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The BurmaNet News, June 20, 1997




------------------------ BurmaNet ------------------------    
"Appropriate Information Technologies, Practical Strategies"    
----------------------------------------------------------    

The BurmaNet News: June 20, 1997       
Issue #753

HEADLINES:       
==========  
ABSDF PRESS RELEASE: SLORC TROOPS MALTREAT KAREN
SLORC: INFORMATION SHEET A-0054, A-0055, A-0056
AP: MILITARY STOPS SUU KYI'S SUPPORTERS FROM ATTENDING
BAG-UK: BRITAIN EMBARGOES BURMA TRADE PROMOTION
SJMN: S. F. VOTES TO EXPAND BURMA BAN
ASIA TIMES: MYANMAR OPENS INSURANCE JOINT VENTURE
BKK POST: QUAKE WARNING REPEATED
NATION: US STATE PROSECUTOR SETS SIGHTS ON KHUN SA
THE NATION: POLICE SEIZE COCAINE PARCEL
NATION: PITAK ASKS BURMA TO CEASE TRADE DISRUPTION
BKK POST: AUGUST DATE SET BRIDGE'S OFFICIAL OPENING
FEER: FLY IN THE OINTMENT 
BKK POST: REFORMS IN READINESS FOR ASEAN DEBUT
-----------------------------------------------------------------

ABSDF PRESS RELEASE: SLORC TROOPS BEAT, MALTREAT AND CONSCRIPT KAREN VILLAGERS
June 19, 1997

SLORC troops and Democratic Karen Buddhist Army (DKBA) soldiers
beat a heavily pregnant Karen woman and broke her teeth in the village of
Thwahta in Karen State, while forcing another woman to take off her clothes
in public and poking her genitalia with the barrel of a gun.

The incident is part of a series of human rights abuses carried out against
the Karen villagers in Papun District by the SLORC's Light Infantry
Regiments (LIR) 546, 547 and 548. These troops have also been responsible
for burning churches, schools and houses, and destroying food supplies
including tons of rice, and other property belonging to the villagers.

According to eyewitness Naw Rogyi Phaw, the incident involving the woman
occurred on 27 March when approximately 150 soldiers from LIR 548 and the
DKBA arrived at Thwahta to round up villagers as porters. Naw Rogyi Phaw who
recently arrived at Mae Yel refugee camp from Thwahta, told the ABSDF that
the pregnant woman was beaten for failing to bring her husband Saw Pulaw
Pho, a former member of the Karen National Union (KNU), to the soldiers.

Naw Pulaw, the wife of Saw Maung Kyaing, the headman of the village, was
forced to strip naked in front of the remaining female villagers and a
soldier poked her genitalia with the barrel of his gun. 

Saw Maung Kyaing was accused of being responsible for the villagers who fled
before the troops arrived at the village. The soldiers tied him to a tree in
front of his house and lit a fire next to him as a punishment for failing
stop the male villagers from running away.

The following day on 28 March, the SLORC and DKBA troops took the
pregnant woman and several other young Karen women from the village as
porters when they left. 

Saw Keini from the village of Nakokhee, who had been with a group of 40
Karen women porters before his escape, told the ABSDF that the same pregnant
woman, whom he knows as the wife of Saw Pulaw Pho, and another Karen woman
were forced to carry heavy loads of supplies. He said the women were beaten
if they staggered or couldn't walk, and were abandoned in the jungle after
they became unconscious from fatigue and from the beatings.

About 3,000 villagers from the area have so far fled to Thailand since the
beginning of the offensive in February this year. The refugees have been
sheltering in refugee camps in Thailand's Mae Sarieng District. 

All Burma Students Democratic Front (ABSDF)
For more information please call:  01-654 4984

*************************************************

SLORC: INFORMATION SHEET A-0054, A-0055, A-0056

INFORMATION SHEET	A- 0054		                  17 - 6 - 97

(1) (25) men headed by Saw Ba La Htoo of the Karen National Union  (the
outlawed terrorist group) 10th. Battalion  traded arms for peace on the 15th
of June to the local military authorities. This group used to operate in the
Dawei (Tavoy) area.

