Government-Business Relations between Eastern Indonesia and the Northern Territory

Abstract

This collection of essays concentrates on the scope for commercial cooperation between the Northern Territory and Eastern Indonesia, and the challenges confronting those seeking to exploit commercial opportunities.

Contributors to this volume include the then Chief Minister of the Northern Territory, Hon. Shane Stone, senior government ministers, Australian and Indonesian government experts in Eastern Indonesia, anthropologists, economists, historians and business people.

Papers identify the live cattle trade, mining, the Timor Gap, technology transfers, education and tourism as sectors in which The Northern Territory has a competitive advantage and which offer scope for further development of trade between Eastern Indonesia and Northern Australia.

The authors demonstrate that opportunities for the Northern Territory in Eastern Indonesia lie in capitalising on three advantages: proximity, complementarities between economic sectors and appropriateness to the needs of Eastern Indonesia of the Northern Territory’s experience in applying new technology to harsh, remote and highly dispersed environments.

In recognising the potential of the Asian market in the region, The Northern Territory is marketing itself as Australia’s future gateway to Asia, particularly Indonesia. The Australia Indonesia Development Area (AIDA) agreement, which emphasised Australia’s positive role in promoting private investment in Indonesia’s Eastern Provinces, and continued the drawing of boundaries for Australia- Indonesia relationships, was signed by Ministers Downer and Hartarto in 1997. This collection reinforces the significance of the Northern Territory’s relationship with Indonesia. It reinforces the countries’ position as neighbours and highlights the need to assist business and encourage investment from both countries.