european normative power in flegt-vpa

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International Relations of Europe The FLEGT-VPA as the Form of European Normative Power International Relations Undergraduate Gadjah Mada University Abstract: The European Union establishment of Forest Law Enforcement, Government and Trade (FLEGT) is followed by the establishment of Voluntary Partnership Agreement (VPA) that is provided by the EU for countries wishing to bargain more on their previous cooperation. This regulation is EU’s response to a call for action at the 2002 World Summit on Sustainable Development in Johannesburg, South Africa. Indonesia, recently, became one of the first six countries to ratify the FLEGT-VPA along with Ghana, Republic of Congo, Liberia, Central African Republic, and Cameroon. The agreement has entered the phase of implementation of ecolabel. A few scholars saw that this cooperation is an endeavor to widen both parties’ market in the arena of international trade. This essay tries to explain why the EU ratifies FLEGT VPA along with Indonesia. Keywords: FLEGT-VPA, Germany, Indonesia, forest products’ trade, normative power Gede Wahyu Prasetya 10/299336/SP/24105 1

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This paper explains how FLEGT-VPA worked towards its parties, particularly Germany and Indonesia, in relating to forest products international trades among them.

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International Relations of Europe

The FLEGT-VPA as the Formof European Normative PowerInternational Relations Undergraduate

Gadjah Mada University

Abstract:

The European Union establishment of Forest Law Enforcement, Government and Trade (FLEGT) is followed by the establishment of Voluntary Partnership Agreement (VPA) that is provided by the EU for countries wishing to bargain more on their previous cooperation. This regulation is EUs response to a call for action at the 2002 World Summit on Sustainable Development in Johannesburg, South Africa. Indonesia, recently, became one of the first six countries to ratify the FLEGT-VPA along with Ghana, Republic of Congo, Liberia, Central African Republic, and Cameroon. The agreement has entered the phase of implementation of ecolabel. A few scholars saw that this cooperation is an endeavor to widen both parties market in the arena of international trade. This essay tries to explain why the EU ratifies FLEGT VPA along with Indonesia.

Keywords: FLEGT-VPA, Germany, Indonesia, forest products trade, normative power

EU Normative Power on EnvironmentThe idea of the EU as a normative power is to describe the EU as a distinct international actor that is guided by, and seeks to advance in the wider world, the values and ideas on which it is founded, including democracy, the rule of law, human rights and fundamental freedoms. Normative power is the power based on values that influences and promotes the EU values to be the role model value in the world wide. The EU is an actor who deliberates the use of normative power as a political power base in international politics. Regarding the environmental issue, EU made some environmental standards to deal with environmental degradation issue that is currently the focus of many countries nowadays. EU is the one actor who actively promotes environmental sustainability program as an important issue and offer some policies to solve it and then that policies offering as the world standard. Normative power is very efficient for the EU to spark a variety of solutions and rules to cope with environmental degradation worldwide. Indirectly EU set standards and limits on environmental policy to be followed by many countries. For the example, FLEGT VPA program is the one in which the EU is clearly visible that show how EU implementing its normative power on environment degradation issue. FLEGT VPA has the aim to deploy the EU standards on forest products to be labeled as environmentally friendly product. Normative power owned by the EU does not force any state to follow these values but it more focused on structural enforcement and voluntary agreement by the EU. To give more elaboration to the essay, hereby we took some time to give our understandings on the conceptual framework.Sustainable Development

Sustainable development is one kind of development that meets the needs of the present without compromising the ability of future generations to meet their own needs. In essence, sustainable development is a process of change in which the exploitation of resources, the direction of investments, the orientation of technological development and institutional change are all in harmony and enhance both current and future potential to meet human needs and aspirations. The Brundtland Report goes on to say that sustainable development also contains within it two key concepts (1) The concept of 'needs', in particular the essential needs of the world's poor, to which overriding priority should be given (2) the idea of limitations imposed by the state of technology and social organization on the environment's ability to meet present and future needs. This is taken for being the closest highlights of European normative power formulated by Ian Manners and the Maastricht Treaty that enshrouded the concept of environmental normative power.Forest Product

The forest product is material resources from forest that has use values and sale values. The forest product is classified since 1982 by Food and Agriculture Organization in Rome. Based on FAO forest product conduct, The primary groupings forest product classified by following (1) Wood in the rough (2) Residues of wood processing; recoverable wood products (3) Wood chips and particles (4) Wood simply worked or processed (5) Wood sawn lengthwise; veneer sheets (6) Wood-based panels (including similar panels from other ligna-cellulosic materials); (7) Pulp of wood, other fibrous ligna-cellulosic materials and pulp of waste paper (8) Paper and paperboard (9) waste/paper (10) Raw, semi-processed and worked cork.