(2) (25) civilians killed and (5) wounded by the break away group of the
former Mong Tai Army. The incident took place in the Eastern Shan State near
Tachileik where (40) armed terrorists led by Khay Ngim of the M.T.A break
away faction of Ywet Sit ambushed a civilian convoy on the 13th.of June, it
is learnt. 
					*********

INFORMATION SHEET  NO. A-0055                             DATE 19-6-97

(1) Narcotics drug seizures in various parts of the country from  1st of May
to the 31th of May amounts to a total of:-

                (a)     149.99 Kilos of Opium.
                (b)     3.46 Kilos of Heroin.
                (c)     10.05 Kilos of Marijuana.
                (d)     (1,000) Amphetamine Tablets.
                (f)     100 Kilos of Amphetamine base.

(2) U Than Kyaw  (71) yrs. an (N.L.D) elected representative of Hlaing
Thayar  Township of Yangon Division submitted his resignation to the
concerning  N.L.D authorities on the 18th . of June 1997.  The reason for
his resignation was officially  stated for health reason but unofficial
sources said that it was due to differences in  internal party politics.

(3) (69) armed members from the remaining terrorist group (KNU) traded
arms for peace on the 13th of June.  It is learnt that, this group is lead by
Saw Win Maung from the KNU Central H.Q.

                                *********************

INFORMATION SHEET A- 0056                           19 - 6 - 97

                Mrs. Aris celebrated her 52nd. birthday at her University
Avenue residence today. (5) invited monks were offered morning meal and 20
people including U.S  CDA Mr. Wiedemann and spouse and the British
Ambassador Mr. Gordon attended the morning function, it is learnt.

********************************************

AP: MILITARY STOPS SUU KYI'S SUPPORTERS FROM ATTENDING HER BIRTHDAY PARTY
June 19, 1997 [slightly abridged]

   RANGOON, Burma (AP) _ Military police prevented about 100 supporters of
pro-democracy leader Aung San Suu Kyi from visiting
her home to celebrate her 52nd birthday Thursday.
   About 20 of Suu Kyi's relatives and aides, however, were allowed into her
compound for a quiet ceremony in which she offered food to five Buddhist
monks, a traditional merit-making ritual.
   Suu Kyi has been under semi-house arrest since last September, when the
military sealed off her home to prevent a congress of her political party
and stop her from giving weekend speeches to the public.
   Since then, they have granted only limited access to the 1991 Nobel Peace
Prize winner.
   With riot police lurking in a truck nearby, more than 100 of Suu Kyi's
supporters gathered at the office of her political party, the National
League for Democracy, near the golden Shwedagon Pagoda.
   Wearing the trademark collarless, orange jacket of the NLD, they heaped
elaborately wrapped gifts on a table inside the office.
   Many hoped Suu Kyi, who is recovering from a fall last month in which she
hurt her back, would leave her home and join them.
   ``Since we cannot go to her house, we celebrate her birthday here and we
all wish for her health and success,'' said Hla Mying, 54, an NLD member.
   An aide at Suu Kyi's home said that if the Nobel laureate couldn't come
to the party office, she would send Tin Oo and Kyi Maung, the party's vice
chairmen, to greet the supporters.
   This was Suu Kyi's second birthday celebration since her release from six
years of house arrest in July 1995. Last year, before the military blockaded
her home, streams of supporters filed in and out of her compound delivering
gifts and wishing her well.
   On Thursday, in cities around the world such as Bangkok, Tokyo and New
York, supporters held protests and celebrations to mark her birthday. They
have also designated her birthday as Burma Women's Day, to spotlight women's
contributions to the democracy struggle.
   Outside the Burmese Embassy in Bangkok, about a dozen Burmese, Thai and
Western protesters donned Suu Kyi masks and paper shackles and held a banner
that read ``Women's Rights, Human Rights for Burma.''
   Police have taken a hard line against Burmese democracy protesters since
Chavalit Yongchaiyudh was elected Thailand's prime minister last year. But
they did not intervene until the demonstrators tried to hand out leaflets.
   A Burmese Embassy official was seen photographing the protesters.
   Democracy activists have said that since Chavalit became prime minister,
Thai and Burmese military intelligence personnel are now working together to
harass Burmese exiles.
   ``Burmese women have not been very visible in the struggle, but they have
always been there,'' said Debbie Stodhard, one of the protesters.
   In fact, Burmese women have been very visible in the democracy movement.
The NLD has many women members, and large numbers of them would show up at
Suu Kyi's compound for party meetings before the
government imposed its restrictions.

