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Indonesia, Malaysia review progress in economic deals
calendar22-06-2006 | linkNULL | Share This Post:

 20/6/6 (The Jakarta Post, Jakarta) - President Susilo Bambang Yudhoyono and visiting Malaysian Prime Minister Abdullah Ahmad Badawi met Tuesday to discuss the progress of a number of collaboration agreements in the energy and palm oil sectors.

Coordinating Minister for the Economy Boediono, who accompanied Yudhoyono during the meeting, told reporters that among the topics discussed by the two leaders was the progress achieved to date as regards a recent collaborative agreement between state oil and gas company PT Pertamina and its Malaysian counterpart Petronas in the upstream and downstream sectors.

"There was also discussions on collaboration in the palm oil industry," he added without elaborating.

Indonesia and Malaysia have inked a number of economic deals recently, with the latest one concerning the production and marketing of agricultural commodities, such as palm oil, cocoa and pepper.

Based on a memorandum of understanding (MOU) signed in May, the two countries have decided to establish a joint committee that will promote their plantation produce on the international market, and foster expertise in the sector.

Boediono also said that the two countries would work closely to develop the nascent biofuels industry, with Indonesia providing land for investments by Malaysian palm oil firms in this country. Palm oil is a raw material used in the production of biofuels.

The two leaders also discussed the issue of Indonesian migrant workers in Malaysia, particularly in relation to a plan by Malaysia to provide access to Indonesian curriculum education, with Indonesian teachers, for children accompanying their parents working in Sabah State.

An estimated 36,000 Indonesian children in Sabah, which is in Borneo, have no access to formal education because they cannot be enrolled in state schools, which are reserved for Malaysians, while it is too costly for them to study at private schools.

Indonesia and Malaysia also recently signed an MOU on the protection of Indonesian migrant workers in Malaysia, especially domestic workers. Approximately 300,000 Indonesians are working legally in Malaysia, mostly as domestic helpers.