Ecolabelling

The process of voluntary, market-based instrumentation based on environmental impacts of products throughout their life-cycle that promote natural resource efficiency of industrial processes while enabling consumers to make informed purchasing choice. Enhance their effectiveness as market instrument. Eco-labels are intended to educate and increase consumer awareness of the environmental impacts of a product and bring about environmental protection by encouraging consumers to buy products with a lower environmental impact. Ecolabelling encourages decreased emissions and reduced environmental impact, the extra cost of which is passed on to the consumer in a price premium. as a result, widely acknowledged benefits of ecolabelling for producers being certified include potential for premium market prices, access to new markets, safeguarding of existing market channels, preferred supplier status, potential to attract ethical investment in the sector as well as (co)funding of local community social and economic infrastructure.

FLEGT-VPA in a Nutshell

FLEGT-VPA stands for Forest Law Enforcement, Governance and Trade voluntary partnership agreement. The EU's FLEGT Action Plan was established in 2003. It aims to reduce illegal logging by strengthening sustainable and legal forest management, improving governance and promoting trade in legally produced timber. FLEGT VPA is agreement between European Union and country that agree to sign voluntary. FLEGT Voluntary Partnership Agreements (VPA) are bilateral agreements between the European Union (EU) and timber exporting countries, which aim to improve forest sector governance and which ensure that the timber and timber products imported into the EU are produced in compliance with the laws and regulations of the partner country. Under VPAs partner countries develop control systems to verify the legality of their timber exports to the EU. The EU provides support to establish or improve these control systems. Once ratified and implemented the VPA is legally binding on both parties, committing them to trading only in verified legal timber products. The European Unions response to tackle illegal logging is set out in the FLEGT Action Plan in 2003. The Action Plan not only comprises the VPAs with partner countries, but also includes the recently adopted EU Timber Regulation which aims to halt the trade in illegally harvested timber on the EU market. This regulation is being operational in March 2013.

This regulation is the Unions response to a call for action at the 2002 World Summit on Sustainable Development in Johannesburg, South Africa. The main goals of FLEGT-VPA are to reduce illegal logging by strengthening sustainable and legal forest management, improving governance and promoting trade in legally produced timber. The Action Plan of FLEGT sets to measure three aspects: prevent the import of illegal timber into the EU, improve the supply of legal timber, and increase demand for timber from responsibly managed forest. In the EU, European Commission is the institution mandated by the Council of the EU for negotiations process, legislation developments, and take initiatives to meet the objectives sets out in the FLEGT-VPA.

The central activity of FLEGT Action Plan decided in bilateral form of agreements between EU and timber-exporting countries. The Voluntary Partnership Agreements render voluntary scheme as main aspect to ensure the legality and verification of timber or timber products which exported to the EU. The FLEGT Action Plan does not only mention the bilateral partnership agreements. It also points out the need for legislation to control imports of illegally harvested timber into the EU. Therefore, FLEGT-VPA are legally binding trade agreements which sets out the commitments and courses of action that the EU and timber-exporting countries will take to tackle illegal logging, and trading only the verified legal timber products. Inside FLEGT-VPA, there is Legality Assurance System (LAS) which consists of: legality grid, chain of custody, verification of legal compliance, and licensing. It has purpose to ensure that timber and timber products exported to EU come from legal sources and also help timber-exporting countries stop illegal logging by improving regulation and governance of forest sector.