***************************************************

BAG-UK PRESS RELEASE: BRITAIN EMBARGOES BURMA TRADE PROMOTION
June 19, 1997

The election of the new Labour government may prove a good omen for Burma's
democracy movement. Today as the British Ambassador hand delivered a
birthday greeting to Daw Aung San Suu Kyi from the new Foreign Secretary,
the Government issued a statement detailing its new policy on trade
promotion towards Burma.

In answer to a Parliamentary Question, Foreign Office Minister Derek
Fatchett said  "the Government will not provide any financial support to
companies for trade missions to Burma or for trade promotion activities
within Burma until there is progress towards democratic reform and respect
for human rights in Burma."

Despite continuing to provide routine advice to companies looking at Burma,
the Government "will also make clear wherever possible the present realities
in Burma, including the political and human rights situation and the state
of the economy. It will also draw to businessmen's attention statements by
Daw Aung San Suu Kyi and other pro-democracy leaders discouraging trade and
investment in Burma."

The Government is looking to persuade EU partners to follow their lead
during meetings scheduled over the next weeks, culminating in the meeting of
EU Foreign Ministers on 26 June. However discussions have so far failed to
produce a consensus of opinion on the issue.

The Burma Action Group UK see today's move by the new Labour Government as
an  encouraging first step. In addition the announcement does not preclude
introduction of further more punitive measures and discussions in this
regard are in progress.  In an interview on 22 May, 1997 Foreign Office
Minister Derek Fatchett said "Sanctions may well be an option at some time
during our discussions".

Yvette Mahon, Co-ordinator of the Burma Action Group said "Pre-election the
Labour Party lent their support to Daw Aung San Suu Kyi in her call for the
imposition of full economic sanctions against Burma. The Burma Action Group
UK are hopeful that today's announcement is simply the first step on a road
leading to the fulfillment  of that pledge. Britain has today sent a firm
signal of growing world resolve to isolate Burma's brutal military regime."

According to the U.S. State department, Great Britain is the third largest
investor in Burma. As an essential next step the Burma Action Group UK
would like to see the Government  following the recent American example, by
announcing that it will impose a ban on all new investment in Burma by
British companies and individuals, and that it will lobby for an EU-wide
initiative in this regard.

We further encourage the Foreign Secretary to ensure that Burma is on the
agenda for discussion at the upcoming G8 meeting in Denver, and that
Britain continues to advance a critical attitude towards Burma at
forthcoming EU-ASEAN meetings despite the recent decision by ASEAN to admit
Burma to the grouping this July.

For further information contact:
Yvette Mahon, Co-ordinator:
Tel: 0171 359 7679, Fax: 0171 354 3987

************************************************

SAN JOSE MERCURY NEWS: S. F. VOTES TO EXPAND BURMA BAN
June 18, 1997

Supervisors debate involvement in foreign human rights issues             
                 
SAN FRANCISCO (AP) -- Extending San Francisco's involvement in the 
international human rights arena, city supervisors voted to expand economic
sanctions against Burma and discussed a similar ban against five 
African nations.
	After a heated debate, the Board of Supervisors voted on Monday to add
construction contracts to an ordinance barring the city from doing 
business with companies having ties to Burma.
	The Southeast Asian nation's government is often criticized for harsh
repression of its country's democracy movement.
	The board's vote follows closely on a wave of national sanctions against
Burma, which is also known as Myanmar.
	The Burmese government seized power in 1988 after gunning down 3,000
demonstrators, and refused to recognize Nobel Peace Prize winner Aung San
Suu Kyi's sweeping victory in 1990 democratic elections.
	San Francisco Supervisor Amos Brown, saying the board needs to be
consistent, raised the possibility of similar bans on commerce with 
Sudan, Liberia, Rwanda, Zaire (now Democratic Republic of the Congo) and
Nigeria.
	But tempers flared when Supervisor Gavin Newman urged that the ban be
dropped. He argued that San Francisco's involvement with foreign human
rights issues means it must levy sanctions against a slew of other
countries. Such a move would be costly in time and money, he said.
	Supervisor Tom Ammiano, chief sponsor of the Burma ban, said: ``It really
mocks what human rights issues are all about. If that supervisor had done
his homework, he wouldn't have wasted time on this ridiculous polemic. I
feel we have a moral responsibility to our neighbors.''

*******************************************

ASIA TIMES: MYANMAR OPENS INSURANCE DOOR WITH JOINT VENTURE
June 17, 1997
Stephen Brookes

Japan's Yasuda Fire and Marine Insurance agreed last week to  set up a
joint-venture company with Myanma Insurance in a move that may 
signal an opening up of Myanmar's state-held insurance sector. 

