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  Issue Number 181, August 2019
 
In this issue
 
President's Column
IA-CEPA Corner
IABC Conference 2019
Indonesia Australia Business Summit - 19th September, Sydney
AIBC at IMARC 2019
Trade Expo Indonesia 2019
Financial Inclusion of Women – Short Courses
ACT Update
NSW Update
NT Update
QLD Update
SA Update
VIC Update
WA Update
Indoview
 
Events
 

For a list of current events, please click here.

 

 

Phil Turtle
National President

President's Column

Dear Members and Friends,

Once again there is no shortage of material to draw upon in terms of international trade, with President Trump at one stage recently calling on US companies to pull out of China, and Britain and the EU engaged in a protracted and convoluted Brexit “dance”.

In our own backyard though our countries take control of the things we can, with RCEP officials meeting in Jakarta to advance that important Agreement, as IA-CEPA progresses through the ratification process in front of the Australian Parliament’s Joint Standing Committee for Treaties. Our Prime Minister also visited Vietnam, with talks on Free Trade Agreements, and Opposition Leader Anthony Albanese visited Jakarta on his first overseas trip in his role, reinforcing the importance of Indonesia to Australia, and the close relationship with Indonesia shared by both sides of our Parliament. Joining Mr Albanese were Labor’s foreign affairs spokeswoman Penny Wong and NT MP Luke Gosling, with Mr Gosling penning his own opinion piece on the relationship between our countries.

In this issue of AIBCnews, we launch “IA-CEPA Corner” to capture important developments as we track towards IA-CEPA ratification and entry into force, with these processes concluded hopefully early in 2020.

Apart from the great opportunities that will unfold under IA-CEPA, Indonesia’s President has announced the final location of the new capital to a site in East Kalimantan, with a project of this scope already attracting interest from around the world to be part of this exciting initiative. Australia and Australian businesses are well placed to play a key role too, with world-class expertise in urban design, infrastructure, smart cities, transportation, education, healthcare and so forth, and would be best served to secure seats at the table early, with AIBC of course making good use of its networks to help unlock such opportunity for its Members.

(Australia’s Minister for Trade, Tourism and Investment Senator the Hon Simon Birmingham headlined a recent AIBC Event in his home city of Adelaide (pictured L-R Anne Moroney, CEO Regional Development Australia Barossa Inc.; Senator the Hon Simon Birmingham, Minister for Trade, Tourism and Investment; Jim McMillan, Immediate past Chair AIBC SA; The Hon Jing Lee MLC, Assistant Minister to the Premier, Multicultural Affairs, Department of the Premier and Cabinet; Dom Cosentino, PKF Managing Partner; Amalia Sosrodiredjo, AIBC SA Chair; Robert Chong, MD Commodore Trading)

In the month of August, AIBC conducted Annual General Meetings for its Chapters in the capitals of all 8 Australian States and Territories, with a number of our serving Chairs (National Board Members) finishing their terms, and new Chairs elected. AIBC extends warm thanks to these dedicated volunteers leaving their roles, Jim McMillan (SA), Julia Scott (WA), and Michael Fay (NSW), who have contributed so much to advancing the trade and investment, and people-to-people, links between our countries. We also make welcome newly elected Chairs, Amalia Sosrodiredjo (SA), Prerana Mehta (ACT) and Nick Alexander (NSW), and wish them well as they commence their terms and join the AIBC’s National Board.

AIBC looks ahead now to its National AGM in Melbourne on October 11, coinciding with a visit by Sri Sultan Hamengkubuwono X, Governor of the Yogyakarta Special Region, the IABC Conference in Bali in November, and the Indonesia Australia Business Summit on September 19 in Sydney (see below for Conference and IABS details).

Phil Turtle
National President

IA-CEPA Corner

With the IA-CEPA Ratification Process well underway, AIBC welcomes its role to keep Members and Friends updated on progress, including through this new “IA-CEPA Corner”, which will capture the latest news on related activity and emerging opportunities.

In this last month, AIBC has prepared and lodged a comprehensive submission to the Australian Parliament’s Joint Standing Committee on Treaties (JSCOT) in support of IA-CEPA. AIBC also appeared in person before this Committee, represented by National President Phil Turtle, and AIBC’s Trade and Investment Adviser (and former AIBC National President) Ian Satchwell. AIBC’s submission can be seen here, along with the Hansard record of AIBC’s JSCOT testimony here.

