(a) promote the implementation of comprehensive, effective and transparent policies and measures to combat illegal, unreported and unregulated (hereinafter referred to as "IUU") fishing and fisheries crime and to exclude products stemming from IUU fishing, fisheries crime, forced labour or human trafficking from trade flows, including from third parties into their market;
(b) promote the development of sustainable and responsible aquaculture;
(c) promote the use of FAOs Voluntary Guidelines for Catch Documentation Schemes; and
(d) contribute to the fulfilment of the objectives set out in the 2030 Agenda for Sustainable Development regarding fisheries subsidies.
3. The Parties commit to comply with long-term conservation and management measures and effectively implement in their laws and practices the relevant international fisheries and aquaculture instruments to which they are a party.
4. The Parties agree to cooperate on issues pertaining to sustainable management of fisheries and aquaculture through bilateral arrangements if applicable and in the relevant international fora in which they participate including in Regional Fisheries Managements Organisations by, inter alia, facilitating the exchange of information on IUU fishing in order to combat such activities.
Article 8.10. Sustainable Management of the Vegetable Oils Sector and Associated Trade
1. The Parties recognise the need to take into account the economic, environmental and social opportunities and challenges associated with the production of vegetable oils and that trade between them can play an important role in promoting sustainable management and operation of the vegetable oils sector.
2. With a view to ensuring economically, environmentally and socially beneficial and sound management and operation of the vegetable oils sector, the Parties commit to, inter alia:
(a) effectively apply laws, policies and practices aiming at protecting primary forests, peatlands, and related ecosystems, halting deforestation, peat drainage and fire clearing in land preparation, reducing air and water pollution, and respecting rights of local and indigenous communities and workers;
(b) support the dissemination and use of sustainability standards, practices and guidelines for sustainably produced vegetable oils;
(c) cooperate on improving and strengthening government standards where applicable;
(d) ensure transparency of domestic policies and measures pertaining to the vegetable oils sector; and
(e) ensure that vegetable oils and their derivatives traded between the Parties are produced in accordance with the sustainability objectives referred to in subparagraph (a).
Article 8.11. Cooperation In International Fora
The Parties agree to strengthen their cooperation on issues of mutual interest to promote sustainable development, including labour and environmental issues and their trade and investment-related aspects, in relevant bilateral, regional and multilateral fora, including in the ILO and within the framework of multilateral environmental agreements to which they are a party.
Article 8.12. Implementation and Consultations
1. The Parties shall designate the administrative entities, which shall serve as contact points for the purpose of implementing this Chapter.
2. A Party may, through the contact points referred to in paragraph 1, request expert consultations or consultations within the Joint Committee regarding any matter arising under this Chapter. The Parties shall make every attempt to arrive at a mutually satisfactory resolution of the matter. Where relevant, and subject to the agreement of the Parties, they may seek advice of the relevant international organisations or bodies.
3. The Parties shall not have recourse to arbitration under Chapter 11 (Dispute Settlement) for any matters arising under this Chapter.
Article 8.13. Review
The Parties shall periodically review, in the Joint Committee, progress achieved in pursuing the objectives set out in this Chapter, and consider relevant international developments to identify areas where further action could promote these objectives.
Chapter 9. COOPERATION AND CAPACITY BUILDING
Article 9.1. Objectives and Scope
1. This Chapter sets out a framework for cooperation and capacity building under this Agreement.
2. The Parties agree that the aim of cooperation and capacity building is to foster competitiveness of goods and services, to enhance the fulfilment of applicable international standards, and to achieve sustainable development, in particular by strengthening human and institutional capacities.
Article 9.2. Principles
1. The Parties shall promote cooperation and capacity building with the aim to enhance the mutual benefits of this Agreement in accordance with their national strategies and policy objectives and taking into account the different levels of social and economic development of the Parties.
2. Cooperation under this Chapter shall pursue the following objectives:
(a) facilitate the implementation of the overall objectives of this Agreement, in particular to enhance mutually beneficial trade and investment opportunities arising from this Agreement;
(b) support Indonesia's efforts to achieve sustainable economic and social development, including by strengthening human and institutional capacities.