The implementations of FLEGT-VPA are going through some process. It started from informal talks when a timber-exporting country shows interest in starting a VPA. During this time, both parties explore each other interest. Next process is the VPA negotiations. During the negotiations, both parties aim to reach agreement in determining the key elements of the VPA, including determining measurements such as the legality assurance system (LAS) and any other measures which will have to be determined for the implementation. After the negotiation process finished, both parties will reach conclusion in which mutual interest and determinants of measurements has been agreed upon both parties. This process initialing of the VPA signifies the end of negotiation and often includes a ceremony between the EU and the timber exporter. Following this process is the ratification process by a partner country.

Picture 1.1. A map showing VPA member countries.

From picture above, dark green shows VPA partner countries that have implement FLEGT-VPA. Those countries are Cameroon, Central African Republic, Ghana, Indonesia, Liberia, and Republic of the Congo. Green color shows VPA partner countries that still in negotiation process of FLEGT-VPA. Those are Cte d'Ivoire, Democratic Republic of the Congo, Gabon, Guyana, Honduras, Laos, Malaysia, Thailand, and Vietnam. Light green shows VPA partner countries that still in the initiation process. Those are Bolivia, Colombia, Ecuador, Guatemala, Peru, Philippines, Cambodia, Myanmar/Burma, Papua New Guinea, Solomon Islands, and Sierra Leone.To have a better and simple understanding on European environmental normative power, we can look into FLEGT-VPA and see into the specific issue. To see on the behalf of EU, we can look onto Germany, for they are having the most interdependent economy among all European Union members. And, to see on the behalf of the implementation of normative power, we can look onto Indonesia, for they are the only major timber trader that joined the FLEGT-VPA. Then, for the research question, why the EU ratifies FLEGT VPA along with Indonesia? More reasons why the two countries are being chosen are as follows.Indonesia and Germany

One reason we decided to choose Indonesia is because this country happens to be one of the most abundant export source in forest products for European Union, especially for the country which geopolitically outside of European region. In addition, forestry is also becoming one of those major contributors to Indonesias economic growth. Indonesia covers about 181.2 million ha, spread over 17,000 islands which is about the same area as such EU countries like France, Spain, Germany, and UK together. There are about 70% (133.6 million ha) of the land is forested and there are about 37% of the forestland has been set aside for protection, preservation, or conservation. In the last 5 years, the value of annual Indonesian export from timber and timber products grew from US$ 8.3 billion to US$ 9.7 billion. The trend is still showing positive signs (1.85% per annum), but in terms of the economy as a whole, the relative share of forestry has dropped from 8.2% to 6.2%.

Indonesia exports varying forest products, ranging from plywood, pulp, and varied of paper products to furniture and handicrafts. The value of this trade grew from approximately US$ 7.3 billion in 2005 to US$ 8.3 billion in 2006, US$ 8.5 billion (2007), and US$ 9.1 billion (2008). In 2009, Indonesia experienced a decline of value of exports to US$ 7.5 billion after being hit by financial crisis, but in 2010, the upward trend continued with a value of US$ 9.7 billion. One of the main export markets for Indonesian timber products are the EU countries, particular major EU countries like Germany.

In the international sphere, Indonesia supplies a third of all producer-country exports of tropical timber (second only to Malaysia). Indonesia is also the world's leading exporter of pulp, paper, and furniture based on tropical timber (excluding rubber wood). Indonesia is also becoming the leading country among those FLEGT-VPA countries in timber products exports to the EU, with the value 804,000.000 and 1,588.000 m in 2011.

We considered Germany as our other object of analysis because this country is one of major influencing members in EU structures. Aside from Germanys historical tale as one of the EU founders, Germanys domination in the EU can be looked from its population which is the largest in EU with 80,716,000 as of 2014 census and also received a total GDP worth US$ 3,875.755 as IMF reported in 2014, which is also the largest GDP in the EU. In addition, Germany also holds the most Members of European Parliament within the EU, with total 99 members. The current President of European Parliament since 17 January 2012, Martin Schulz is also a German.

Germany also put a widespread influence on the EU economy, especially on its Eurozone. Germany has enjoyed the strongest-performing economy of the Eurozone over the recent two years. It leads to Germany current guarantee which accounted to 27% of the European Financial Stability Facility (EFSF), amounting to total 211 billion (US$ 276 billion).

