Indonesia and India Resolve Technical Trade Issues: A Promising Agreement
In a significant development for international trade, the Indonesian Coordinating Minister for Economic Affairs, Airlangga Hartarto, and the Indian Minister of Commerce and Industry, Shri Piyush Goyal, have come to a crucial agreement to address technical trade issues and challenges between their respective countries. This pivotal decision was made during a meeting held on the sidelines of the India-Indonesia CEOs Forum, which took place in New Delhi on Saturday, January 25.
The Agreement: A Step Towards Stronger Trade Relations
During their meeting, Minister Hartarto announced that both Indonesia and India have decided to form a joint technical team to tackle all technical trade issues and challenges. This collaborative effort is aimed at enhancing the trade relations between the two nations and is a positive step towards boosting Indonesia’s exports. The ministers have scheduled another bilateral meeting for mid-February 2025 in New Delhi to further discuss and resolve these technical matters.
Strategic Discussions on Trade and Investment
The meeting between Minister Hartarto and Minister Goyal delved into various strategic issues, with a primary focus on trade and investment. One of the key topics of discussion was the trade balance between Indonesia and India, which has seen a significant surplus in favor of Indonesia. The bilateral trade between the two countries reached close to US$27 billion in 2023, showing a growth trend of 20.54% from 2019 to 2023.
Addressing Trade Barriers and Challenges
In addition to the trade balance, the ministers also addressed technical issues related to trade barriers, such as permits, quotas, non-tariff measures, and customs procedures. Of particular concern were challenges faced by Indonesia in exporting palm oil and coal to India. Discussions also touched upon import quantity safeguards and quota limitations for low-ash metallurgical coke from Indonesia, as well as technical issues surrounding the trade of various other commodities.
Commitment to Resolving Technical Challenges
Ministers Hartarto and Goyal expressed their commitment to addressing these technical challenges comprehensively by appointing technical teams from both countries. This proactive approach highlights the dedication of Indonesia and India to resolving trade issues, fostering stronger trade relations, and ensuring mutual benefits for both nations.
Looking Towards a Prosperous Future
As the technical teams from Indonesia and India gear up to tackle the trade challenges at hand, the agreement reached between the two countries signals a positive outlook for the future of their trade relations. By working together to overcome technical barriers, Indonesia and India are setting the stage for increased cooperation and economic growth between the two nations. This promising development holds great potential for enhancing trade opportunities and fostering a stronger partnership between Indonesia and India in the years to come.
