Indonesia, UAE sign trade contract worth 3.6 mln USD

Indonesia-UAE trade contract worth 3.6 million U.S. dollars has been agreed between 11 Indonesian business actors as suppliers and their two UAE counterparts in Nusa Dua area, Badung district, Bali province.

 

Jakarta (Indonesia Window) – Indonesian Minister of Trade Zulkifli Hasan and Minister of State for Foreign Affairs of the United Arab Emirates (UAE) Thani bin Ahmed Al Zeyoudi have witnessed the signing of a business-to-business (B2B) memorandum of understanding (MoU) worth 3.6 million U.S. dollars.

The MoU was signed by 11 Indonesian business actors as suppliers with two UAE businesses on Friday (Sept. 23) in Nusa Dua area, Badung district, Bali province, the Indonesian Ministry of Trade said in an official statement released on Saturday.

“The trade agreement shows good collaboration between the two countries’ business sectors, including small and medium enterprises. The Indonesian government will always support the business sectors in increasing interactions with partner countries,” Trade Minister Zulkifli Hasan said.

The 11 Indonesian business actors in the trade contract are PT Liza Christina, PT Target Makmur, PT Mitra Sukses Dunia, PT Great Giant Pineapple, PT Mega Global Food, PT Tays Bogiyanti Solaras, PT Daimatu, PT Technoplast, PT Wirasindo Santakarya, Hasibuan Design, and C-Living Furniture & Custom Work.

Meanwhile, the two business actors from the UAE are Yas Export International and Tarrab Trading Co. LLC.

The products in the MoU include garments, fruits, grocery foods, footwear, plastic utensils, furniture, lighting, and handicrafts.

Before witnessing the signing of the MoU, Minister Zulkifli and Minister Thani held a bilateral meeting to discuss the progress of ratification of the comprehensive economic partnership agreement between Indonesia and the UAE (IUAE–CEPA).

The bilateral meeting took place after the G20 Trade, Investment and Industry Ministerial Meeting (TIIMM) which took place on Sept. 21–23, 2022.

“We believe that the IUAE-CEPA will provide a great opportunity for the two countries to grow together and enhance bilateral relations to a higher level,” the minister of trade said.

Minister Zulkifli also explained that currently Indonesia is still carrying out the IUAE-CEPA ratification process.

“We will continue to oversee so that the ratification process can be completed according to the target,” he said.

In addition, Minister Zulkifli expressed his gratitude to Minister Thani for welcoming the Indonesian minister during his visit to the UAE in July 2022.

The IUAE–CEPA was signed on July 1, 2022 in Abu Dhabi, the UAE, when Indonesian President Joko Widodo made a state visit to the member country of the Gulf Cooperation Council (GCC).

The IUAE–CEPA was signed by the Indonesian Minister of Trade Zulkifli Hasan and the UAE Minister of Economy Abdulla bin Touq Al Marri.

The UAE participated in the nomination for the host of the 13th WTO Ministerial Conference which will be held in December 2023, and the Minister of Trade expressed his support for the UAE.

In the January–July 2022 period, the total value of Indonesia–UAE trade reached 2.8 billion U.S. dollars, an increase of 29.85 percent compared to the same period in the previous year.

Meanwhile, in 2021, the total value of trade between the two countries was recorded at 4 billion dollars, an increase of 37.88 percent compared to that in 2020.

Indonesia’s exports to the UAE in 2021 reached 1.9 billion dollars, an increase of 52.15 percent compared to that in 2020, and the country’s imports from the UAE were valued at 2.1 billion dollars, an increase of 27.33 percent.

Indonesia’s main export commodities to the UAE in 2021 are jewelry, palm oil, motor vehicles, telephone connection devices, and applications for television.

Indonesia’s main imported commodities from the UAE are semi-unfinished iron, aluminum, gold, sulfur, and propylene polymer.

Reporting by Indonesia Window