Mr Dave Sharma MP, Chair, Joint Standing Committee on Treaties

AIBC was pleased to support this important process, and the Committee expressed its thanks to AIBC for its own contributions, as well as its encouragement to a range of stakeholders to also make submissions and appear before the Committee. These other submissions and testimonies can be seen here and here.

With reference to the earlier submissions of AIBC and the Indonesia-Australia Business Partnership Group (IA-BPG), key to AIBC’s position on IA-CEPA are that;

  • AIBC is delighted that IA-CEPA has been concluded and now awaits ratification. AIBC has been advocating for the agreement since at least 2007 and has been providing advice on its scoping, negotiation and detailed content ever since. We have been privileged to co-found the Indonesia-Australia Business Partnership Group (IA-BPG) with our partners in both economies. The IA-BPG played a highly influential role in the content of the IA-CEPA, and this role has been consistently acknowledged as being “instrumental” throughout the process;
  • The IA-CEPA is a very welcome agreement that should strongly advance the bilateral economic relationship. This is despite it not going as far as the ambitious ‘stretch goals’ proposed by the IA-BPG and AIBC;
  • IA-CEPA should be a dynamic agreement that is periodically reviewed, amended and upgraded as business and the two economies learn to work more closely together and identify both opportunities and barriers to closer economic relations;
  • Implementation is key to the agreement’s success. The two government governments, business and education and training organisations now need to put resources and a strong focus to building trade, investment, movement of people, and human and institutional capacity;
  • AIBC welcomes the unique economic cooperation chapter of IA-CEPA and other economic cooperation activities throughout the agreement. It is important that economic cooperation activities and the resources allocated to them are additional to, and do not simply supplant, the existing bilateral cooperation programs that have helped to build governance and economic capacity over several decades;
  • AIBC proposes that IA-BPG be reformed to provide ongoing advice on IA-CEPA implementation and future reviews.

Furthermore AIBC is pleased to be working alongside DFAT in the roll-out of the Skills Development Exchange Pilot Project that emerged from the IA-BPG recommendations (see here). AIBC is now taking an active role in the detailed design of this Project, so any Business that may look to take advantage of this is encouraged to contact AIBC here for further information.

Finally in this inaugural “IA-CEPA Corner”, AIBC thanks Ian Satchwell for his significant contributions to advancing IA-CEPA and the interests of AIBC and its Members for over a decade.

IABC Conference 2019

 

INDONESIA AUSTRALIA BUSINESS CONFERENCE

CONFERENCE 4.0

The conference about our future – are we ‘smart’ enough

The Indonesia Australia Business Council is hosting its biennial Business Conference on 3-5 November this year (Sunday to Tuesday) in beautiful Bali. And this is our 30th year – a special conference in a special year.

The face of business is changing fast. The local branch of our bank used to be a focal point. Now you are lucky to find someone in the branch if you can find the branch. We don’t pretend we are brainier than Luca Pacioli, friend of Leonardo da Vinci, who codified double entry bookkeeping for the world in 1494 (not forgetting that the Koreans had their own similar system at the time). But now we have to adapt to faster-moving change and learn new ‘codes’. That is what being ‘smart’ means. We will look at what this means for some selected business activities.

Program

After a Sunday evening opening, over the next two days the conference will look at political and economic trends, hear from businesses dealing with these trends, and hear from government leaders vitally interested in trade and investment issues. We will consider how the IA-CEPA can help us grow and grow smarter, whatever our business.  Please click here to view the current Program.

The Ministers responsible for trade and investment in both Australia and Indonesia are invited to attend.

BALI, 3 – 5 NOVEMBER 2019

Pullman Bali Legian Beach - Kuta

Enquiries may be made through secretariat@iabc.co.id or by contacting Vic Halim at the IABC Secretariat on 521 1540 or director@iabc.or.id, or Conference Convenor Ambassador Hamzah Thayeb on tmht52@hotmail.com or Conference Chairman Peter Fanning on 081 186 2094.

To Register and receive a 5% Discount prior to 30th September, please click here.

