ASEAN RUBBER BUSINESS COUNCIL MEETING "7th MEETING OF THE ECONOMICS & STATISTICS COMMITTEE" AND VIETNAM RUBBER ASSOCIATION (VRA) ANNUAL DINNER 2007 -

Date: Friday, December 07th 2007
Time: 10.00 am – 12.00 pm (ARBC Meeting)
07.00 pm – 09.00 pm (VRA’s Annual Dinner)
Venue: Sheraton Saigon Hotel
88 Dong Khoi St. District 1
Ho Chi Minh City
Vietnam


7th MEETING OF THE ECONOMICS & STATISTICS COMMITTEE

I – Introduction

The 06th of December – 8:00 AM, ARDC’s delegates were participated to the ARBC Meeting for the 7th Meeting of the Economics & Statistics Committee taken place in the premise of the Sheraton Saigon Hotel - Vietnam. Prior to the ARBC Meeting, the President of ARDC together with Secretary General of ARDC were sincerely deliver apologized by inconvenience present to the meeting due to there were an important Assembly Meeting at the CHUP Rubber Plantation, Kampong Cham Province. It was also at the mean time for the Cambodian People Party’s campaign in action. Therefore, the meeting has final brought delegations names as per following persons:

II - ARDC Delegation:

1. Mr. IN Chesda, Chief of Sub-Committee for Marketing, Conflict and Contract – Snuol Rubber Plantation
2. Mr. CHEA Kim Heng, Chief of Bureau/Accounting – Snuol Rubber Plantation
3. Mr. Kong Mean, Representative from Chup Rubber Plantation
4. Mr. PENH Phanith, Executive Secretary/External Relation Coordinator - ARDC

III - Definition of the 7th Meeting of the Economics & Statistics Committee

A. The issue of Terminal Handling Charges (THC):

The Secretary General of ARBC has commented on the issue of Terminal Handling Charges (THC) while business transaction problem occurred toward the members of ARBC. It decided:

- That the TRA to pursue the THC issue with the Thailand Chamber of Commerce and the Thailand Shippers Council;
- That TRA members adopt a united stand and follow the common trade practice of the ARBC members to resolves this issue;
- That the Secretariat would circulate to all member Associations of the ARBC to specify in their term of FOB contracts as following

“Terminal Handling Charges (THC), at port of loading, if any, are to be for buyers’ account”

B. 4th Draft Revision of the IRA International Contracts for TSR and Latex in Drums:

The previous IRA meeting in Bangkok held on 13th May 2007 and the revision meeting on Technical Sub-Committee on Contract Anomalies held on 2nd November 2007 at Penang Hotel in Malaysia regarding to Contract of Arbitration. Board of ARBC has proposed to eliminate a word (Joint Panel[1]) and to include Bangkok as centre of arbitration. Board of the Meeting has also considered in following proposals if:

- Members agree to replace “Rubber Research Centre – Hat Yai, South Thailand” with “Rubber Research Institute of Thailand – Bangkok, Thailand”;
- Members agree to replace “Malaysian Rubber Producers’ Research Association” with “Tun Abdul Razak Research Centre”;
- Members agree to include Rubber Research Institute of Indonesia, Bogor as an additional regional laboratory.

For the decision regarding to the replacement of Rubber Research Center – Hat Yai, the proposed members of ARBC is to consider the Round Robin Test in Malaysia as a central based. But nevertheless, most members prefer to keep Hat Yai for instance, until once the Round Robin Test in Malaysia found fully equipped or standardized in accordance with the norm. The Board of ARBC will be considered the replacement of Rubber Research Center from Hat Yai to the Malaysian Research Center together with the proposed in establishing the international contract for TSR and Latex in Drums.

C. Under the terms of an FOB Contracts

Mr. HGUYEN Thanh Duoc, Import-Export Manager at DAU TIENG RUBBR CORPORATION has brief the presentation concerning to the FOB applicable during the commercial trade practice recently with the International buyers. On the side of Vietnam Rubber Association (VRA), has informed that they had advised their exporters to consider using FCA (Free Carrier) instead of FOB should the shipping lines charges THC on the sellers. For this case, under the FCA shipping term, the exporters need to deliver the rubber to a named place e.g container yard and all risks and obligations by the seller would end at the named container yard. It has put the definition of FOB in INCOTERMS 2000 to be considered in applying within the future trade with the International traders.

D. Proposal to Establish an Inter-agency Statistics Coordinating Committee (SCC)

According to the reference letter ARBC/001/(03)/07 on 1 August 2007 of the ASEAN Rubber Business Council[2]; the reference letter No. K/7/1-2(27) on 29th August 2007 of the Association of Natural Rubber Producing Countries[3]; the reference letter IRCo/2007/123 on 3 September 2007 of International Rubber Consortium Limited[4]; the reference letter 0754/kpi-2/10/2007 on 3 October 2007 of the Ministry of Trade of the Republic of Indonesia Directorate General International Trade Cooperation for the establishment of an Inter-agency Statistics Coordinating Committee (SCC) on the purpose to seek the figure of the market sentiment as well as for an accurate statistics to all members shall be able to provide as necessary.

