Ministers of oil producing countries gathered in Bali, Indonesia, on Thursday (27 May), under tight security, to decide whether oil prices should be raised or if the world economy should be given more time to recover.
GV EXTERIOR OPEC meeting place with flags outside
CU & GV Police and security officers searching newsmen before entering building (4 shots)
SV Sheikh Yamani entering building
GV President of Indonesia entering conference room
GV Delegates listening to speakers
CU & GV President addressing conference (3 shots)
GV Delegates applaud
GV President leaving conference room
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Background: Ministers of oil producing countries gathered in Bali, Indonesia, on Thursday (27 May), under tight security, to decide whether oil prices should be raised or if the world economy should be given more time to recover.
The ministers are from the 13 member nations of the Organisation of Petroleum Exporting Countries (OPEC), which last September raised petroleum prices by 10 per cent and then froze prices for nine months to enable the world economy to recover from the 1974 recession.
There is pressure for a moderate increase to compensate partly for inflation, which has cut the real buying power of the oil exporters since the last price rise.
One of the countries thought to be pressing for the increase is Indonesia. Opening the meeting, Indonesia's President Suharto said his country strongly believed oil prices should keep pace with inflation.
"We have the right to demand a fair and reasonable price for our oil. It is therefore our strong belief that the adjustment of oil prices to the rate of inflation is only fair and just," he said.
President Suharto linked the oil producers' talks with the current conference of rich and poor countries in Nairobi.
"We are determined to establish a new international economic order which is more just and prosperous. Here in Bali we must remember that the goals in Nairobi are not yet attained."
The meeting is being held in the isolation of a luxury beachside apartment complex, now sealed off by heavily armed troops and patrol boats. The Indonesians are guarding against any recurrence of the guerrilla attack at an OPEC meeting in Vienna last December, when 10 ministers were abducted and flown out of the country before being released.