The new company - the first insurance joint venture in Myanmar - is 
likely to be set up within six months, officials at Myanma Insurance 
said. No name or financing details for the company have been settled, 
they said. 

At a June 12 ceremony marking the agreement, Minister for Finance and 
Revenue Brigadier-General Win Tin said: "As the economy expands and 
becomes more complex, more insurance activities" were needed. "Now is 
the proper time for Myanma Insurance to have a business partner, since 
the advent of the market economic system has caused government organizations
to undergo drastic changes to be aligned with market mechanisms." 

Insurance has been a monopoly of the state in Myanmar for more than three
decades. Under the Investment Law of 1988, foreign investors are 
required to take machinery, fire, marine and personal accident insurance 
with Myanma Insurance, and the company's turnover is more than US$100 
million annually. 

The Myanmar Insurance Law of 1993 paved the way for privatization of the
insurance industry, and in June 1996 new regulations opening up part of the
insurance market were announced. 

Actual privatization of the insurance industry has been stalled, however,
and foreign insurers are only allowed to set up representative offices. 

"Private insurance companies are not allowed to set up yet," said Deputy 
Managing Director of Myanma Insurance, Maung Thein. 

"New regulations are expected soon. But we expect that the joint venture 
will settle the problem of getting reinsurance," he added. "Life will be 
much easier." 

Reinsurance enables insurers - in this case Myanma - who have sold 
policies covering any number of risks, to effectively insure themselves 
against possible payouts on those risks. In doing so they spread the 
risk they are covering, and therefore increase the amount of coverage 
they can offer. Domestic reinsurance is not available in Myanmar and 
therefore companies need to approach established reinsurance markets in 
Japan, the United States or Europe - hence this latest tie-up. 

Without reinsurance, a domestic industry is effectively suffocated by 
its own limitations. 

Local insurance companies now act as insurance buyers for foreign 
investors, arranging full coverage through a foreign reinsurer while 
paying fronting fees to Myanma Insurance. 

Yasuda's representative office in Yangon refused comment on the new 
venture, but in a written statement Yasuda said that it had "high 
expectations of what this pioneer company can do to assist the 
development of the Myanmar insurance industry. 

"The establishment of a joint-venture insurance company in Myanmar will 
allow Yasuda to strengthen its worldwide network and improve its client 
services such as the provision of insurance cover, and claims handling," 
the company added. "This, in turn, will support the growing Japanese 
trend toward investment in Asia." 

A number of Japanese companies including Mitsui and Sumitomo had 
expressed interest in forming a joint venture with Myanma Insurance, 
said Maung Thein. Yasuda was picked, he said, because it was the second 
largest insurance company in Japan, and the first to have a 
representative stationed in Yangon. 

In remarks at the signing ceremony, Win Tin noted Yasuda had "exhibited 
its goodwill and enthusiasm towards our country in the most perceptible 
manner".

--------------------------------------------
BRC-J: MESSAGES TO YASUDA WEB SITE
June 18, 1997

Here's what people can do if they want to lodge a protest with Yasuda Fire &
Marine Insurance Co., Ltd.:

1.  Go to this site: <http://www.yasuda.co.jp>
2.  Press the "English" button
3.  Scroll down to the "Mail" icon (a little blue envelope)
4.  Fill in the blanks and send

http://www2.gol.com/users/brelief/Index.htm

************************************************

BKK POST: QUAKE WARNING REPEATED
June 19, 1997
Anond Bunnag

Environmental groups yesterday asked the House Environment Committee to
prevent the Petroleum Authority of Thailand's gas pipeline from endangering
forests in Kanchanaburi province.

Pipop Thongchai, an activist representing the groups, told reporters after
meeting the panel at Parliament that apart from being a potential threat to
forests, the 260-km-long pipeline would pass two quake-prone zones in Darn
Jedi Sarm Ong area and Si Sawat district of the province.

The 16.5-billion-baht pipeline was also prone to terrorist attacks because a
10-km section of the pipeline will pass through an area controlled by
Burmese ethnic groups.

Mr Pipop affirmed the proposal for an underwater pipeline from the Yadana
and Yetagun gas fields in Burma to the power plant in Ratchaburi province
was a safer option as it would reduce the length of the pipeline by 30%.

He also called on the House panel to ensure that the contents of the
pipeline deal between PTT and Burma were made available to the public. 

