AEC Feed

Laos will enter into a Voluntary Partnership Agreement (VPA) on Forest Law Enforcement, Governance and Trade (FLEGT) with the European Union (EU) next year after almost seven years of preparations.
When Laos signs on to the agreement, it will provide opportunities for Lao wood processing businesses to access markets in the EU, Japan, America and Australia. It will also promote investment in the wood processing industry for domestic supply and export.
The purpose of the Voluntary Partnership Agreement is to ensure that timber and timber products exported to the EU are derived from legal sources. The agreement will also support Laos in the management and restriction of deforestation. - Vientiane Times

Lao organic tea exports aim for regional markets

Laos’ organic tea industry has the potential to increase exports to regional markets as its quality is being accepted in a number of countries, according to tea business expert.
An organic tea trader in Pakxong, Thongvanh told Vientiane Times that tea plantings in his garden have grown steadily in recent times, witnessing business growth since 2014.
His sales of tea have increased from 450kg to 500kg per month, which is mostly exported to Cambodia while some is sold to tea companies in the district, packaged for export to Thai markets as well as for sale domestically.
Sengthong said tea in Pakxong is widely accepted in the region as the tea plants grow well in the cool mountain temperatures. – Vientiane Times

Moody’s raises Indonesia debt rating outlook 

Moody's Investors Service has revised the outlook on its ratings of Indonesian government debt to “positive” from “stable.”
In a statement issued on Wednesday, the credit rating agency also said it had affirmed Indonesia's Baa3 issuer rating, Baa3 senior unsecured bond ratings, and (P)Baa3 senior unsecured medium term note (MTN) programme rating.
It attributed the improved outlook mainly to “emerging signs of a reduction in structural constraints on Indonesia's rating, including its level of external vulnerability and the strength of its institutions.”
It considers Indonesia's vulnerability to external shocks to be declining and expects the diminishing vulnerability to continue as a result of measures fostering a narrower current account deficit, higher foreign exchange reserves and a slower rise in private sector external debt. – The Jakarta Post