3. Cooperation and capacity building shall cover sectors affected by the process of liberalisation and restructuring of the Indonesian economy as well as sectors with the potential to benefit from this Agreement.
Article 9.3. Methods and Means
1. Cooperation and capacity building by the EFTA States to Indonesia shall be provided bilaterally through EFTA programmes, multilaterally or in a combination thereof.
2. The Parties shall cooperate with the objective of identifying and employing the most effective methods and means for the implementation of this Chapter, building on already existing forms of bilateral cooperation between the Parties, and, where applicable, taking into consideration the efforts undertaken by relevant international organisations in order to ensure effectiveness and coordination.
3. Means of cooperation and capacity building may include:
(a) exchange of information, transfer and exchange of expertise and training, including through facilitating exchange visits of researchers, experts, specialists and private sector representatives;
(b) grants, development funds or other financial means;
(c) joint activities such as joint studies and research projects concerning issues relating to this Agreement;
(d) facilitation for the transfer of technology, skills and practices;
(e) institutional assistance and capacity building including through training seminars, workshops, conferences and internships;
(f) support for participation in international activities such as standards setting;
(g) risk assessment analyses in the trade area; and
(h) any other means of cooperation as mutually agreed by the Parties.
4. The Parties may implement cooperation and capacity building activities with participation of national and international experts, institutions, organisations and private sector representatives, as appropriate.
Article 9.4. Memorandum of Understanding
This Chapter shall be implemented on the basis of a Memorandum of Understanding on Cooperation and Capacity Building between the EFTA States and Indonesia (hereinafter referred to as "Memorandum of Understanding"). It shall be signed in conjunction with this Agreement, building upon and complementing existing or already planned bilateral cooperation initiatives and activities.
Article 9.5. Fields of Cooperation and Capacity Building
1. Cooperation and capacity building may cover any field jointly identified by the Parties that may serve to enhance Indonesia's capacities to benefit from increased international trade and investment, including:
(a) customs, origin matters and trade facilitation;
(b) sustainable development;
(c) fisheries, aquaculture and marine products;
(d) standards, technical regulations and conformity assessment procedures;
(e) sanitary and phytosanitary measures;
(f) intellectual property rights;
(g) trade statistics;
(h) trade promotion and development of manufacturing industries, including vocational education and training;
(i) development of small and medium-sized enterprises;
(j) maritime transportation;
(k) tourism;
(l) labour and employment; and
(m) any other fields of cooperation mutually agreed by the Parties.
2. The Parties acknowledge the importance of promoting cooperation and capacity building activities to contribute to sustainable development.
Article 9.6. Financial Arrangement
1. The Parties shall cooperate to employ the most effective means for the implementation of this Chapter.
2. Each Party shall bear the cost and related expenses arising from its respective obligation for the implementation of this Chapter and the Memorandum of Understanding, in accordance with their domestic laws and regulations.
Article 9.7. Sub-Committee on Cooperation and Capacity Building
1. In order to ensure the proper implementation of the present chapter, the Parties hereby establish a Sub-Committee on Cooperation and Capacity Building (hereinafter referred to as the "Sub-Committee on Cooperation") consisting of representatives of all the Parties.
2. The functions of the Sub-Committee on Cooperation shall be to:
(a) discuss implementation of this Chapter and the Memorandum of Understanding;
(b) identify, formulate and agree on detailed proposals for the implementation of this Chapter and the Memorandum of Understanding;
(c) exchange of information on the progress of cooperation and capacity building as intended by this Agreement;
(d) cooperate with other sub-committees established under this Agreement to perform stocktaking, monitoring and benchmarking on any issues related to the implementation of this Agreement;
(e) undertake a periodic review, monitoring the implementation and operation of this Chapter and the Memorandum of Understanding, evaluating progress in the implementation and developing new plans for prospective joint activities and future cooperation and capacity building. The review may take place through written exchanges;
(f) identify obstacles and opportunities for further cooperation. The Sub- Committee on Cooperation shall evaluate reports by the Parties and discuss issues raised by other sub-committees established under this Agreement with regard to cooperation and capacity building;
(g) report to and consult with the Joint Committee.