*********************************************************

NATION: US STATE PROSECUTOR SETS SIGHTS ON KHUN SA
June 17, 1997
Yindee Lertcharoenchok 

A SENIOR US federal prosecutor responsible for several indictments against
Southeast Asian drug trafficking syndicates has expressed strong hope that
opium warlord Khun Sa will be brought to justice for his illicit drug
activities over the past 20 years. 

 Catherine E Palmer, a senior litigation counsel and assistant attorney in
the US Attorney's Office in the eastern district of New York, praised
Thailand for its cooperation in arresting and extraditing several of Khun
Sa's leading lieutenants under a joint Thai-US Operation named Tiger Trap.
Since last year, three out of 14 Tiger Trap suspects who were all arrested
separately, have already been extradited to face charges in US federal
courts which has experience in prosecuting members of the Italian mafia,
Asian crime gangs and Southeast Asian drug traffickers. 

China recently handed the US one Tiger Trap suspect, arrested in southern
Yunnan province, said Palmer, who is the lead prosecutor in Operation Tiger
Trap aimed at persecuting Khun Sa and 19 other collaborators who have
participated in heroin production and trafficking. 

Palmer, who has just left Bangkok after a one-month stay as a guest lecturer
at the Thailand Criminal Law Institute, declined to name Tiger Trap suspects
who have already pleaded guilty. But several informed sources identified Li
Chia-cheng, who was arrested by Yunnan authorities and sent to the US in
late April, as being among them. 

The three other suspects extradited from Thailand were Meechai Pathumanee,
who was extradited on January 17, 1997; Chao Fu-sheng extradited on May 24,
1996; and Chao Yuan on August 31, 1996. 

In an interview last Friday, Palmer praised Thailand for its cooperation in
the operation that had "a direct impact on Khun Sa's ultimate fall" and "a
significant impact" in disrupting his drug empire that had been operating in
the Shan State for more than 20 years. 

"We have gotten several of the top [Tiger Trap suspects]. I can't say what's
going on right now with Khun Sa or what will happen to him in the future,
but I remain very optimistic that he will face justice at some point," she
said. 

"Whether it's in the United States, Burma or Thailand, that's not important
to me. But what is important to me is that he answers the charges some
place, whenever it happens," Palmer said, who has been dubbed "Dragon Lady"
by the Asian community in New York for her tough pursuit of Asian organised
crime gangs and Southeast Asian drug trafficking syndicates. 

She was hopeful that more of the operation's suspects would be arrested. 

"Concerning Khun Sa, I'm proud of the fact that our efforts here in
cooperation with the Thai police have resulted to a large extent with the
shutting down of his Shan operation and made him move to a place where maybe
he cannot run operations as he once did," she said. The US prosecutor
accepted that there were several other major narcotic warlords in Burma's
Shan State, apart from Khun Sa, who are or have been heavily involved in
illicit drug activities in the Golden Triangle area. 

She said the Thai police and US Drug Enforcement Administration (DEA) "were
well aware of who the rising people are" and were closely working together
to bring new cases and investigations against all of the major targets. 

Palmer hopes Burma will continue to extend anti-drug cooperation as, it did
with the surprise arrest and deportation to Thailand in late May of Li, who
jumped bail in early February while awaiting extradition to the US. (TN)

*******************************************************

THE NATION: POLICE SEIZE COCAINE PARCEL
June 18, 1997
Kyodo

A BURMESE man was arrested on Monday in Pattaya when he arrived at a post
office to collect a cocaine parcel sent from Brazil, Thai narcotics
officials said yesterday.
	Authorities confiscated 600 grammes of cocaine stuffed inside two pairs of
slippers packed in a parcel sent by express mail from Sao Paulo, according
to the officials. They said the cocaine has a local street value of Bt2.1
million.
	The man was identified as Khup Za Dong, 27, who is believed to he a member
of an international narcotics - trafficking ring that imports cocaine for
sale in Bangkok and Pattaya.
	British authorities were said to have tipped off Thai officials about the
suspicious nature of the parcel after it transited Britain route to Thailand.
	Officials said Khup Za Dong, a resident of Bangkok for three years, also
earns a living by sending Burmese workers to third countries, including
Japan and South Korea.
	Some 2.5 kgs of cocaine has been confiscated in Thailand since January this
year. Convicted narcotics traffickers can face the death penalty.(TN)

*******************************************************

NATION: PITAK ASKS BURMA TO CEASE TRADE DISRUPTION
June 19, 1997
Don Pathan 

MAE SOT ­ The Burmese junta should end its block on cross-border trading and
treat border problems and economic activities along the Thai-Burmese
frontier separately, Deputy Foreign Minister Pitak Intrawityanunt said
yesterday. 