We also put some additional facts along with those evidences written above, in which directly interconnected to Indonesia, especially in scope of forestry. As written above, Germany is one of major importers of Indonesian forest products, with the value of US$ 709,000.000 since 2002-2012 as FAO reported. With those sorts of attributes and facts, it is becoming clear that Germany relies its forest products import on Indonesia, so we concluded this needs an elaborate analysis which will be casted light upon this paper.

The Chronology of FLEGT-VPA Proliferation 2003-2012

In the year of 2003, European Union started the establishment of Action Plan called FLEGT (Forest Law, Governance, and Trade Action Plan) as solution to reduce illegal logging. The process of FLEGT-VPA establishment started from May 2003 when European Commission released Action Plan to deter illegal logging issue which called the FLEGT Action Plan. In October 2003, the EU Agricultural Council adopted a set of Council Conclusions which endorse the FLEGT Action Plan. In November 2003 the EU Parliament Industry and Trade Committee (ITRE) delivered its own opinion and requested the Commission to provide legislation draft.

In 2004, the European Commission presented a proposal for an EU Regulation that would establish a voluntary licensing scheme on timber. It is this voluntary licensing scheme that will be implemented as voluntary partnership agreements with timber-exporter countries. In 2005, the European Commission adopted a regulation (EC 2173/2005) permitting the establishment of Forest Law Enforcement Governance and Trade (FLEGT) licensing system for timber imports into the European Community. The licensing system will be implemented through the Voluntary Partnership Agreements. In 2006, the European Commission published a consultation document exploring the different options with regards to legislation to outlaw illegal timber imports. The consultation closed in March 2007, with final results of the consultation finally published in 2008.

The EU Timber Regulation (Regulation (EU) No 995/2010 of European Parliament and of the Council of 20 October 2010 laying down the obligations of operators who place timber and timber products on the market) published in 2010, will come into force on 3rd March 2013. It will prohibit theplacing ofillegal timberand wood products on the EU market and requires operators to practice due diligence to minimize risk. It will alsofacilitate the tracking ofwood products within the EU back to their first placing on the EU market.

In 2012, Voluntary Partnership Agreements have been signed by 6 countries, Ghana, Republic of Congo (RoC), Cameroon, Central African Republic (CAR), Indonesia and Liberia. Two, Ghana and Cameroon, have been ratified. The other 4 VPAs are currently being negotiated withthe Democratic Republic of Congo (DRC), Gabon, Malaysia and Vietnam. Other countries which have expressed an interestin the FLEGT VPA process are Cambodia, Colombia, Ecuador, Equatorial Guinea, Guyana, Ivory Coast, laos, Madagascar, Papua New Guinea, Sierra Leone and the Solomon Islands.

Picture 1.2 Map of the partying countries of FLEGT-VPAForest Products Trade Statistics between Germany and Indonesia

Indonesia is a major player in timber forest product (hereinafter referred to as timber) trade, being 10th in exporting and 21st in importing. While Germany, another major player, reached 2nd in exporting and 3rd in importing. The timber trade statistics between Indonesia and Germany, in the value of $ 1,000,000, are as follows:

Direction of Exports

200220032004200520062007

From Indonesia to Germany629930722948

From Germany to Indonesia004806152

20082009201020112012Total

6662748285709

5767695745456

Table 2.1 The data of forest products trade between Indonesia and GermanyOn the Indonesian trade balances, we can see that the Indonesian trade balance is on great fluctuation during years 2002-2007 that it slowly gain back pace in 2007. We can see a decrease of value in 2009, but it gained back its pace quickly in 2010, that until 2012 it experienced a steady rise. We can see that the Indonesian trade balance is on its peak in 2003, when the trade value reached the $ 99,000,000 point. On the other hand, the Indonesian trade balance is on its abyssal point in 2006, when its value reached the $ 29,000,000 point.