3. The Parties shall inform the Sub-Committee on Cooperation about ongoing bilateral projects of direct relevance to this Agreement and the Sub-Committee on Cooperation shall take actions according to its functions in accordance with paragraph 2.
4. The Sub-Committee on Cooperation shall act by consensus.
5. The Sub-Committee on Cooperation shall meet as often as required and normally every year either physically or through electronic conferencing. The Sub- Committee on Cooperation shall hold its first meeting within six months after the entry into force of this Agreement. It shall be convened by the Joint Committee, by the chairpersons of the Sub-Committee or upon request of a Party. The venue shall alternate between an EFTA State and Indonesia, unless otherwise agreed by the Parties.
6. The meetings of the Sub-Committee on Cooperation shall be chaired jointly by one of the EFTA States and Indonesia.
7. The chairpersons of the Sub-Committee shall prepare a provisional agenda for each meeting in consultation with the Parties, and send it to them, as a general rule, no later than two weeks before the meeting.
8. The Sub-Committee shall prepare a report on the results of each meeting, and the chairpersons shall, if requested, report at a meeting of the Joint Committee.
Article 9.8. Dispute Settlement
1. The Parties shall not have recourse to dispute settlement under Chapter 11 (Dispute Settlement) for any matter arising under this Chapter.
2. Any dispute between the Parties concerning interpretation and implementation of this Chapter shall be settled amicably.
Chapter 10. INSTITUTIONAL PROVISIONS
Article 10.1. Joint Committee
1. The Parties hereby establish the EFTA-Indonesia Joint Committee comprising representatives of each Party. The Parties shall be represented by senior officials, delegated by them for this purpose.
2. The functions of the Joint Committee shall be:
(a) monitoring and reviewing the implementation of this Agreement, including by exploring the possibility to recommend further removal of barriers to trade and other restrictive measures concerning trade between EFTA States and Indonesia;
(b) to consider the further elaboration of this Agreement;
(c) supervise the work of all sub-committees and working groups established under this Agreement;
(d) endeavour to resolve disagreements that may arise regarding the interpretation or application of this Agreement; and
(e) consider any other matter that may affect the operation of this Agreement.
3. The Joint Committee may decide to establish sub-committees and working groups, if considered necessary, to assist it in accomplishing its tasks. Except where otherwise provided for in this Agreement, the sub-committees and working groups shall work under a mandate established by the Joint Committee.
4. The Joint Committee may take decisions as set out in this Agreement, and may make recommendations on other matters, by consensus.
5. The Joint Committee shall meet within one year from the entry into force of this Agreement. Thereafter, it shall meet whenever necessary but normally every two years. Its meetings shall be chaired jointly by one of the EFTA States and Indonesia. The Joint Committee shall establish its rules of procedure.
6. Each Party may request at any time, through a notice in writing to the other Parties, that a special meeting of the Joint Committee be held. Such a meeting shall take place within 30 days from the date of receipt of the request, unless the Parties agree otherwise.
7. If a representative of a Party in the Joint Committee has accepted a decision subject to the fulfilment of domestic legal requirements, the decision shall enter into force on the date the last Party notifies that its domestic legal requirements have been fulfilled, unless the decision itself specifies a later date. The Joint Committee may decide that the decision shall enter into force for those Parties that have fulfilled their domestic legal requirements, provided that Indonesia is one of those Parties.
Article 10.2. Communications
Each Party shall designate a contact point to facilitate communications between the Parties on any matter relating to this Agreement.
Chapter 11. DISPUTE SETTLEMENT
Article 11.1. Scope and Forum
1. Unless otherwise provided for in this Agreement, this Chapter shall apply to the settlement of any dispute if a Party considers that a measure of the other Party is in breach of this Agreement.
2. A dispute regarding the same matter arising under both this Agreement and the WTO Agreement may be settled in either forum at the discretion of the complaining Party (13), The forum thus selected shall be used to the exclusion of the other.