"Myanmar [Burma] won't be able to open or close its borders as it pleases
once it becomes a member of Asean [the Association of Southeast Asian
Nations]. There is certain behaviour and a code of conduct that Asean
members ... have to abide by," Pitak said during a one-day tour of this
northern district in Tak province. 

Rangoon abruptly ordered the closure of the Myawaddy border crossing last
Thursday in response to a dispute over an islet in the Moei River the junta
claimed had been lost to Thailand when the river changed course due to
flooding. 

The closure has gravely affected Mae Sot's economy and an estimated
Bt1-million worth of goods destined for Burma remain stranded on the Thai
side each day. 

Last week, Maj Rijirawat Vongsriyanarong, head of the Thai-Burmese
coordinating committee, quoted Lt Col Sai Phone, commander of Burma's 275th
Infantry Division, as saying that the closure was due to a decision by
Rangoon to reorganise cross-border rules and regulations. 

But border officials have said they believe the closure resulted from
Thailand's protest at Burma's attempt to dredge the river in order to return
it to its original position. 

Thailand asked the Burmese to stop the dredging, saying it could affect the
river's causeway and the frontier. The Burmese argued that the original
water channel had been altered over the past several years and that they had
a right to regain the islet, which Thailand had claimed as part of a land
reclamation. 

Speaking at a meeting of the Mae Sot Chamber of Commerce, Pitak assured
local businessmen that the border situation would improve considerably once
Burma joined Asean. 

The traders urged the ministry to study the possibility of making the area a
"special economic zone" aimed at attracting labour-intensive industry. They
also asked the government to relax travel restrictions for Burmese workers
and allow them to work in the proposed zone. 

Pitak said border problems were likely to continue because the two countries
share a long common border. "But this doesn't mean that security issues have
to disrupt commercial activities," he said. 

Kobsak Chutikul, director general of the ministry's Economic Affairs
Department, played down the territorial dispute, saying border problems did
not reflect the entire relationship between the two countries. 

He dismissed recent media reports which called the closure a violation of
the Agreement on Border Crossing signed last month during Prime Minister
Chavalit Yongchaiyudh's visit to Burma, saying that Article 13 allowed
either country to suspend entries along the border for security reasons. 

"Though it was within their [Burma's] rights [to close the border],
nevertheless, there is an unwritten international code of conduct that
members of the world community should abide by," he said. 

The traders asked Burmese Ambassador to Thailand U Hla Muang, who was
accompanying Pitak, to consider the economic well-being of the area before
closing border crossings. 

The envoy responded by saying that "man-made border problems take longer to
resolve than problems created by natural causes", implying that it could
take some time before the territorial dispute is settled and that Burma
feels the right to reclaim land lost due to flooding overrides Thailand's
appeal to maintain the status quo.(TN)

******************************************************* 

BKK POST: AUGUST DATE SET BRIDGE'S OFFICIAL OPENING
June 19, 1997 [abridged]
Supamart Kasem, Mae Sot, Tak

3 checkpoints to be upgraded

The Thai-Burmese Friendship Bridge, linking Mae Sot district and Myawaddy of
Burma, is to be officially opened in August to facilitate transport of goods
and people between the two countries, it was confirmed yesterday.

Thai and Burmese authorities have also agreed to upgrade three temporary
checkpoints Mae Sot-Myawaddy, Mae Sai-Tachilek and Ranong-Kawthaung - to be
permanent checkpoints.

The confirmation of the official opening of the bridge was made by Deputy
Foreign Minister Pitak Intrawithayanunt and Burmese Ambassador to Thailand
Hla Maung during an inspection trip to Mae Sot yesterday. (BP)

***************************************************

FEER: FLY IN THE OINTMENT 
June 12, 1997

Asean's decision to make Burma, Cambodia and Laos members from July 
will present multiple dilemmas for the grouping itself and for its relations 
with the West. 

By Murray Hiebert in Kuala Lumpur, Nigel Holloway in Washington and 
Michael Vatikiotis in Bangkok 

For Asean, the real work is only just beginning. The grouping's decision to
embrace Burma despite protests over human-rights abuses along with 
Cambodia and Laos was only the first step. Now it faces the more 
formidable task of integrating the new members into a 10-nation bloc and 
managing its relations with the rest of the world. 

