TAIPEI: Taiwan and the mainland will soon take a critical step forward toward their goal of signing an economic cooperation framework agreement (ECFA), as they will exchange "early harvest" lists next week, officials said Monday.

According to economic affairs chief Shih Yen-shiang, Taiwan and the mainland will hold a fourth round of informal talks on the ECFA deal in Beijing November 3-4, during which they will touch on "early harvest" issues for the first time.

The "early harvest" lists refer to industries or services that each side will open for immediate tariff concessions or more liberal trade terms under the ECFA, similar to a free trade agreement.

"During the forthcoming round of talks, the two sides will exchange their 'early harvest' lists and discuss each listed item, but we do not think that a consensus can be reached immediately at the meeting," Shih said.

Taipei hopes to seal an ECFA agreement with Beijing as soon as possible to reduce the impact on Taiwan businesses of the economic integration of the Chinese mainland and the Association of Southeast Asian Nations (ASEAN), which comes into force next year.

After the China-ASEAN free trade agreement takes effect on January 1, 2010, petrochemical products, textiles, automobile parts and machinery exports from ASEAN states to the mainland will enjoy tariff-free treatment, which Taiwan officials said will seriously undermine the competitiveness of similar products from Taiwan.

Shih said Huang Chih-peng, director of external trade, is scheduled to depart for Beijing November 2 at the head of a delegation of officials for the informal round of ECFA talks.

Asked whether the ECFA issue will be discussed further at a high-level meeting of the two cross-Straits intermediary bodies in Taiwan in December, Shih said the topic could be put on the agenda for senior negotiators from both sides to exchange views.

Shih was referring to a meeting between Straits Exchange Foundation Chairman Chiang Pin-kung and his mainland counterpart, Chen Yunlin, president of the Association for Relations Across the Taiwan Straits.

The forthcoming Chiang-Chen meeting, the fourth in a series since June 2008, has a broad range of issues on its agenda and agreements are expected to be signed on fishing crew cooperation, agricultural quarantine inspection, industrial product standards, inspection and certification, and the avoidance of double taxation.

China Daily/CNA

(HK Edition 10/28/2009 page2)