Indonesia and the United Arab Emirates sign a free trade agreement

Today, Friday, Indonesia and the United Arab Emirates signed a free trade agreement to strengthen economic relations between the two countries.

The global economic partnership agreement, signed in Abu Dhabi, will allow for the abolition or sharp reduction of customs duties on most of the goods traded between the two countries.

The Indonesian Ministry of Commerce said the agreement includes chapters on services, investments, intellectual property rights and mutual recognition of the mutual halal certification.

There were no immediate comments from Emirati officials. UAE Minister of Economy Abdullah bin Touq, Minister of State for Foreign Trade Thani Al Zeyoudi and Indonesian Minister of Commerce Zulkifli Hassan will hold a press conference later on Friday.

The text of the agreement has not yet been published and has yet to be approved by the Indonesian parliament, which could take several months.

The UAE has strengthened trade relations with Indonesia as part of its ambitions to increase the size of its economy to $ 816 billion by the end of the decade in course, and among the ways to achieve this is the signing of free trade agreements.

The Indonesian Ministry of Commerce said the volume of trade between Indonesia and the UAE was around four billion dollars last year.

According to the Economic Complexity Observatory, the main Indonesian exports to the UAE are palm oil, jewelry and precious metals, while the majority of the UAE’s exports in Indonesia are petroleum gases, non-petroleum oils and iron.

“This agreement will be Indonesia’s gateway to the United Arab Emirates … and a center for increasing exports to non-traditional destinations such as the Gulf region, the Middle East, Africa and South Asia,” he said. the Indonesian minister in a note.

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