Asean won't have to wait long for its first challenge. American Secretary of
State Madeleine Albright and several European foreign ministers all of 
whom opposed Burma's admission will hold talks with their Asean 
counterparts in Kuala Lumpur in late July, a day or two after the new 
members are admitted. The presence of the Burmese could put the Western 
foreign ministers in a ticklish position. 

Malaysian Foreign Minister Abdullah Ahmad Badawi, who announced the 
May 31 decision to admit the new members, tried to avoid giving the 
impression that Asean was thumbing its nose at the West. It was not a 
signal. We signal to nobody, he told journalists at the end of an Asean 
foreign ministers' meeting in Kuala Lumpur. 

But in an apparent attempt to limit the scope for dispute, Badawi said 
Asean would not assign the new members dialogue partners with 
nonmember nations. The United States, the European Union, Japan, 
Australia, New Zealand, Canada and South Korea hold a series of 
dialogues with Asean members after the bloc's annual meeting. The 
decision not to give the new members dialogue partners will tend to 
marginalize them and essentially make them second-string members of 
Asean, at least for several years. 

Another hurdle is the Asia Europe summit in London next year. The 
British government bars visas to Rangoon's military leaders, which means 
a dispute may arise over whether Burma will be allowed to attend the 
summit. A senior European diplomat in Bangkok says the European 
Parliament is also unlikely to amend the EU's protocol with Asean to 
recognize Burma's membership in the grouping. This could complicate 
future dealings between the two blocs. 

Other countries such as Canada and Japan provide aid to Asean but refuse 
or restrict bilateral assistance to Burma. Asean, however, doesn't allow 
donors to exclude any of its members from aid programmes for the 
grouping. But no Canadian politician will risk signing an agreement with 
Slorc, predicts Abdul Razak Baginda, head of the Malaysian Strategic 
Research Centre. (SLORC stands for the State Law and Order Restoration 
Council, Burma's ruling military junta.) Integration of the new members 
into Asean could prove equally daunting. Admission is easy, says Razak. 
But when the hullabaloo ends will the new members be able to send 
personnel to 280 meetings a year? Observers believe this will be easier for 
Burma, which has more English speaking diplomats, than poorer, smaller 
Laos and Cambodia. 

Economic cooperation could pose additional problems. Badawi said the 
three new members would be given 10 years from January 1998 to comply 
with the tariff-reduction schedule mandated by the Asean Free Trade Area, 
or Afta. The other members have until 2003 to lower tariffs on 98% of 
their traded goods to below 5%. Vietnam, which joined Asean in mid-
1995, has been given until 2006. 

Asean's membership explosion could also result in internal political
tensions. It will be more difficult to maintain the cohesion of 10 disparate
countries, says Lee Poh Ping, an international-affairs specialist at the
University of Malaya. He points out that Asean's six older members are 
more developed and have long practised market economics, whereas 
Burma, Cambodia and Laos have long been isolated from international 
markets. There's bound to be a clash of cultures, Lee says. 

Burma's growing economic and military ties with China could be one of 
the first tests for an enlarged Asean. China is very close to Myanmar, says
another analyst in Kuala Lumpur, using the military leadership's name for
Burma. If the Spratlys become a problem, he says, referring to islands in
the South China Sea claimed by China and several Asean members, what 
will Myanmar's position be? 

Burma did nothing to help Asean rebut American opposition in the run up 
to the foreign ministers' meeting. In recent months, Rangoon has restricted 
the activities of opposition leader Aung San Suu Kyi and detained more 
than 300 members of her National League for Democracy, most of whom 
were only released on June 3. In a videotape smuggled out of Burma just 
before the Asean meeting, Suu Kyi said that Asean membership would 
make Rangoon's military leaders even more obdurate and oppressive. 

Asean officials insist that their decision to embrace Burma had nothing to
do with giving Rangoon a good-housekeeping seal of approval. Instead, 
they say, it is a continuation of their policy of constructive engagement, 
which emphasizes economic cooperation and downplays political issues. 

And what if the human-rights situation in Burma worsens after its Asean
membership? Now that Myanmar will be a member of Asean, Asean's 
policy of constructive engagement, which we will continue to pursue, will 
be more effective, I hope, Malaysia's Badawi told journalists. 