Indonesia Australia Business Summit - 19th September, Sydney

We are pleased to inform you that the Embassy of the Republic of Indonesia in Canberra in collaboration with the Consulates General of the Republic of Indonesia in Sydney, Melbourne, and Perth, the Consulate of the Republic of Indonesia in Darwin, the Indonesian Investment and Promotion Centre, and the Indonesian Trade Promotion Centre in Sydney will be convening the annual Indonesia Australia Business Summit (IABS) at Intercontinental Hotel, 117 Macquarie St, Sydney on 19 September 2019. The theme for IABS 2019 is "IA-CEPA: Capitalizing Partnership, Gaining Mutual Benefits".

The Summit, previously known as "IndonesiaFair", has been convened since 2014. The previous Summits in Canberra, Perth, Adelaide, and Melbourne have managed to further enhance economic cooperation between Indonesia and Australia through the facilitation of significant investment and business projects.

This year's Summit will discuss issues covering automotive, vocational education and training (VET), and infrastructure in the development of the tourism industry and Special Economic Zones (SEZ).

To view the Program click here and for registration, please click here.

AIBC at IMARC 2019

The Australia Indonesia Business Council will again partner the International Mining and Resources Conference and Expo (IMARC) and invites members to attend the 6th annual event to be held in Melbourne from 29-31 October 2019.

Australia’s largest mining event, IMARC brings together over 7,000 decision makers, mining leaders, policy makers, investors, commodity buyers, technical experts, innovators and educators from over 100 countries to Melbourne for four days of learning, deal-making and unparalleled networking.

The AIBC National Mining & Energy Group will also again host an Australian-Indonesian mining information booth to highlight the great work and profitability of our members' investments in Indonesia, the excellent market for Australian METS, the increasing investment by Indonesian companies in the Australian minerals and energy markets, and the broader two-way trade and investment opportunities envisaged by the IA-CEPA.

For details contact Geoffrey Gold, Convenor of the AIBC National Mining & Energy Group at gmgold@goldgroup.biz.

Trade Expo Indonesia 2019

The 34th Trade Expo Indonesia 2019 Exhibition and Trade Mission is fast appraoching and will be held between 16-20 October 2019. 

For the past few years, Indonesia has achieved a positive trend of export growth in a variety of products and services to the global market, which has to be both maintained and improved further, because Indonesia is also competing with other countries in exploring global opportunities.

To keep on improving national export performance, the Ministry of Trade has been proactive in inviting and bringing in buyers and investors for a direct deal with Indonesian providers of export products and services at the annual tradeshow of Trade Expo Indonesia (TEI).

TEI is an international B2B-focused tradeshow that is designed to boost export product growth and export market expansion. The 34th TEI in 2019 brings up the theme “Creating Products for Global Opportunities” to promote quality products made in Indonesia for the global market, develop business networks, investment and present showcases of Indonesian premium and best products. Along with the exhibition, TEI also present a series of paralel activities consisting of Trade, Tourism and Investment Forum, Business Matching, Business Counseling, Regional Discussion, Overseas and Local Trade Mission, Export Start-Up Competition and Talk Show.

For further program information and registration details, please click here

Financial Inclusion of Women – Short Courses

Monash Business School and The Australia-Indonesia Centre are hosting twenty-five leaders from Indonesia’s financial regulatory bodies as part of an Australian Government short course to promote the financial inclusion of women.

Monash Business School and The Australia-Indonesia Centre are hosting twenty-five leaders from Indonesia’s financial regulatory bodies as part of an Australian Government short course to promote the financial inclusion of women.

Australia-Indonesia Centre and Monash Business School hosted delegates.

The participating institutions include: Coordinating Ministry of Economic Affairs, Ministry of Finance, Central Bank of Indonesia (Bank Indonesia), Indonesia Financial Services Authority (OJK), Indonesia Deposit Insurance Corporation (LPS), and National Team for the Acceleration of Poverty Reduction (TNP2K).

During their stay in Australia, the delegation have been able to meet a range of groups and individuals with interests in these areas.

The participating institutions include: Coordinating Ministry of Economic Affairs, Ministry of Finance, Central Bank of Indonesia (Bank Indonesia), Indonesia Financial Services Authority (OJK), Indonesia Deposit Insurance Corporation (LPS), and National Team for the Acceleration of Poverty Reduction (TNP2K).

During their stay in Australia, the delegation have been able to meet a range of groups and individuals with interests in these areas.