On the Germany trade balance, we can see that the trade balance is gaining pace if compared to its balance on 2002, 2003, or 2005. The balance experienced a rise in 2004 but quickly experiencing a downfall in the 2005. A higher value is reached in 2006, if compared to the 2004 results. Onto its peak of trade, Germany had to experience another decline before rising towards the 2010 balance of trade. After 2010, Germany experienced a steady decline from 2010 to 2012.

From the table above, we can see that the total balance of the timber trade is on the favor of Indonesia, that Germany is having a bigger demand of timber from Indonesia rather than Indonesia having a bigger demand of timber from Germany. And, from the graph below, we can see the whole picture of their trade balances fluctuations.

Graph 3.1. The fluctuation of forest products trade between Indonesia and Germany

Dynamics of Indonesia EU FLEGT-VPA negotiations

Indonesia government entered into first FLEGT-VPA negotiations with the EU on 29-30 March 2007 in Jakarta. The aims are to tackle the problem of illegal logging and to improve market opportunities for Indonesian timber and timber products in response to new market regulations in the US, EU, and other consumer markets. The main purpose of VPA process itself is to bring the set of laws and regulations that will apply to the Indonesian forest scope (specifically timber and timber products that acquired, harvested, transported, and exported) and to develop the control systems and verification procedures which ensure all timber and timber products exported to the EU are legal. In the aim of reaching those purposes, Indonesia and the EU are trying to support governance, law enforcement, and transparency in managing the forest sector, promote the sustainable management of Indonesian forest sector, and contribute to stopping the increasingly jeopardize issue, climate change. While FLEGT is EUs policy to the deter problems of global illegal logging and illegal trade of forest products. The policy has also been adopted in the FLEGT Action Plan (2003). It contained statements that include the EUs steps to develop VPA with timber producing countries, including the RI, to prevent illegal timber products from entering the European market.

Indonesia delegation was chaired by Director General of Production Forest Management, while EU negotiating team was led by Head of the Delegation of the European Commission Ambassador in Jakarta, Jean Bretech. With the view of Indonesia government to combat national illegal logging by several steps, particularly through the Presidential Instruction No. 4 of 2005, the implementation of VPA will help to encourage it. During the negotiation, all delegations exchanged views on Indonesian forestry and clarified their expectations for the VPA process. The delegations established two working groups to identify and formulate recommendations toward necessary steps of the VPA. The negotiation was also addressed several issues concerned, such as timber laundering and legal matters.

On May 2011, Indonesia finally agreed the negotiation of FLEGT-VPA with the EU after a number of sessions, including Technical Working Group and Joint Expert Mechanism meetings, and thus becoming the first Asia country to concluded a FLEGT-VPA negotiation. This VPA signing will be a step forward in tackling the illegal timber market in Indonesia which estimated to be worth around US$ 1 billion. This event has played a vicious role in destructing Indonesian forest, leading to the conversion into spreading agricultural plantations and a huge loss of government revenue. VPA is hugely significant in relation to the extraordinary importance of the Indonesian forests and biodiversity in the region and as such an important step in support of legal timber trade in the region.While a useful tool, it is only one in the available at present in the fight to implement responsible forest management.

The FLEGT-VPA has finally come to effect on March 13, 2014 through a Presidential Regulation. On top of enforcement operations to tackle illegal logging, Indonesia began to work on its timber legality definition in 2002, aiming to put a system in place capable of verifying the legal compliance of timber operators in Indonesia. The Indonesian Timber Legality Verification System, or Sistem Verifikasi Legalitas Kayu (SVLK) in Indonesian, was developed via a multi-stakeholder platform and adopted in 2009 through a Ministerial Regulation followed by an implementing regulation in 2010.This regulation has undergone several revisions, with the latest issued in 2013 to strengthen its implementation.

The ratification of the VPA will serve to bring Indonesia and the EU closer to issuing FLEGT-licensed timber, which will happen when both parties determine that Indonesias SVLK meets the requirements set out in the VPA. A joint action plan was agreed in November 2013, based on the results of the independent assessment of the SVLK, and is currently being implemented to advance the VPA implementation.