3. For the purposes of paragraph 2, dispute settlement procedures under the WTO Agreement are deemed to be selected by a Party's request for the establishment of a panel under Article 6 of the WTO Understanding on Rules and Procedures Governing the Settlement of Disputes, whereas dispute settlement procedures under this Agreement are deemed to be selected upon a request for arbitration pursuant to paragraph 1 of Article 11.4 (Establishment of Arbitration Panel).
4. Before a Party initiates dispute settlement proceedings under the WTO Agreement against another Party, that Party shall notify the other Parties in writing of its intention.
Article 11.2. Good Offices, Conciliation or Mediation
1. Good offices, conciliation and mediation are procedures that are undertaken voluntarily if the parties to the dispute so agree. They may be requested at any time by any party to the dispute. They may begin at any time by agreement of the parties to the dispute and be terminated at any time by any party to the dispute. They may continue while proceedings of an arbitration panel established or reconvened in accordance with this Chapter are in progress.
2. Proceedings involving good offices, conciliation and mediation and in particular positions taken by the parties to the dispute during these proceedings, shall be treated as confidential and without prejudice to the rights of the parties to the dispute in any further proceedings.
Article 11.3. Consultations
1. The Parties shall at all times make every attempt through cooperation and consultations to reach a mutually satisfactory solution of any matter as referred to in paragraph 1 of Article 11.1 (Scope and Forum).
2. A Party may request in writing consultations with another Party if it considers that a measure is inconsistent with this Agreement. The Party making the request shall provide the reasons for the request, including identification of the measures at issue and an indication of the legal and factual basis for the complaint. The Party requesting consultations shall at the same time notify the other Parties in writing of the request. The Party to which the request is made shall reply to the request within ten days from the receipt.
3. Consultations shall commence within 30 days from the date of receipt of the request for consultations. Consultations on urgent matters, including those on perishable goods, shall commence within 20 days from the date of receipt of the request for consultations.
4. The consulting parties shall provide sufficient information to enable a full examination of whether the measure is inconsistent with this Agreement and treat any confidential information exchanged in the course of consultations in the same manner as the Party providing the information.
5. The consultations shall be confidential and without prejudice to the rights of the Parties in any further proceedings.
6. The parties to the dispute shall inform the other Parties of any mutually agreed resolution of the matter.
Article 11.4. Establishment of Arbitration Panel
1. The complaining Party may request the establishment of an arbitration panel by means of a written request to the Party complained against if:
(a) the Party to which the request is made does not reply within ten days from the date of receipt of the request in accordance with paragraph 2 of Article 11.3 (Consultations);
(b) the Party to which the request is made does not enter into consultations within 30 days or within 20 days for urgent matters, from the date of receipt of the request for consultations in accordance with paragraph 3 of Article 11.3 (Consultations); or
(c) the consultations referred to in Article 11.3 (Consultations) fail to settle a dispute within 60 days, or 45 days in relation to urgent matters, including those on perishable goods, from the date of receipt of the request for consultations by the Party complained against.
A copy of this request shall be communicated to the other Parties so that they may determine whether to participate in the arbitration process.
2. The request for the establishment of an arbitration panel shall identify the specific measure at issue and provide a brief summary of the legal and factual basis of the complaint.
3. The arbitration panel shall consist of three arbitrators who shall be appointed in accordance with the "Optional Rules for Arbitrating Disputes between Two States of the Permanent Court of Arbitration", as effective from 20 October 1992 (hereinafter referred to as the "Optional Rules") mutatis mutandis. The date of establishment of the arbitration panel shall be the date on which the Chairperson is appointed.
4. Unless the parties to the dispute otherwise agree within 20 days from the date of receipt of the request for the establishment of the arbitration panel, the terms of reference for the arbitration panel shall be:
"To examine, in the light of the relevant provisions of this Agreement, the matter referred to in the request for the establishment of an arbitration panel pursuant to Article 11.4 (Establishment of Arbitration Panel) and to make findings of law and fact together with the reasons, as well as recommendations, if any, for the resolution of the dispute and the implementation of the ruling."