ACT Update

On August 6, 2019 the AIBC ACT Committee, led by Rudy Purba, held a meeting with several members of the Aceh House of Representatives (DPR Aceh) led by the Deputy Chair of the DPR Aceh, H. Dalimi. This meeting was facilitated by the Indonesian Embassy in Canberra, coordinated by its Economic Counsellor, M. Zakaria Al-Anshori. The Aceh DPR delegation visited Canberra to study opportunities for cooperation that could be developed by the Aceh province with various stakeholders in Australia, particularly those in Canberra, which are in the education and business sectors.

Aceh DPR delegation led by Mr Dalimi (4th from left) met AIBC ACT Committee (Peter Dawson, 3rd and Rudy Purba, 5th), facilitated by the Indonesian Embassy, M. Zakaria Al-Anshori (7th).

In this discussion the AIBC ACT shared about the current status of IA-CEPA and that there are several sectors that could be of interest for Aceh to explore with regards to opportunities for cooperation with Australia. Several topics of potential cooperation in the context of Aceh include university education and vocational education, tourism opportunities in Aceh that several areas or regions in Aceh could become tourist destinations for Australians, agricultural products from Aceh that have high potentials for export to Australia. On the other hand Aceh is also developing several special economic zones supported by agriculture and mining industries where these regions can receive investment coming from Australia.

The AIBC ACT is hopeful that this meeting can open real trade and investment activities in the near future with Aceh, especially after the IA-CEPA ratification.

 

Rudy Purba,
ACT Chair

NSW Update

AIBC, Austrade, DFAT and Study NSW Symposium on IA-CEPA and the opportunities for the education and Skills and Training Sectors

A well attended Symposium in Sydney hosted by the NSW Government was attended by over 40 representatives from the Education and Skills Training sector.

The NSW Committee of AIBC was well represented and a engaged audience had the opportunity to network with colleagues on IA-CEPA issues.

Caroline McCarthy, Assistant Secretary Regional Trade Agreements Division, DFAT presenting to the audience. 

 

(L-R) Caroline McCarthy, Assistant Secretary Regional Trade Agreements Division, DFAT, Elizabeth Campbell-Dorning, Counsellor (Education and Science) Jakarta, Department of Education and Tim Martin, Trade and Investment Commissioner Jakarta, Austrade

 

Guests participating in the discussion


AIBC NSW AGM Results:

On Wednesday 28 August, the seven-member Executive Committee of the NSW AIBC held its first committee meeting at ANZ Tower.

  • Nick Alexander (Herbert Smith Freehills) was elected Chair;
  • Pat Hanna (Cokal) was elected Vice Chair, and
  • Francisco Widjojo (PT Ultra Sakti) was elected Secretary.

They are joined on the NSW Executive Committee by:

  • Di Robinson;
  • Don Turner;
  • Christopher Kristian; and
  • Chris Matthews. 

The priorities of the NSW Committee include pro-actively socialising the benefits of the IA-CEPA in NSW once it is ratified and persuading NSW government of the importance of prioritising Indonesia as a key market for two-way trade and investment with New South Wales. The NSW Committee expresses its sincere thanks to outgoing Chair Michael Fay for his invaluable leadership during his term.


Newly-elected Executive Committee:
(L-R Don Turner, Francisco Widjojo, Pat Hanna, Nick Alexander, Chris Matthews, Christopher Kristian and Di Robinson)

 

Nick Alexander, 
NSW Chair

NT Update

AIBC NT AGM Results

AIBC NT held their AGM on Friday 30th August.  We are pleased to announce the following candidates were declared elected:

  • Linda Reeves, returned as NT Chair;
  • Ayu Pramitasari, Branch Secretary;
  • David McKenzie;
  • Allan Woo;
  • Eddie Morgan;
  • Stephanie Berlin;
  • Jim McMillan. 
     

Linda Reeves,
NT Chair

QLD Update

Qld Malam Karier – Career Evening

AIBC QLD Board Member, John Kimlin, supported AIYA QLD at their “Malam Karier: Smart Networking, Interview Ready” event on 8 August 2019.  The event attracted more than 40 students and young professionals eager to get tips on how to be interview ready. 