The board has comment if members would ready to prepare a small session for an exchange the response between members to members. The meeting shall prepare as “a small Assembly Meeting” for an objective to get a right feedback on its figures. Therefore, members of ARBC shall put this topic into the key essential factor for the considering.

Prior to this, there was no any much comment from ARBC’s members. Therefore, the board meeting would consider for this proposal to establish an Inter-agency Statistics Coordinating Committee (SCC).

E. Data Input – Market Outlook

The Data Input priority based on the NR Statistics, FOB Prices for TSR 20 and market outlook surrounded to members of ARBC involvement. (see Appendix1 of ARBC)

IV – Any Other Matters

A. Proposal letter on the formation of China Rubber Trade Commission (CRTC)

During the discussion with the members of ARBC, whether every members of ARBC be able to consider the request of Mr. Zhou Xueqiang, Chirman of Chian Xinyi Group of Light Company and Protem Committee Chairman of CCIC for ARBC to endorse the letter of support for the formation of China Rubber Trade Commission also its possibly able to be a member of ARBC.

MRE/FRTAM has remarked that the CRTC is the private player company not pays a role within the Government involvement. CRTC shall be a key player to be involved with the government itself. Thus, it comes up a bit difficult to its formation. At least, it has to make sure whether the CRTC operation playing with an appropriate business for the final consideration from the board of ARBC. It would be pleased if the board of ARBC prepare an officially letter to CRTC without any silent so that on a purpose to notify them that we are ARBC members were trying to consider for this proposal. Nevertheless, we possibly be invited the priority key person from CRTC toward the next ARBC Assembly Meeting.

Therefore, the board of ARBC has draw up for its diplomatically writing an official letter to China, that we have now is processing to consider whether CRTC could be able to become ARBC’s members in the future.

B. Invitation to Endorse the ASEAN Rubber Conference 2008

The ASEAN Rubber Conference 2008 will be organize in the Philippines from 5 – 7 June 2008 hosted by Nextview Sdn Bhd. The purpose for this meeting today is that the Nextview has invited ARBC to support the conference as an endorser. The benefits ARBC will receive as endorsers are:

1. ARBC logo to be included in all event marketing collaterals
2. Logo to be displayed in all event venue signage
3. Provide 6 tables to ARBC members to attend the ARC 2008 Gala Dinner on 6 June 2008 at Sofitel Philippine, Plaza, Manila, Republic of the Philippines
4. Host ARBC committee meeting by providing one meeting room for 50 pax with one coffee break
5. Discounted conference passes for members to attend ARC 2008

Members of ARBC has comment if the Nextview shall invite toward the each of the members of ARBC rather than ARBC supporting as an endorser. The Nextview would be able to invite ARBC also in order to attend as a key play toward ARC 2008.

VIETNAM RUBBER ASSOCIATION (VRA) ANNUAL DINNER 2007

To recall back since 27th September 2007 regarding to the previous Annual Dinner had organized by the Association for Rubber Development of Cambodia (ARDC) which in the premise of the Sofitel Phokethra Royal Angkor – Siem Reap.

On the 7th December 2007, a friendship annual dinner 2007 hosted by Vietnam Rubber Association which taken place in Sheraton Saigon Hotel – Vietnam. Delegates from everywhere related to the rubber sector; business traders; international buyers, members from the ARBC approximately around 400 delegates was expected for the attending this event. While on the other hand, our Cambodia delegates were warmly welcome from VRA with the following names:

List of present delegates of ARDC:

1. Mr. IN Chesda, Chief of Sub-Committee for Marketing, Conflict and Contract – Snuol Rubber Plantation
2. Mr. CHEA Kim Heng, Chief of Bureau/Accounting – Snuol Rubber Plantation
3. Mr. Kong Mean, Representative from Chup Rubber Plantation
4. HE. Mrs NUOP Sidara (Darasi), Director General – Pailin Rubber Plantation
5. Mrs POEV Sotheavy, Assistant to the Director General – Pailin Rubber Plantation
6. Mr. PENH Phanith, Executive Secretary/External Relation Coordinator - ARDC

This event had organized with a great moment together with joyful. There was much of the cooperation between members of the Countries Rubber Associations to the others level of the International key players from its different careers. Moreover, most of the key persons related to the business and commercial transaction or trading, they have a good opportunity for the discussing in term of their business and works environment.

Phnom Penh: December 12th 2007

Reported by:

Mr. PENH Phanith
Executive Secretary/External Relation Coordinator

Association for Rubber Development of Cambodia (ARDC)

No 48, 4th Floor, Street Neary Klahan

Sangkat Sras Chark, Khan Daun Penh

Phnom Penh

Tel: +855 23 725 571

Fax: +855 23 725 570

Email: ardc@online.com.kh

Website: http://www.ardc.com.kh/ (to be launched soon)