5. Where more than one Party requests the establishment of an arbitration panel relating to the same matter or where the request involves more than one Party complained against, and whenever feasible, a single arbitration panel may be established to examine complaints relating to the same matter, subject to the agreement of the parties to the disputes.
6. A Party which is not a party to the dispute shall be entitled, on delivery of a written notice, to the parties to the dispute, to make written submissions to the arbitration panel, receive written submissions, including annexes, from the parties to the dispute, attend hearings and make oral statements.
Article 11.5. Procedures of the Arbitration Panel
1. Unless otherwise specified in this Agreement or agreed between the parties to the dispute, the procedures of the panel shall be governed by the Optional Rules, mutatis mutandis.
2. The arbitration panel shall examine the matter referred to it in the request for the establishment of an arbitration panel in the light of the relevant provisions of this Agreement interpreted in accordance with customary rules of interpretation of public international law.
3. The language of any proceedings shall be English. The hearings of the arbitration panel shall be closed for the duration of any discussion of confidential information. Otherwise, the hearing shall be open to the public, unless the parties to the dispute decide otherwise.
4. There shall be no ex parte communications with the arbitration panel concerning matters under its consideration.
5. A Party's written submissions, written versions of oral statements and responses to questions put by an arbitration panel, shall, at the same time as it is submitted to the arbitration panel, be transmitted by that Party to the other party to the dispute.
6. The Parties shall treat as confidential the information submitted to the arbitration panel, which has been designated as confidential by the Party submitting the information.
7. Decisions of the arbitration panel shall be taken by a majority of its arbitrators. Any arbitrator may furnish separate opinions on matters not unanimously agreed. The arbitration panel shall not disclose which arbitrator are associated with majority or minority opinions.
Article 11.6. Panel Reports
1. The arbitration panel shall normally submit an initial report containing its findings and rulings to the parties to the dispute no later than 90 days from the date of establishment of the arbitration panel. In no case should it do so later than five months from this date. A party to the dispute may submit written comments to the arbitration panel on its initial report within 14 days from the date of receipt of the report. The arbitration panel shall normally present to the parties to the dispute a final report within 30 days from the date of receipt of the initial report.
2. The final report, as well as any report under Articles 11.8 (Implementation of the Final Panel Report) and 11.9 (Compensation and Suspension of Benefits), shall be communicated to the Parties. The reports shall be made public, unless the parties to the dispute decide otherwise, subject to the protection of any confidential information.
3. Any ruling of the arbitration panel under any provision of this Chapter shall be final and binding upon the parties to the dispute.
Article 11.7. Suspension or Termination of Arbitration Panel Proceedings
1. Where the parties to the dispute agree, an arbitration panel may suspend its work at any time for a period not exceeding 12 months. If the work of an arbitration panel has been suspended for more than 12 months, the arbitration panel's authority for considering the dispute shall lapse, unless the parties to the dispute agree otherwise.
2. A complaining Party may withdraw its complaint at any time before the initial report has been issued. Such withdrawal is without prejudice to its right to introduce a new complaint regarding the same issue at a later point in time.
3. The parties to the dispute may agree at any time to terminate the proceedings of an arbitration panel established under this Agreement by jointly notifying in writing the Chairperson of that arbitration panel.
4. An arbitration panel may, at any stage of the proceedings prior to release of the final report, propose that the parties to the dispute seek to settle the dispute amicably.
Article 11.8. Implementation of the Final Panel Report
1. The Party complained against shall promptly comply with the ruling in the final report. If it is impracticable to comply immediately, the parties to the dispute shall endeavour to agree on a reasonable period of time to do so. In the absence of such agreement within 45 days, from the date of the issuance of the final report, either party to the dispute may request the original arbitration panel to determine the length of the reasonable period of time, in light of the particular circumstances of the case. The ruling of the arbitration panel shall normally be given within 60 days from the date of receipt of that request.
2. The Party complained against shall notify the other party to the dispute of the measure adopted in order to comply with the ruling in the final report, as well as provide a detailed description of how the measure ensures compliance sufficient to allow the other party to the dispute to assess the measure.