John reflected on his experience in EY and IBM as an employer and employee and shared some of the ‘unspoken’ rules of recruitment and how to stand out at interview time. Alister Alibi, a Management Consultant at Charles Kendall Australia, added his own experiences as someone who has navigated successfully through numerous careers and workplaces across the globe including Indonesia.

The discussion wrapped up with a mock interview, with a brave second year University student as the volunteer, who managed to impress the panelists not just with his articulation but also with his willing attitude. With the formalities over, employers and students came together to network and share more tips.

The event provided valuable advice and support for participants and was another strong display of how AIBC and AIYA in Qld are supporting Australia-Indonesia business connections.

 

Business leaders come together for IndOZ 2019

Ties were straightened and strengthened as business leaders and key government figures joined AIBC at Queensland’s premier Australian and Indonesian business networking dinner this month. 

Brisbane City Hall’s Ithaca Auditorium was packed with VIPs and dignitaries, ready to meet, greet and share expertise with the Queensland business community at the IndOZ Business Networking Dinner on August 23. 

AIBC QLD Chair Paul Martins welcoming guests


The event was opened by Indonesian Ambassador, His Excellency Yohanes Kristiarto Soroyo Legowo. AIBC’s Qld Chair, Paul Martins was the MC for the evening, which saw an even mix of cultural performances and business speakers.


The Right Honourable Lord Mayor of Brisbane, Councillor Adrian Schrinner and University of Queensland Graduate School Deputy Dean Stephan Riek were among the presenters, and spoke of the importance of the Brisbane-Semarang and Qld-Central Java relationship and celebrated Denpasar being named host of the 2021 Asia Pacific Cities Summit (an initiative of Brisbane City Council). 

Indonesian Ministry of Tourism representative, Ms Adella Raung presented on the Indonesian Government’s push to broaden the scope for tourism in the nation beyond Bali, identifying and emphasising five ‘super-priority destinations’, Borobudur, Komodo Island, Lake Toba, Mandalika and Likupang.  Mandalika (Lombok) will be home to the Formula 1 and Moto GP from 2021 and offer up 12,500 new five-star hotel rooms.

The evening was key for networking and offered a one-stop shop, attended by Austrade State Director Janelle Casey, President Islamic Council of Queensland Habib Jamal, Trade and Investment Queensland CEO Paul Martyn, Queensland Department of Foreign Affairs and Trade Director, Derek Brown, and Department of Home Affairs’ Steven Biddle, among many others. 

The dinner was part of the IndOZ Festival which ran from 23-24 August, with a plethora of cuisines and performances, including traditional and modern dance, opening up tastes, sounds and friendship between Indonesia and Queensland.
 

AIBC QLD AGM Results

AIBC Queensland held their annual general meeting August 30, re-electing key members into leadership roles, and welcoming new observers.

Paul Martins, David Widjaja, were returned as Chair and Vice-Chair respectively, with Colin Brown appointed as secretary.

John Kimlin, Jim Cliffin, Taryn Duce and Ben Seumahu were appointed Committee Members, with Mark Rand, Trevor Davison, Sheila Hie and Erin Godwin nominating and being appointed as Observers.

DFAT’s Derek Brown will undertake the Ex-Officio position.

Sheila Hie also serves as the AIYA Representative.

The committee includes a wealth of bilateral engagement knowledge and experience from both the public and private sectors.
 

Paul Martins,
QLD Chair

SA Update

Indonesia Food Export Forum:  Opportunity, Risk and Reward

The SA Branch hosted a well attended event on Monday 26th August, to discuss Food Export Opportunities to Indonesia.

Senator the Hon Simon Birmingham addressing the Audience

We were honoured to be joined by Senator the Hon Simon Birmingham, Minister for Trade, and Hon. Jing Lee, Minister Assisting the SA Premier, who both talkedabout opportunities for SA businesses to pursue export markets in Indonesia as a result of IA-CEPA.

L-R Patrick Kearins (Austrade), Robert Chong (Commodore Trading), Amalia Sosrodiredjo (AIBC SA Chair), Jim McMillan, Hon. Jing Lee MLC, Minister Assisting the Premier

This was followed by a panel discussion focused on food exports, facilitated by outgoing SA Branch Chair Jim McMillan. Panellists were Patrick Kearins from Austrade, new SA Branch Chair Amalia Sosrodiredjo from the Decorum Group, and Robert Chong from Commodore Trading. The panel discussion was lively, with numerous questions from the 35-strong audience. One of the most interesting issues discussed was changing Indonesian food-tastes in major cities like Jakarta, and emerging demand for organic and health foods, which presents particular food opportunities for food businesses in SA.

