Bucharest Jakarta




INDONESIAN - ROMANIAN BILATERAL RELATIONS


- Politics Bilateral Relations
- Economy & Trade Bilateral Relations
- Cultural and Social Bilateral Relations

Republic of Indonesia and Romania have been so far pursuing excellent relation in the political field. A long lasting good diplomatic relation has been further strengthened by the exchanges of state visits by the Presidents. The state visit made by President Megawati Soekarnoputri to Romania in April 2003, as well as the return visit by President Ion Iliescu to Indonesia in February 2004 have been a new mile stone showing a strong evidence of high level relations achieved by the two countries. Following the visits, bilateral political consultation between the two countries were established.

Being traditional partners for decades, Republic of Indonesia and Romania have been working together in various international forums such as the United Nations. Both countries have also been cooperatives in extending mutual support to each other’s candidatures in various international organizations.

Exchange of visits by the two countries senior government officials and parliamentary delegations :

1. State visits of the President of the Republic of Indonesia in 1960, 1961 and 1985, as well as State Visits of the President of Romania in 1962, 1965, 1982, 1988, 1997 and 2003,2004.

2. Official and working visits of the Minister of Foreign Affairs of Indonesia to Romania in 1971, 1974, 1975, 1982, 1984 and 1985. So far, none of the Romanian Minister of Foreign Affairs visited Indonesia.

3. Other visits of Indonesian Ministers and Officials to Romania took place as follows:

- Visit of the Prime Minister of Indonesia in 1961
- Visit of the Minister for Research, June 1974
- Visit of the Vice President of the Indonesian Parliament, July 1974
- Visit of the Coordinating Minister for People Welfare, August 1974
- Visit of the Trade Minister, September 1974
- Visit of the General Manager of Batan, October 1974
- Visit of the President of the People’ Assembly/Parliament, 1975
- Visit of the Vice President of the Parliament, March-April 1979
- Visit of the Head of National Atomic Energy Bureau, April 1979
- Visit of the Minister for Agriculture, June 1981
- Visit of the Coordinating Minister for Economy, Finance and Industry, November 1981
- Visit of the Vice Speaker of the Parliament, 1983
- Visit of the Coordinating Minister for Economy, Finance and Industry, November 1981
- Visit of the Chairman of the Supreme Advisory Council, August 1984
- Visit of the Minister for Forestry, 1985
- Visit of the Delegation from the Indonesian Chamber of Commerce, 1986
- Visit of the Vice Speaker of the Parliament, 1988
- Visit of the Delegation of the Ministry of Co-operative and Small and Medium Enterprises, September 2000
- Visit of the Delegation of the Indonesian-Romanian Bilateral Cooperation Group, 2002.
- Visit of the Director General for European and American Affairs, the Minister for Foreign Affairs of Indonesia to Bucharest, for bilateral discussions, 17-20 September 2002
- Visit of the Indonesian President, H.E. Mme. Megawati Soekarnoputri, April 2003
- Visit of the Delegation of People’s Consultative Assembly, Parliament of Indonesia, Oktober 2003
- Visit of the Delegation of National Resilience Institute (Lemhannas), September 2004
- Visit of the Indonesian Delegation attending the Universal Postal Union (UPU) Congress, September 2004
- Visit of the Indonesian Delegation attending the Bilateral Consultation Forum, January 2005
- Visit of the President of National Olympic Committee of Indonesia (KONI), May 2005
- Visit of the Delegation of The Indonesia– Romania Bilateral Cooperation Group, Indonesia House of Representatif, November 2005
- VIsit of The Minister of Justice and Human Rights , April 2006
- Visit of The Special Envoy of Indonesian Government , May 2006

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Bilateral relations of Indonesia-Romania in the economical field formally started by the signing of the Agreement on Economical and Technical Cooperation on 11 October 1962 in Jakarta. On 23 November 1982, the agreement was renewed. To implement and breakdown the renewed version of the agreement, in January 1984 the two government established Indonesia-Romania Joint Commission on Economical and Technical Cooperation, of which first meeting took place in Bucharest , back to back with the signing of the agreement.

In 1997, at the same time with the 5th meeting of the Commission in Bucharest, Indonesia and Romania signed an Investment and Guarantee Agreement (IGA) and Banking Arrangement, and strengthened the commitment to boost bilateral relations in economics and trade between the two countries.

To fill its bilateral relation in economics and trade the two counties have also made exchange of visits, either by government officials or business communities. Through its Embassy in Bucharest, Indonesia always participated in all major exhibitions in Bucharest and other cities in Romania. In those exhibitions, government and private sectors from Indonesia also participated to explore the market. However, so far, the economics potentials of each country have not been fully explored yet. Therefore, trade volume between the two countries is still low.