Still,despite many positive steps, the SVLK remains a work in progress and has some serious weaknesses: a lack of transparency and difficult access to public information needed by independent monitors of the system; the unsatisfactory handling of complaints by relevant authorities; the rights of other forest users; conflicts arising from questionable permit issuance; and unverified timber entering the supply chain. In the other side, ratified this agreement also gave Indonesia more investment from European Union. The agreement strengthen by European Union agenda to push business investment in Indonesia and this is a great offering to boost Indonesian domestic economic forecast. That agenda push Indonesia to get short negotiations and signed the agreement in four years negotiation. The EU is preparing a capacity building program to strengthen Indonesias trade climate and investment. The EU is planning to add around 30 million (US$44.5 million) of its investment, from 66 million in 2009, to support Indonesian businesses. More than that, European Union also prepared Trade Support Program (TSP) II to support the Indonesian government in the field of export quality infrastructure and the Trade Cooperation Facility (TCF), a flexible mechanism to support attracting investments to Indonesia. The more benefit Indonesia get from the agreement push Indonesian government to apply that voluntary agreement in short negotiation period.The Normative Power Mechanism in FLEGT-VPAThe normative power mechanism in FLEGT-VPA with Indonesia is that EU and Indonesia appear to be divided among two interests, which is both fulfilled by the ratification of FLEGT-VPA. As Ian Manners had mentioned, EU have the ideational aspiration to inspire the whole world to follow their ways of life, as we can conceive as the ownership of normative power. One of the norms of EU is the sustainable development, which then being separated into agriculture, energy, transportation, and environment. FLEGT-VPA clearly tried to promote the environment issue among the big umbrella of sustainable development through the cooperation of standardization in timber trade. The ecolabelling process and the ecolabel itself would show the consumers and producers of timber that the standardization is being implemented. Furthermore, the ratifications of FLEGT-VPA implied that the environmental norms are being promoted toward the parties to the agreement, in legal, formal, or even participative terms.German itself is taken out from analysis, for the FLEGT-VPA already is an intergovernmental cooperation between EU members, so that any German acts or attitude towards the outside world can be conceived as done in EUs behalf. For the foreign policy of Germany would deal with a unique attitude of the German government, yet there is no unique attitude when compared to other EU member states, it is safe to see that Germanys foreign policy as EUs foreign policy. By dealing directly with the European Union and had ratifying the Maastricht Treaty, when compared with Indonesia, here we can see that the German attitude is being uniformed towards the agreement made in EU bodies, such as FLEGT-VPA. In the analysis between EU and Germany, EU represents Germany, not the otherwise.On the other side, Indonesia represents the forest product trading countries that belongs outside the geopolitical area of Europe. The definition is taken into account because Indonesia became one of the parties to FLEGT-VPA, and yet, is one of major international forest products trader per 2012. This proves that normative power existed, that it can influence the acts of other actors, such as Indonesia, to do as the EU pleased. As of any kinds of power, the term normative power implies that it requires some sort of influence to make it out. The influence may come from everywhere, such as military, political, societal, and economic. The market condition of Europe, at the time, can be seen as prospective as the recent trend show us that there wont be any decline in the Germanys demand of forest products. It shows also the economic influence of Europe is pretty big. The trend, also, shown us the prospects of demand rise for forest products. The Indonesian capacity to trade timber towards Europe is taken for it calls for economic gains for Indonesia. In this here, we cannot take into account for other countries, for they cant really represent the interests of other countries on each other.

