly nice, maintained by each ASEAN Member Country within its national borders as a matter of national policy which includes commitment to the ASEAN Emergency Rice Reserve. ARTICLE 3 The Governments of the ASEAN Member Countries shall coordinate in conformity with their institutional and constitutional requirements, national food stock policies which take into account the policies of other ASEAN Member Countries and which together will result in maintaining a minimum safe level for the ASEAN Food Security Reserve. It is hereby understood that the establishment of the ASEAN Food Security Reserve is not intended to fill continuing food deficits of individual ASEAN Member Countries, which normally are met through imports, commercial as well as concessional. The elimination of such deficits should, where appropriate, be attempted through increased production at an accelerated rate. The ASEAN Member Countries shall further take measures aimed at assuring that their national food reserves are replenished as soon as feasible whenever they have fallen below such minimum levels as may be specified. ARTICLE 4 The Governments of the ASEAN Member Countries do hereby agree to the establishment of the ASEAN Emergency Rice Reserve for the purpose of meeting emergency requirements. Each ASEAN Member Country shall earmark within or over an above its national reserve, a certain quantity of rice. Such earmarked quantities of rice shall constitute the ASEAN Emergency Rice Reserve, the total amount of which shall initially be 50,000 metric tons of rice. For the first year of operation ASEAN Member Countries agree that the earmarked quantity of each ASEAN Member Country for the ASEAN Emergency Rice Reserve shall be as follows:
Indonesia: 12,000 metric tons Both the total amount of the ASEAN Emergency Rice Reserve, as well as the amount earmarked by each ASEAN Member Country in such Reserve, shall be periodically reviewed by the Governments of the ASEAN Member Countries taking into account the general food situation in the ASEAN region and in the world. AGREEMENT ON THE PREFERENTIAL SHORTLISTING REALIZING the desirability of effectively promoting the development of the construction industry, in the ASEAN region as a step in this direction: and RECOGNIZING that the implementation of a preferential shortlisting scheme for ASEAN Contractor would enhance the advancement of the constructing industry and its role in the economic development of the ASEAN region. HAVE AGREED AS FOLLOWS: ARTICLE 1 An ASEAN contractor means a contracting entity: established under the laws of member countries of ASEAN with at least 51 % of its equity opened to citizens of the country where the entity is registered and licensed in such country of registration to undertake construction projects. ARTICLE 2 This Agreement shall be applicable to civil works and industrial construction projects funded by international institutions such as World Bank and Asian Development Bank and which require as a condition international competitive bidding. ARTICLE 3 In cases when there are a large number of contractors prequalified and a further shortlist is drawn up, at least one prequalified ASEAN contractor shall be entered in the shortlist and invited to submit his bid. AGREEMENT AMONG THE GOVERNMENTS FOR THE PROMOTION AND PROTECTION OF
INVESTMENTS FURTHER CONSIDERING that the Heads of Government of ASEAN in their Meeting in Kuala Lumpur on 4 to 5 August 1977, recognized inter alia that the acceleration of industrialization of the region requires the increased flow of technology and investments, and toward the attainment of this common objective, directed that measures be taken to stimulate the flow of technology, know how and private investments among the member states. and directed, in particular, the study of a regional mechanism, and the formulation of guidelines, which would facilitate such desired flow of technology, know how and private investments; DESIRING that appropriate measures be taken to carry out the foregoing intents and to create favourable conditions for investments by nationals and companies of any ASEAN member state in the territory of the other ASEAN member states and to facilitate the desired flow of private investments therein to increase prosperity in their respective territories; ARTICLE II This Agreement shall apply only to investments brought into, derived from or directly connected with investments brought into the territory of any Contracting Party by nationals or companies of any other Contracting Party and which are specifically approved in writing and registered by the host country and upon such conditions as it deems fit for the purposes of this Agreement. This Agreement shall not affect the, rights and obligations of the Contracting, Parties with respect to investments which, under the provisions of paragraph 1 of this Article, do not fall within the scope of the Agreement This Agreement shall also apply to investments made prior to its entry into force, provided such investments are specifically approved in writing and registered by the host country and upon such-conditions as it deems fit for purpose of this Agreement subsequent in its entry into force. ARTICLE III Each Contracting Party shall, in a manner consistent with it national objectives, encourage and create favourable conditions in its territory for investments from the other Contracting Parties. All investments to which this Agreement relates shall, subject to this Agreement, be governed by the laws and regulations of the host country, including rules of registration and valuation of such investments. Investments of nationals or companies of and obligations Party in the territory of other Contracting Parties shall at all times be accorded fair and equitable treatment and shall enjoy full protection and in the territory of the host country. Each Contracting Party shall observe any obligation arising from a particular commitment it may have entered into Title regard to a specific investment of nationals or companies of the other Contracting Parties. ARTICLE IV Each Contracting Party shall, within its territory ensure full protection of the investments made in accordance with its legislation by investors of the other Contracting Parties and shall not impair by unjustified or discriminatory measures the management, maintenance, use, enjoyment, extension, disposition or liquidation of such investments. All investments made by investors of any Contracting Party shall enjoy fair and equitable treatment in the territory of any other Contracting Party. This treatment shall be no less favourable than that granted to investor of the most-favoured-nation. Investor of any Contracting Party who within the territory of another Contracting Party suffer damages in relation to their investment activities - in connection with their investments, owing to the outbreak of hostilities or a state of national emergency, shall be accorded treatment no less favourable than that accorded to investors of any - third country, as regards restitution, compensation or other valuable consideration Payments made under this provision shall be effectively realizable and freely transferable, subject to Article VII. Any two or more