The event was generously supported by Austrade and Food SA, and special thanks go the event sponsor and host, PKF Adelaide.


AIBC SA AGM Results

On Tuesday, 27th August AIBC SA held their AGM.  Elected positions are as follows:

  • Amalia Sosrodiredjo, SA Chair;
  • Will Angove, Vice Chair;
  • Andrew Bain, Branch Secretary

The remaining Committee comprises:

  • David West;
  • Olivia Atmadja-Sharp;
  • Steven Baker;
  • Blaine Gordon.
     

Amalia Sosrodiredjo,
SA Chair

VIC Update

On Wednesday, 28 August, AIBC Victoria, the Consulate General and the Indonesian Trade Promotion Centre (ITPC) held an “Indonesian Business Night” at the Indonesian Consulate which explored business opportunities in Indonesia.

The Director of the ITPC, Ibu Ayu, provided an overview of Trade Expo Indonesia being held in Jakarta between 16-20 October.

Jared Heath, AIBC VIC Chair providing welcoming remarks.

AIBC Victorian Consul General, Ibu Spica addressing the Audience.

The Consul-General, Ibu Spica, foreshadowed the Creative Economy Forum being held in Melbourne between 8-9 October.  This event will provide a forum for creative industries, business and government to explore opportunities in fashion and textile, film, animation and video, craft, application and gaming, and culinary fields.  There will also be a mini-exhibition showcasing Indonesian creative industries. The Governor of Yogyarkata, Sri Sultan Hamengku Buwono X, will deliver the keynote speech. 

Around 40 AIBC members and friends attended enjoyed the warm hospitality and Indonesian food and music kindly provided by the Consulate.

Jared Heath,
VIC Chair

WA Update

IA-CEPA Workshop Series

AIBC in WA hosted the first of a 4-Workshop Series, aimed at informing businesses about the opportunities and intricacies of IA-CEPA. AIBC National President Phil Turtle officiated, as a range of speakers covered topics including;

  • IA-CEPA history and overview (AIBC)
  • Opportunities in F&B and AgTech/Agribusiness (DPIRD)
  • Export, Customs and Tariff considerations (Pitcher Partners)
  • Project Financing (EFA)
  • Trade Finance (Westpac)
  • Cybersecurity issues (AustCyber)
  • International Tax issues (Pitcher Partners)
  • Air Freight options (Qantas Freight)
  • Export Market Development Grant support (Peter Arbuckle)



Workshop Presenters L-R Peter Arbuckle (EMDG Consultant), Cameron Hall (EFA), Aleks Henderson (EFA), Deborah Pett (DPIRD), Darryl Daisley (Pitcher Partners), Phil Turtle (AIBC), Leon Mok (Pitcher Partners), Ian Martinus (AustCyber)

AIBC President Phil Turtle addresses Workshop attendees.


Presentation slides from this workshop can be viewed here.

Thanks to Westpac, Pitcher Partners, Export Finance Australia, AustCyber, and Qantas Freight for their support of this event.

Presented in association with:

Phil Turtle
National President

Indoview

President's Second Term - Doing the Impossible for the Mining Industry?

In his recent article, Bill Sullivan of Christian Teo & Partners, looks at the recent announcements by the Indonesian President, that may offer some hope for investors in the Mining Industry.

"The President has suggested in a recent interview that, as he is not able to run for a third term in 2024, he is now free of the political burdens that constrained him during his first term. According to the President, he is finally able to make decisions that would ‘previously have been impossible’.

Investors in the local mining industry will certainly be hoping the President does the ‘previously impossible’ for them, during his second term, and addresses at least some of the legal, policy and regulatory issues that they currently face.”

To read this article in full, click here.
 

Indonesia Market Update

In their August 2019 edition of “Indonesia Market Update”, Morelink Asia Pacific provide news updates across many key sectors including the Indonesian economy, investment, trade, retail, agrifood, manufacturing, automotive, ICT and infrastructure sectors.

To read this update, click here.

 
 
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