According to the Indonesia-Romanian bilateral trade report as released by the Association of Exporters and Importers of Romania, export volume of Indonesia to Romania in 2001 is USD 35,5 million, while import volume of Indonesia from Romania is only USD 4,7 million. Indonesian exports to Romania are still dominated by natural products such as coffee, cocoa, rubber, while other semi-manufactured and manufactured products started to enter the market such as plastic product, as well as computer and electric equipment. On other hand, Romanian exports to Indonesia consists of mostly machinery products, mineral and chemical products, metallurgy and technology for oil exploration and other mining and industrial equipment.

Balance of trade between Indonesia and Romania in the last seven years as shown by the table below is still low and less progressive:

T a b l e
Indonesia – Romania Trade balance
(in million US$))Year Export Import Balance Volume

Year
Export
Import
Balance
Volume
1995
10,9
46,4
-35,5
57,3
1996
17,5
9,1
8,4
26,6
1997
18,9
48,9
-30
67,8
1998
30,3
7,5
22,8
37,8
1999
22,8
2,9
20,5
25,7
2000
28,2
3
24,8
31,2
2001
35,5
4,7
30,8
40,2
2002
37,8
10,5
27,3
48,3
2003
48,3
4,8
43,5
53,1
2004
56
17
39
73
2005*
30,57
2,43
28,14
33
* : the fisrt five months of the year 2005
Source : Department of Foreign Trade /
National Statistic Institute of Romania.

To enhance trade relations, the Embassy tried to reactivate its trade promotion by participating in International Trade Fair for Consumer Goods (TIBCO) in 2000, 2001 and 2002 in Romexpo Bucharest. In the edition of 2002, 10 small and medium size entrepreneurs from Indonesia participated. Every April and October, Indonesia also participates in Tourism Fair, while every November Indonesia participates in Suveniruri Expo.

In investment, according to the data base of Romanian Chamber of Commerce and Industry, until the end of 2000, there were 3 companies which are financed by Indonesian investors, namely, Indorom International Impex Srl, in Cluj (US$ 5,1 million); Arnis Srl, in Sibiu (US$ 0,1 million); and Genfor Srl in Hunedoara (US$ 5,1 million). On the other hand, there are 2 Romanian investment in export-import sector located in Bali, namely PT. VOZ BBG (US$ 60,000) and PT. Cascom International Trading (US$ 100,000) .

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The Bilateral Relation of Cooperation on Information, Social and Culture between Indonesia – Romania runs smoothly. The MoU On Culture signed by both Ministers of Foreign Affairs of the two countries was concluded during the visit of the President of the Republic of Indonesia in 1960 to Romania and since then it has become the first legal cooperation agreement between Indonesia – Romania. The signing was followed by the opening of the Embassies in both countries. The MoU allowed the cooperation in the field Culture, High Education, Knowledge and Scientific research.

As the follow-up of the cooperation agreement, in 1961 the Romanian Government began to offer full-board scholarship for Indonesian students interested to study in the universities in Romania. By the end of the validity of the scholarship in 1965, dozens of Indonesian student had benefited of the scholarship, most of whom studied in Medical, Economic, Polytechnics, Mining and Refinery field. At present, the Romanian Government is still offering facility not only for students from Indonesia, but also scholarship for the embassy’s staff members in the form of free of tuition fee. On the contrary, the number of Romanian students benefiting scholarship from Indonesian high education institution seems to be small.

On various occasions, Romanian Officials expressed their hope directly that the 2 countries can make efforts to find ways for reviewing the 1960 Cultural Cooperation Agreement, whether at the level of substance or in the implementation, on the grounds of the fundamental changes having occurred in both countries.

The cooperation on Sport between Indonesia and Romania has begun since the communist era. Ever since, Indonesia has sent a number of Athletes to Romania for training and Romania has sent their trainers or coaches to Indonesia for a period of time. The sports for which the Indonesian Athletes came to train are fencing, Water Polo and wrestling , as well gymnastics. The most frequent sport field chosen by the Indonesian Athletes is Gymnastic.

Indonesian national athletes came for training in the field of gymnastics in 1985 , 1986, 1987, 1999, 2003, and on March 2005. Most of the Indonesian national Athletes came to Romania in view of short or long term training before the participating in Sea Games contest or international contest events. Beside the gymnastic training, in 1997 Indonesia sent wrestling team to Romania for 2 months ( July – August) in view of preparation for Sea Games contest in Jakarta in October 1997. In August – September 1997, Indonesian national athlete on Fencing also conducted try-out in Romania.

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