Indonesia civil society meet with European Parliamentarians regarding economic partnership

KSBSI was invited to participate in the Civil Society Organizations meeting with 6 Members of the European Parliament belonging to the International Trade Committee (INTA) on 23 May 2017 at the European building in Jakarta, Indonesia to hear the position of CSO regarding EU-Indonesia Comprehensive Economic Partnership Agreement (CEPA).

The meeting was organized around 2 questions:

1. Domestic perspectives on achievements, challenges and opportunities for the development of sustainable Palm Oil production (or other critical sectors) in Indonesia: social, economic, environment (deforestation, GH emissions, biodiversity, POME) and governance;
2. International synergies, how it will be discussed, policy dialogue and EU capacities best support to such developments in a 2020-2030 perspective.

The discussion on the first question focused mainly on the palm oil plantations. Some interesting points came up from the discussion about Palm oil plantations:

• the negative impact of Palm oil plantation on society such as deforestation, degradation of environmental quality for community, the land rights of indigenous peoples, and bad working conditions in palm oil plantation e.g. child labor, forced labor, etc.
• MEPs responded that this trade agreement will be different from previous trade agreements because EU is not only negotiating about tariff & non-tariff barrier, but also about environment and social concerns, which is why they call it Partnership. This also implies CSOs voices must be heard.
• Indonesia Palm Oil Association explained about what really happened with deforestation, which was blamed mostly on palm oil plantation. He showed the map of Kalimantan made by Greenpeace. He explained that what happened in Indonesia is not deforestation but degradation of the forest. The bigger part of that problem is not because of palm oil plantations because  most of the concessions given by the government to the palm oil plantation are outside the forest area. Most of the tree cuts in the forest area are because of legal and illegal lodging. He reminded MEPs that in September 2016, EU and Indonesia agreed on Forest Law Enforcement Governance and Trade (FLEGT) where Indonesia became the first country in the world to export “verified legal” timber to the EU through a licensing system that certified legally cut wood. It means that the EU is ‘supporting’ the degradation of Indonesian forest. 
• One MEP mentioned saying that he felt ashamed that although they knew that 30% of Indonesian peoples still live below poverty line, the public in Europe is more concerned about protection of Orang Utang.

In the 2nd session, they gave opportunity for KSBSI to make a 5 minutes presentation. Mudhofir gave an introduction, and Bismo showed a presentation on KSBSI position paper (link). MEPs commented afterwards:

• after having dialogue with many stakeholders, MEPs said that the people of Indonesia are actually aware of environment problems and labor rights, and willing to improve the situation. However, they noticed also that the actual situation is rather complex. 
• MEPs noticed that Indonesia already ratified the ILO Core Conventions.
• MEPs want to have a dialogue on CEPA to find a common understanding and social dimensions that should be included. However, in a situation where there is still child and forced labor, like in the palm oil plantations, they would also like to solve this situation through CEPA.
• As the CEPA is still in the early stage of negotiations, MEPs will look whether ‘transfer of technology’ can be included in the negotiation (as one of KSBSI demands).
• MEPs explained that they are more confident after their visit to Indonesia, and they promised to deliver the message of CSOs to the Negotiation team of the EU, and they expected that the issue of human rights, labor rights and environment will be taken seriously. 
• In the last round of discussion, MEPs asked about Skill and Vocational training in Indonesia. Bismo explained about vocational training facilities in Indonesia and the educational background of the majority of Indonesia workforce, which is elementary school. He mentioned the EU flagship Initiative on the garment sector to improve working condition in the ready-made garment. However, a main problem in the garment sector are the different levels of minimum wages between regions, which means a company can easily move from one region with higher minimum wage to another with lower minimum wages, causing internal dumping.
• MEPs responded by saying that although they are not the ones who negotiate the CEPA, they can influence the team to require some standards. MEPs said that CEPA should be able to raise the minimum wage to a living wage.  

Reported by Bismo Sanyoto (WSM Thematic and Political Coordinator for Asia)