Indonesia to Complain to WTO about South Africa
Wednesday, 27 February, 2008 | 14:34 WIB

TEMPO Interactive, Jakarta: The government will make a complaint to the World Trade Organization (WTO) about South Africa because this country is still imposing anti-dumping import duties on Indonesian paper products.

This is despite the fact that up until no there has been no proof of any such dumping practices.

“We said that if by January 2008 it (the import duty) was not stopped, we would take the matter to Geneva. As there has been no news from South Africa, we will bring the matter to the attention of the WTO,” said Martua Sihombing, Director of Trade Security, yesterday (26/2).

South Africa, he said, has been imposing additional import duties on paper products from Indonesia.

This policy is regarded as detrimental for Indonesia’s domestic industry.

Martua said that staff at the South African embassy in Jakarta had already been summoned, to remind about this matter.

He explained that up until now South Africa is not a destination for Indonesian paper exports.

However, this attitude can hamper Indonesia's export activities because South Africa is the gateway for exports into Africa.

Previously, South Africa also imposed anti-dumping import duties on Indonesian glass products.

According to Martua, the custom is a country may file an objection to the WTO if there is an unfair treatment by another country in terms of the trade system.

In the bilateral consultation at WTO Dispute Settlement, it is estimated that this will take around three months.

“If the parties agree upon dispute resolution, the issue need not be followed up to the Dispute Settlement. Or else, we'll take a panel, like with the paper products in South Korea,” he said.

Despite being certain there are no dumping practices, Martua said he expected that this case may not be easily passed by the WTO.

“We have to remember that now the WTO is making a good relationship with developing countries, such as South Africa,” he said.

RR ARIYANI