This here EU influences outside actors into following the normative power of Europe. The EU is doing it by ratifying the FLEGT-VPA along with another party state outside of the EU. EU has its interest for influencing and spreading and promoting the norms it held as an international organization. It is not safe to conceive this spread and promotion of normative power as the foreign policy of any one EU members because we had ruled Germany out from our figurations of cooperation between legitimate international actors Germany didnt act for itself but rather for the Union. The Union itself has its own interest to tackle illegal logging that could be seen still happening on other sides of the world. FLEGT-VPA has started the tackle of illegal logging for it had been signed by Indonesia, one of the places where illegal logging is still happening.Indonesia itself had the capability of influencing the Union by making it possible to ratify the FLEGT-VPA along with the EU. The negotiation processes shown above did not discuss much of Indonesian endeavor towards the ratification of FLEGT-VPA, except for showing the willingness to be influenced by the normative power, by following the requirements the EU negotiating team need. One of the negotiations requirements given by the EU negotiating team is the implementation of Indonesian forest product ecolabelling. The ecolabelling process is then transformed into governmental ecolabel process, namely the SVLK. The implementation of SVLK in the recent months have made it possible for the FLEGT-VPA to come into force on both the EU and Indonesia.As for the table and the fluctuations of forest product trade, it clearly shows us that there is correlation between the forcing of FLEGT-VPA and the trade value between the two countries. The hard fluctuations of Indonesian exports towards 2006 show us that the trade values are becoming unstable for the Indonesian merchants are not ready with the FLEGT system that, at the time, come into force in Europe. At 2007, the Indonesian merchant had been more ready with the European standards, implied by the opening of dialogues between the EU delegates and Indonesian delegates on forestry issues. The rather steady fluctuation afterwards might be caused by the Indonesian governments good will towards the FLEGT-VPA cooperation with the EU. The German trade balance shall not be discussed as we have ruled out Germanys rule with the Unions rule in the beginning of analysis.

Picture 1.3

Picture 1.3 illustrates the interaction system between Indonesia and Germany (as the representative of EU) in the international trade system before FLEGT-VPA. The white lines in the reciprocating arrows between Germany and Indonesia tries to illustrate how the non-tariff barriers, such as environmental standards and ecolabel, might hinder international forest product trade between the two parties. For further information, the red line illustrates the parties who are inside the international market and outside the EU, and the white area illustrates the EU and we can see that the EU is inside the international market and is containing Germany in terms of international forest product trade. The big green dot represents Indonesia and we can see from Picture 1.3 Indonesia have an international forest product trade relation with Germany. The little green dots represent other countries and their trade relations with any actors are not illustrated for the simplicity of the figure.

Picture 1.4

Picture 1.4 tries to depict the same thing as picture 1.3, but there are no white lines in the trade relations arrow between Indonesia and Germany. This picture is also tries to depict the future of international forest product trade between the two parties without any trade barriers.

Conclusion: Collaboration in Need?

The conclusion shall answer the research question first:

Why the EU ratifies FLEGT VPA along with Indonesia?

The ratification is being proliferated for both parties have interests each that could be fulfilled through the ratification of FLEGT-VPA.EU does the ratification for it have the moral need to promote sustainable development in environmental terms, and Indonesia itself needs to have deal the FLEGT-VPA in order to assure the open market of the member states of the EU in international forest product trade. We can see this form of international relations in the sense of carrot-stick model of interaction, in which Indonesia will need to comply accordingly to European ideational aspirations in order to achieve better trade relations in the perception that Europe is a good market for forest products. Also in pursuing economic achievement, Indonesia will have to adjust its forest products according to European standards, as written in FLEGT-VPA conditions. While we can see that Europe is effectively exerting its normative power, it is still safe to say that both parties are given each their own advantages by ratifying the FLEGT-VPA. To answer the research question, EU ratified FLEGT-VPA along with Indonesia in order to exert its normative power.

When studying Europe, we cannot avoid from using the term normative power as it have been used many times to successfully explain the international relations of Europe. Normative power itself had its own dimensions, such as sustainable development, and its specific concept on environment issues, that it seemed different from other forms of powers such as hard power or soft power. The understanding of ecolabel and forest product concept could help us into the understanding the exertion of this normative power. Furthermore, the recent news on FLEGT-VPA cooperation between EU and Indonesia, with the understanding of above concepts, can help us into understand more about the normative power of Europe. We have seen that the trade relations between Indonesia and Germany, also the international relations between Indonesia and the EU are representative to the explanation of the European normative power. Now, in some dimension or less, we can see how the exertion of normative power can go into force.Bibliography

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Deutscher Bundestag . (n.d.). German Members of the European Parliament. Retrieved June 5, 2014, from Deutscher Bundestag : http://www.bundestag.de/htdocs_e/bundestag/europe/europarl/abg/abg/245898

EIA. (2014, March 14). Landmark EU/Indonesia Timber Agreement now Legally Binding. Retrieved June 5, 2014, from EIA: http://eia-