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Ween Australia and Indonesia Under World Trade Organization Dispute Settlement Body (Wto Dsb) Mechanism: Australia‟S Plain Packaging Act 2011

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Ween Australia and Indonesia Under World Trade Organization Dispute Settlement Body (Wto Dsb) Mechanism: Australia‟S Plain Packaging Act 2011 INTERNATIONAL TRADE DISPUTE SETTLEMENT BETWEEN AUSTRALIA AND INDONESIA UNDER WORLD TRADE ORGANIZATION DISPUTE SETTLEMENT BODY (WTO DSB) MECHANISM: AUSTRALIA‟S PLAIN PACKAGING ACT 2011 (2013 - 2017) By Anthoni Nicolas Tarigan ID No. 016201400018 A Thesis presented to the Faculty of Humanities President University in partial fulfillment of the requirements for Bachelor Degree in International Relations Concentration of Diplomacy Studies 2018 THESIS ADVISER RECOMMENDATION LETTER This thesis entitled “International Trade Dispute Settlement Between Australia and Indonesia under World Trade Organization Dispute Settlement Body (WTO DSB) Mechanism: Australia‟s Plain Packaging Act 2011 (2013 - 2017)” prepared and submitted by Anthoni Nicolas Tarigan in partial fulfillment of the requirements for the degree of Bachelor of Arts in International Relations in the Faculty of Humanities has been reviewed and found to have satisfied the requirements for a thesis fit to be examined. I therefore recommend this thesis for Oral Defense. Cikarang, Indonesia, 18 January 2018 Recommended and Acknowledged by, Hendra Manurung, S.IP., MA. Thesis Adviser i DECLARATION OF ORIGINALITY I declare that this thesis entitled “International Trade Dispute Settlement Between Australia and Indonesia under World Trade Organization Dispute Settlement Body (WTO DSB) Mechanism: Australia‟s Plain Packaging Act 2011 (2013 - 2017)” is, to be the best of my knowledge and belief, an original piece of work that has not been submitted, either in whole or in part, to another university to obtain a degree. Cikarang, Indonesia, 18 January 2018 Anthoni Nicolas Tarigan ii PANEL OF EXAMINERS APPROVAL SHEET The Panel of Examiners declare that the thesis entitled “International Trade Dispute Settlement Between Australia and Indonesia under World Trade Organization Dispute Settlement Body (WTO DSB) Mechanism: Australia‟s Plain Packaging Act 2011 (2013 - 2017)” that was submitted by Anthoni Nicolas Tarigan majoring in International Relations from the Faculty of Humanities was assessed and approved to have passed the oral examinations on 24th January 2018. Dr. Endi Haryono, M.Si. Chair – Panel of Examiners Riski M. Baskoro, S.Sos., MA. Examiner Hendra Manurung, S.IP., MA. Thesis Adviser iii Abstract Title: International Trade Dispute Settlement Between Australia and Indonesia under World Trade Organization Dispute Settlement Body (WTO DSB) Mechanism: Australia’s Plain Packaging Act 2011 (2013 - 2017) Tobacco is one of the leading preventable causes of death in many countries around the globe. It is recorded that 7 million people are killed annually by the consumption of tobacco through the study conducted by World Health Organization (WHO). Responding to this issue, WHO through the Framework Convention on Tobacco Control (FCTC), has taken numerous steps to reduce the number of death caused by tobacco consumption, one of which is the introduction the concept of plain packaging for tobacco products. The plain packaging policy has been adopted by Australia through the Tobacco Plain Packaging Act 2011. Coming into force on first of December 2012, this Act is believed by Australian Government to be the most effective way in reducing the consumption on Tobacco product. However another problem arouse as Indonesia and two other tobacco producer countries are protesting Australia for the implementation of the Plain Packaging as it is believed to be violating the Intellectual Property Rights Law as well as Technical Barriers to Trade Law. The case was then brought to the World Trade Organization court for seeking the dispute settlement. This study analyzes the crosscutting issues between Australian Government’s action to protect the citizens from the harm of tobacco products and Indonesia’s objection on the action on behalf of Intellectual Property Rights protection. This study will also provide the analysis on how the Plain Packaging Act enforced by the Australian Government has violated the IPR protection based on the provision in the Trade Related Intellectual Property Agreement and WTO basic principles as well as analyzing the role of WTO in the dispute. At the end of the study, the writer would like to conclude that the Plain Packaging Act 2011, imposed by Australian Government has vividly violated several articles of TRIPS Agreement and as the institution that hold the responsibility to oversee the case, the WTO DSB has provided the consultation for both disputing parties which did not reach a mutual solution which then lead to panel establishment in the DSB. Up until 2017, the case is still in the panel