Granite supply issue: Singapore calls for transparency

The Straits Times, April 28, 2007


BALI - SINGAPORE accepts that it is Indonesia's prerogative to decide on its exports of granite and sand.

But it also believes Jakarta's measures over granite supply should be handled in a transparent manner. Similarly, its ban on sand exports to Singapore should be in keeping with international regulations on world trade.

Visiting Prime Minister Lee Hsien Loong made these points in his four-eye meeting with President Susilo Bambang Yudhoyono yesterday, ahead of the signing of the defence and extradition pacts between their two countries.

Mr Lee also said that despite the problems over sand and granite, he took a political decision to continue and conclude negotiations on the pacts as it was in both countries' long-term interest to do so, his press secretary said.

On the recent disruption of Singapore's granite supply from Indonesia, Mr Lee stressed that the matter should be seen to be handled transparently and with proper process.

He told Dr Yudhoyono that this would avoid unnecessary misunderstanding and misinterpretations.

In February, the Indonesian authorities detained 22 Singapore-bound barges carrying granite.

Indonesian officials later said several of the vessels had flouted regulations related to the sand ban put in place a few weeks earlier.

Until now, the barges have not been released, and no charges have been pressed against anyone involved.

Granite is used as a basic construction material in Singapore, as is sand, the export of which Indonesia banned on Feb 5.

Mr Lee said that Indonesia was within its rights to impose a ban as long as it was in accordance with World Trade Organisation rules.

Singapore would make its own arrangements by diversifying its supply sources and using new building methods that cut down the amount of sand required, he said.

As Indonesian ministers had said the ban was due to environmental concerns, Mr Lee also told Dr Yudhoyono that Singapore's offer to help address these concerns remained.