Thank you Mr. Chairman,

In my opening statement for this 6+1 meeting, I have outlined for the record in some detail the main trends in our bilateral EC-ASEAN relations.

Both sides are in full agreement that the EC- ASEAN relationship has now shifted from a donor- recipient relation to a more balanced partnership in which we pursue common goals. We have also agreed to lay emphasis on securing the active participation of the private sector in order to strengthen the EC's presence in Southeast Asia and to assist ASEAN countries to diversify their links and business in Europe.


Trade Expansion

In the trade field, we both seek open and free access to each other's markets. Our bilateral trade has indeed grown very rapidly in recent years and it continues to do so. ASEAN countries have continued to expand their market share in Europe and to diversify their exports. As ASEAN's bilateral surplus with the Community grows, we of course seek to expand our exports to the ASEAN markets.

The European Community and ASEAN have a strong interest in the success of the Uruguay Round and we urge that ASEAN countries make. genuine commitments to consolidate their tariffs and to provide national treatment in services allowing greater access for European companies.

Our experts have already been meeting in Geneva following the July QUAD in Tokyo. The commitments taken in Tokyo represent an important step forward: we are now expecting similar contributions from other participants.

As a contribution to boosting trade between the European Community and ASEAN, we are in the process of setting up European Business Centres in ASEAN capitals. These Centres will provide information to businessmen about the European Single market and about market conditions in ASEAN. They will supplement the work of the Joint Investment Committees. We shall also support increased trade promotion and investment promotion efforts -- in both directions.

We continue to support your efforts to construct an open Southeast Asian regional market by advancing the AFTA.

Finally, in the field of trade, I should like to mention that last year we accepted the ASEAN proposal to set up an EC-ASEAN sub-committee on trade which has already been meeting to solve trade problems.


Investment Promotion

As part of our drive to promote private sector direct investment, the EC International Partner Scheme continues to expand in the ASEAN region with new partner banks signing up all the time.


The EC delegation at the Dialogue Session.

Since our last meeting at the AEMM in Manila last year, the European Investment Bank has for the first time been empowered to finance projects in Asia and Latin America. Already one of the first EIB projects in ASEAN is nearly finalised, and there are more in the pipeline.


Environment

Both EC and ASEAN have singled out the protection of the environment as an important priority -- both the natural environment and the urban industrial environment. New programmes in the forest sector have been agreed with a number of ASEAN Member States. Yesterday, Mr. Dhanabalan and I inaugurated the Regional Institute of Environmental Technology which is jointly funded by the EC and Singapore. The Institute is unique: it will provide technical services, human resource, development, information services and policy development. The Institute will form abridge between the EC and Southeast Asia; it will promote technology transfer and to the extent that the Institute will operate throughout the region, it is a form of trilateral cooperation. A subject to which I should like to return to in a moment.


Human Rights

We have had considerable discussions on human rights. As you know one of the prime objectives of European foreign policy is precisely to strengthen democracy, the rule of law an(f the respect for human rights and individual freedoms.

This objective is not intended to apply to any one group of countries, but to all countries, both in Europe and outside it; as well as applying to countries at all stages of development whether post-industrial, industrial, agrarian or developing. Where there are differences of emphasis, we seek a dialogue, never losing sight of the common objective because we believe there is a link between economic development and political development; an important link between respect for universal human rights and good governance and development.

We subscribe as you do, to the Declaration and Programme of Action adopted at the recent Vienna Human Rights Conference, namely, "While the significance of national and regional particularities and various historical, cultural and religious backgrounds must be borne in mind, it is the duty of all states, regardless of their political, economic and cultural systems, to promote and protect all human rights and freedoms. All human rights are universal, indivisible and inter-dependent and inter-related".


Changing Situation in Southeast Asia

The situation in Southeast Asia today is strikingly different from what it was in 1976 when we began our first cooperation programmes with ASEAN. In the first place, ASEAN Member States have achieved high and continuous growth rates for over 15 years. Secondly, the entire political setting in the wider Southeast region has undergone radical and very welcome changes. The peace process in Cambodia is advancing far more successfully than seemed likely only a few years ago, In Laos and Vietnam, economic reform and the transition to a market economy are proceeding rapidly. But the three countries of Indochina and Burma remain at a level of economic development which is far below the ASEAN Member States.

ASEAN Member States have, of course, been at the forefront of initiatives to bring the three Indochina countries into the mainstream of the political and economic life of the region.

The EC too has played its part. In Cambodia, the EC has strongly supported the peace process, both politically and financially. Let me reaffirm our willingness to contribute to assist in the future rehabilitation and reconstruction of Cambodia as soon as a government of reconciliation has been established there.

Secondly, in Vietnam, the EC together with other partners, both from within the Southeast Asian region and outside it has successfully managed an international programme to reintegrate Vietnamese boat people of whom some 40 '000 have now returned to their country. We are now about to propose a framework trade and cooperation agreement with Vietnam, and to assist its transition to a market economy.

Concerning Myanmar, the EC and its Member States have firmly and repeatedly urged the present government to respect the results of the elections and to release the Nobel Prize winner, Mme Dan Aung San Kyi, as well as other political leaders and prisoners. The EC hopes that the Myanmar people will be able to restore democracy at home and its rightful position among the countries of Southeast Asia.

We hope that the ASEAN countries will use their influence to urge the authorities there to allow the UNHCR to assist the return of the many thousands of Rohingya refugees who fled to Bangladesh.


Joint Efforts to Assist Poorest Countries of the Southeast Asia Region

Looking back over the history of EC-ASEAN relations, I note that since our first development assistance projects in 1976, the European Community has committed one billion dollars (849 MECU) of which $100 million have gone to ASEAN regional projects and $900 million have gone to bilateral projects with individual ASEAN Member Countries. A great deal of useful work has been jointly achieved.

I should like to explore with you how we can assist the on-going efforts to integrate the poorest countries of Southeast Asia into ASEAN-style economic growth. I mentioned earlier the EC- Singapore Regional Institute for Environmental Technology, one of whose tasks will be to offer its services to third countries of the region including those of Indochina. In a sense then, the Institute is engaged in a form of a trilateral cooperation.

We shall, of course, continue development programmes with ASEAN Member States which respond to jointly agreed priorities. Several ASEAN countries have approached us with the idea of launching third country development cooperation programmes. We believe that this could be a most valuable supplement to EC-ASEAN development activities. We are at an explanatory stage, so we shall proceed in a pragmatic fashion, designing each programme to respond to its particular situation. In short, it goes without saying that we are ready to examine with ASEAN Member States how best to combine our efforts to contribute to the building of a prosperous, enlarged Southeast Asia region of 10 countries.