Jakarta (ANTARA News) - The Indonesian Trade Ministrys Trade Mission to Pakistan has recorded potential trade and investment transactions of US$115.02 million.
"The transaction covers several commodities of palm oil, cocoa, coffee, spices and tea," Trade Minister Enggartiasto Lukita said here on Wednesday.
In addition, Indonesias energy sector has signed an Inter-Government Agreement (IGA) for liquefied natural gas (LNG) export to Pakistan.
Indonesia, through the National Oil Company, PT Pertamina, will export LNG of 1.5 million tons per year to Pakistan LNG Ltd for ten years. This contract can be extended for another five years. The potential transactions resulted from the contract amounted to US$6.4 billion.
In a series of trade missions to Pakistan, Enggartiasto and Pakistani Textile Industries and Trade Minister Mohammad Pervaiz Malik also witnessed the signing of a memorandum of understanding between the Indonesian Chamber of Commerce and Industry (Kadin) with the Federation of Pakistan Chamber of Commerce and Industry (FPCCI).
The memorandum of understanding is aimed at encouraging businesses of both countries to increase trade and information exchange. Meanwhile, in a business forum and one-on-one business matching, there were more than 100 Pakistani business actors to meet directly and do business with their Indonesian counterparts
"Business actors of both countries could interact and discuss the demanded products," Enggartiasto said.
Indonesia and Pakistan also agreed to establish cooperation in the field of promotion. Such cooperation was marked by a technical cooperation agreement which was signed by the Director General of National Export Development (PEN) at the Indonesian Ministry of Trade, Arlinda, and the Secretary of Trade Development and Authority of Pakistan (TDAP).
The agreement is an initial effort to enhance the trade relations between Indonesia and Pakistan and improve information exchange.
"The information exchange and promotions are the scope of the agreement. Some of which include business opportunity and promotions by encouraging private sector involvement from both countries," Arlinda said.
The trade cooperation between Indonesia and Pakistan was began in 2005 at a signing of Framework Agreement on Comprehensive Economic Partnership. The trade relation with Pakistan is a perspective and an opportunity to develop the Indonesian market.
Indonesia sees there are further opportunities through geostrategic aspect of Pakistan and its neighboring countries in Central Asia.
The total trade between Indonesia and Pakistan in 2016 was recorded at US$2.17 billion, with a surplus for Indonesia of US$1.86 billion.
Meanwhile, the export value from January to November 2017 reached US$2.38 billion or increased by 24.24 percent compared to that in the same period in 2016.
Source: ANTARA News