of the Contracting Parties may negotiate to accord national treatment within the framework of this Agreement. Nothing herein shall entitle any other party to claim national treatment under the most-favoured-nation principle. ARTICLE V The Provision of this Agreement shall not apply to matters of taxation in the territory of the Contracting Parties. Such matters shall be governed by Avoidance of Double Taxation between Contracting Parties and the domestic laws of each Contracting Party. ARTICLE VI Investments of nationals or companies of any Contracting Party shall not be subject to expropriation, nationalisation or any measure equivalent thereto (in the article referred to as “expropriation”), except for public use, or public purpose, or in the public interest, and-under due process of law, on a non-discriminatory basis and upon payment of adequate compensation. Such compensation shall amount to the market value of the investments affected, immediately before the measure of dispossession became public knowledge and it shall be freely transferable in freely-usable currencies from the host country. The compensation shall be settled and paid without unreasonable delay. The national or company affected shall have the, right, under the law of Contracting Party making the expropriation, to prompt review by a judicial body or some other independent authority of that Contracting Party in accordance with principles set out in this paragraph. Where a Contracting Party expropriates the assets of a company which is incorporated or constituted under the law in force in its territory, and in which nationals or companies of another Contracting Party own shares, it shall apply the provisions of paragraph 1 of this Article so as to ensure the compensation provided for in that Paragraph to such nationals or companies to the extend of their interest in the assets expropriated. ARTICLE VII Repatriation of Capital and Earnings Each Contracting Party shall, subject to its laws, rules and regulations, allow without unreasonable delay the free transfer in any freely-usable currency of: a) the capital, net profits, dividends, royalties, technical assistance and technical fees, interests and other income, accruing from any investments of the nationals or companies of the other Contracting Parties; b)
the proceeds from the total or partial liquidation of any
investments made by nationals or companies of the other Contracting
Parties; c) funds in repayment of loans given by nationals or companies of one Contracting Party to the nationals or companies of another Contracting Party which both Contracting Parties have recognized as investments: d) the earnings of nationals of the other Contracting Parties who are employed and allowed to work in connection with an investment in its territory. The exchange rate applicable to such transfer shall be the rate of exchange prevailing at the time of remittance. The Contracting Parties undertake to accord to transfers referred to in paragraph (1) of this Article a treatment no less favourable than that accorded to transfer originating from investments made by nationals or companies of any third State. PROTOCOL TO AMEND THE AGREEMENT AND THE KINGDOM OF THAILAND 12 September 1996ARTICLE 1 The
title of the Agreement shall be amended to read as “The ASEAN
Agreement for the Promotion and Protection of Investments.” ARTICLE 2 The following shall be inserted after Article III as a new Article III-A to the Agreement: “Simplification of Investment Procedures and Approval Process Each Contracting Party shall endeavour to simplify and streamline its investment procedures and approval process to facilitate investment flows.” ARTICLE 3 The following shall be inserted after the new Article III-A as a new Article III-B to the Agreement: “Transparency and Predictability Each Contracting Party shall ensure the provision of up-to-date information on all laws and regulations pertaining to foreign investment in its territory and shall take appropriate measures to ensure that such information be made as transparent, timely and publicly accessible as possible.” ARTICLE 4 Article IX of the Agreement shall be substituted with the following: “Dispute Between the Contracting Parties The provisions of the ASEAN Dispute Settlement Mechanism shall apply to the settlement of disputes under the agreement.” FRAMEWORK AGREEMENT SINGAPORE, 28 JANUARY 1992 CONSCIOUS of the rapid and pervasive changes in the international political and economic landscape, as well as both challenges and opportunities yielded thereof, which need more cohesive and effective performance of intra-ASEAN economic cooperation; MINDFUL of the need to extend the spirit of friendship and cooperation among Member States to other regional economies, as well as those outside the region which contribute to the overall economic development of Member States; RECOGNISING further the importance' of enhancing other fields of economic cooperation such as in science and technology, agriculture, financial services and tourism; ARTICLE 1: 1. Member States shall endeavour to strengthen their economic cooperation through an outward-looking attitude so that their cooperation contributes to the promotion of global trade liberalisation. 2. Member States shall abide by the principle of mutual benefit in the implementation of measures or initiatives aimed at enhancing ASEAN economic cooperation. 3. All Member States shall participate in intra ASEAN economic arrangements. However, in the implementation of these economic arrangements, two or more Member States may proceed first if other Member States are not ready to implement these arrangements. ARTICLE 2: A. Cooperation in Trade 1. All Member States agree to establish participate in the ASEAN Free Trade Area (A within 15 years. A ministerial-level Council will be up to supervise, coordinate and review the implementation of the AFTA. 2. The Common Effective Preferential Tariff (CEPT) Scheme shall be the main mechanism for the A For products not covered by the CEPT Scheme, ASEAN Preferential Trading Arrangements (PTA) or other mechanism to be agreed upon, may be use 3. Member States shall reduce or eliminate non tariff barriers between and among each other on the import and export of products as specifically agreed upon under existing arrangements or any other arrangements arising out of this Agreement. 4. Member States shall explore further measure on border and non-border areas of cooperation supplement and complement the liberalisation of trade. B. Cooperation in Industry, Minerals and Energy 1. Member States agree to increase investment industrial linkages and complementarity by adoption new and innovative measures, as well as strengthening existing arrangements in ASEAN. 2. Member States shall provide flexibility for new forms of industrial cooperation. ASEAN shall strengthen cooperation in the development of the minerals sector. 3. Member States shall enhance cooperation in the field of energy, including energy planning, exchange of information, transfer of technology, research an development, manpower training, conservation an efficiency, and the exploration, production and supply of energy resources. C. Cooperation in Finance and Banking |