stage to hear the decision and report from panel which then be used by WTO DSB in making its final saying. Keywords: Plain Packaging, Intellectual Property Rights, Australia Tobacco Plain Packaging Act 2011, World Trade Organization iv Abstrak Judul: Penyelesaian Sengketa Perdagangan Internasional antara Australia dan Indonesia dengan Mekanisme Badan Penyelesaian Sengketa Organisasi Perdagangan Dunia (WTO DSB): Australia Tobacco Plain Packaging Act 2011 (2013 - 2017) Tembakau merupakan salah satu penyebab kematian yang dapat dicegah di banyak negara di seluruh dunia. Data penelitian yang dilakukan oleh Organisasi Kesehatan Dunia (WHO) menunjukkan bahwa t juta orang terbunuh setiap tahunnya yang disebabkan oleh konsumsi tembakau. Menanggapi masalah tersebut, WHO melalui Kerangka Konvensi Pengendalian Tembakau (FCTC) telah mengambil banyak langkah untuk mengurangi jumlah kematian yang disebabkan oleh konsumsi tembakau, salah satunya adalah pengenalan konsep kemasan polos untuk produk tembakau. Kebijakan kemasan polos telah diadopsi oleh Pemerintah Australia melalui Tobacco Plain Packaging Act 2011. Mulai berlaku pada awal Desember 2012, Undang-Undang ini diyakini oleh Pemerintah Australia sebagai cara paling efektif untuk mengurangi konsumsi produk tembakau di negara tersebut. Namun, masalah lain muncul saat Indonesia dan dua negara produsen tembakau lainnya mengajukan protes terhadap Pemerintah Australia atas pelaksanaan kebijakan kemasan polos karena diyakini melanggar Hukum Hak Kekayaan Intelektual dan juga Hambatan Teknis terhadap Undang-Undang Perdagangan. Kasus tersebut kemudian dibawa ke pengadilan Organisasi Perdagangan Dunia (WTO) untuk mencari penyelesaian terbaik bagi kedua negara. Skripsi ini menganalisa isu yang bersinggungan antara tindakan Pemerintah Australia untuk melindungi warga negara dari bahaya produk tembakau dan keberatan Indonesia atas tindakan tersebut dengan membawa alasan perlindungan Hak Kekayaan Intelektual. Skripsi ini juga akan memberikan analisa tentang bagaimana Tobacco Plain Packaging Act 2011 yang diberlakukan oleh Pemerintah Australia telah melanggar perlindungan Hak Kekayaan Intelektual berdasarkan ketentuan dalam Perjanjian Kekayaan Intelektual Terkait Perdagangan dan prinsip dasar WTO serta menganalisa peran WTO dalam sengketa ini. Pada akhir penelitian, penulis ingin menyimpulkan bahwa Undang-undang Australia Tobacco Plain Packaging Act 2011, yang diberlakukan oleh Pemerintah Australia telah dengan jelas melanggar beberapa pasal Perjanjian TRIPS dan sebagai institusi yang bertanggung jawab untuk mengawasi kasus tersebut, DSB WTO telah menyediakan konsultasi untuk kedua pihak yang bersengketa, yang tidak mencapai solusi bersama yang kemudian mengarah pada pendirian panel di DSB. Sampai akhir 2017, kasus ini masih di tahap panel untuk mendengar keputusan dan laporan dari panel yang kemudian digunakan oleh WTO DSB dalam membuat pepatah terakhirnya. Kata Kunci: Kemasan Polos, Hak Kekayaan Intelektual, Australia Tobacco Plain Packaging Act 2011, Organisasi Perdangan Dunia (WTO) v ACKNOWLEDGEMENT First and the foremost, I would like to express my highest gratitude to the One and Only Almighty God, Jesus Christ. It is only by His grace and guidance I have ever had the ability to finish this thesis. Secondly, I would like to express my endless thank you to my parents, beloved father and mother, who have tirelessly supported me in writing this thesis. The ones who kept telling me to carry on, the ones who always listened to my complaints and tried to understand all of them as well as providing comfort and solutions, the ones who never give up on encouraging me and supporting me all the way they can. Most importantly the ones who never have doubt on me, the ones who keep believing in me that I would make it to the finish line. To both my brothers, thank you also for the encouragement you gave me during this thesis writing. To my thesis adviser, Mr. Hendra Manurung who has been guiding through all the process to finish this thesis. I have nothing to say but thank you. Thank you for your comments and suggestions. Thank you for the lessons you taught me during this thesis writing. To all lecturers of International Relations President University, I would also like to express my gratitude for all the knowledge that have been given during my university study. I would like also to specifically express my gratitude to the Indonesian Chamber of Commerce and Industry – Business Support Desk (KADIN – BSD) for your great support in writing this thesis. Thank you for letting me stay late in the office to write this thesis by using the office computer and internet – that really helped a lot. Thank you for your concern on asking the progress of my writing and the exchange of knowledge. Thank you for connecting me to the networks of the KADIN for the interview to get my thesis done. Special thanks for Mr. Robert Herdiyanto for the help to patiently read and provide
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