The three countries will be formally admitted at an Asean foreign 
ministers' meeting hosted by Malaysia in July. Observers say this year, the 
30th anniversary of Asean's founding, provided a convenient peg for 
expanding membership. It's very symbolic, says Razak. If you have no 
fixed criteria for admitting new members, you have to fall back on certain 
events. 

Washington had been working behind the scenes for months to persuade 
Asean governments to proceed slowly on Burma's admission. On April 25, 
State Department spokesman Nicholas Burns told reporters that the U.S. 
was trying to use our influence to make the point that Burma should be 
given a stiff message that it is not welcome. His words provoked a strong 
reaction from Asean, prompting Washington to soften the wording of its 
opposition by acknowledging that membership was a matter for Asean to 
decide. 

Analysts and diplomats differ on the impact of Washington's lobbying 
efforts on Asean's decision to admit Burma. A senior Asean official says 
American opposition was only a minor consideration. He says delaying the 
decision until December, as some had suggested, was ruled out because it 
wouldn't have made the issue any less sensitive. 

Others believe Washington's tactics speeded up Rangoon's admission. The
attempt by the U.S. to pressure Asean got the opposite result, says Razak of
the Malaysian Strategic Research Centre. Asean became more resolved to 
unite Southeast Asia. 

In the U.S., analysts downplay the extent of the damage. Some argue that 
the American cause was lost because Washington hadn't tried hard enough 
to coordinate its Burma policy with Asean. The Clinton administration 
could have done better working with Asean by saying: We will delay 
sanctions if you delay membership,' says Douglas Paal of the Asia-Pacific 
Policy Centre, an independent think tank. 

A Democratic staffer in the House says that some American congressmen 
may ask Secretary of State Albright to boycott the Asean meeting in Kuala 
Lumpur in July. But even though she described Slorc as an ugly acronym 
for an ugly government in 1995, most analysts believe she will attend 
because of the importance Washington places on its ties with Asean. 

Still, no one expects the criticism of Rangoon to end after it joins Asean.
Asean countries made a big mistake, but this is by no means the end of the
battle over Burma or the end of our relations with Asean, says a 
Republican congressional aide in Washington. 

Since the decision on the new members, American officials have stressed 
that Washington and Asean have the same objectives with regard to 
Burma, but differ on how to achieve them. According to John Dinger, a 
State Department spokesman, We now look to Asean to use its good offices 
to urge the Slorc to seriously address our mutual concerns and urge the 
Slorc to enter into a productive dialogue with democratic forces in Burma. 

Robert Manning of the Progressive Policy Institute, a Washington think 
tank, believes that U.S. Asean relations will be tense for a while, but 
foresees no long-term damage. When push comes to shove and they dial 
911, who're they gonna call? he asks. America is Asean's only option, he 
says. 

Singapore's ambassador to Washington, Chan Heng Chee, puts it 
differently: The U.S. sees Asean as an important strategic friend. Now the 
Asean-10 is Southeast Asia and it's inconceivable that the U.S. would not 
want a relationship with Southeast Asia. We share a congruent interest in
maintaining peace and stability.  (FEER)

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BKK POST: REFORMS IN READINESS FOR ASEAN DEBUT
June 19, 1997
Rangoon,  AFP

Rangoon planning to liberalise economy 	

The military government plans political, economic and social reforms as it
emerges on the world stage, with Asean membership expected next month, a
minister was quoted as saying yesterday.

Brigadier General David Abel, the national planning and economic development
minister, said Burma was working towards economic liberalisation and
privatisation, the state-run New Light of Myanmar reported.

General Abel was quoted as saying that Burma's authorities were working to
bring about "necessary reforms socially, politically and economically.
The first step would occur when the country was admitted to the Association
of Southeast Asian Nations (Asean)? he said. This ought to propel us through
to the next stage of development," General Abel said at the opening of a
four-day construction materials exhibition on Tuesday attended by 100
companies from 15 countries.

The minister said he envisioned liberalisation in the formation of
companies, joint ventures and publicly listed companies, and the
privatisation of state enterprises.

Privatisation has so far taken the form of foreign joint ventures with
companies owned either directly by the military or by active or retired
personnel, often operating under monopolies or oligopolies.

The minister said per capita gross domestic product had grown 800 percent in
terms of kyats, the local currency, since the junta took power from the
previous military government and begin to open up the economy in 1988.

General Abel dismissed widespread concerns about Burma's human rights abuses
as "unfounded accusations" aimed at discrediting his government and urged
foreign entrepreneurs to come see conditions for themselves. (BP)

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