Jakarta,
March 27, 2018 (Antara) - Celebrating six decades of diplomatic relations,
Indonesia and New Zealand have agreed to upgrade bilateral ties to the
level of comprehensive partnership in various fields including economy,
education, and disaster mitigation.
The
agreement was reached during President Joko Widodo's state visit to New
Zealand on March 18-19, 2018. The visit, undertaken at the invitation
of Prime Minister of New Zealand Jacinda Ardern, was the first by an
Indonesian leader in 13 years.
President
Widodo and Prime Minister Ardern highlighted the importance of the 60th
anniversary of formal diplomatic relations between New Zealand and
Indonesia that were built on the solid foundation of people-to-people
contacts and had blossomed into one of the most valuable relationships
for both nations.
Hence, it was fitting that President Widodo's
visit to New Zealand also marked the elevation of bilateral relations to
the level of comprehensive partnership, according to a joint statement
issued following a bilateral meeting between Widodo and Ardern in
Wellington on Mar 19.
The
two leaders also reaffirmed the commitment to increase two-way trade to
US$2.9 billion (Rp40 trillion) by 2024. They emphasized that an open,
stable, and conducive business environment is the key to achieving this
goal.
They
also welcomed the two-way growth in trade and services and affirmed the
importance of increasing investment to support mutually beneficial
growth, boost productivity, and increase meaningful job opportunities.
Moreover,
Prime Minister Ardern praised the New Zealand-Indonesia business forum
held in Auckland on March 16, 2018, and President Widodo's in-depth
discussions with business CEOs from New Zealand. Both leaders believe
this would contribute to the deepening of two-way trade and investment
links.
The
business forum was divided into two sessions, with the first moderated
by Head of Indonesia's Capital Investment Coordinating Board Thomas
Lembong.
Indonesian
Ambassador to New Zealand Tantowi Yahya, the chief of the Indonesian
Chamber of Commerce and Industry, and business executives from companies
operating in the pharmaceutical, palm oil, food, and geothermal sectors
were among those present at the forum.
New
Zealand's delegation at the meeting comprised 29 members: government
officials and CEOs from the animal husbandry, tourism, and energy
sectors.
Indonesia
has successfully clinched a potential business deal worth $5.4 million
during the business forum, Director of National Export Development at
the Indonesian Ministry of Trade Arlinda noted in a statement.
Arlinda
led the Indonesian trade mission that began in Auckland on March 16,
2018, and ended in Wellington on March 19, 2018.
Huge
potential transactions were recorded from negotiations on coffee,
fertilizers, and palm oil derivative products.
Ambassador
Yahya lauded the potential trading recorded in the one-on-one business
matching event. Yahya is optimistic that the demand for Indonesian
products would be high in the New Zealand market.
"I
am proud that this first trade mission to New Zealand has succeeded in
recording huge potential transactions. This is a good step for the two
countries to achieve a total trade of Rp40 trillion by 2024," Yahya
stated.
Indonesia's bilateral trade with New Zealand in 2017 had increased by 15.72 percent to $1.19 billion compared to 2016.
In
2017, Indonesia's total exports to New Zealand had amounted to $437.8
million, or 1.09 percent of New Zealand's total imports. On the other
hand, New Zealand's total exports to Indonesia were valued at $751.1
million, or 0.47 percent of Indonesia's total imports.
Most
of Indonesia's products exported to New Zealand are palm nut or kernel
oilcake, wood for furniture, coal, and facial tissues.
Meanwhile,
both leaders also reaffirmed their commitments under the New
Zealand-Indonesia Joint Communiqué on Combatting Illegal, Unreported and
Unregulated Fishing and Promoting Sustainable Fisheries Management,
which was signed in 2016.
Prime Minister Ardern also confirmed
New Zealand's interest in participating in the 5th "Our Ocean"
conference, to be held in Indonesia in October 2018.
Indonesia and New Zealand are committed to increasing two-way education
links. Jokowi and Ardern highlighted the cornerstone contribution that
people to people connections provide in building a relationship that is
as enduring and robust as that shared by New Zealand and Indonesia.
In the tourism field, they saw an increase in the numbers of New
Zealand citizens travelling to Indonesia, and Indonesian citizens
travelling to New Zealand.
Both leaders noted the prospects
for future growth with the addition of new Bali-Auckland direct flights
in 2018. This would add significantly to travel between the two
countries, as well as increase freight options.
Furthermore, Indonesia
and New Zealand agreed on the extension to the Memorandum of
Cooperation on Disaster Risk Management between the National Disaster
Management Authority of Indonesia and the New Zealand Ministry of
Foreign Affairs and Trade.
Ardern
announced funding for two new development projects: a NZ$4.5 million
three-year project that will enable the Indonesian Red Cross to respond
more effectively to disasters; and a NZ$3.5 million five-year project to
develop a network of skilled young civic leaders, with a commitment to
sustainable development in Eastern Indonesia, through participation in a
New Zealand-based leadership programme.
While
attending a state luncheon hosted by New Zealand Governor-General Dame
Patsy Reddy at the Government House, Wellington, President Jokowi
promoted Indonesian coffee to the host and other guests.
As a former businessman, Jokowi explained that his entrepreneurial
instincts immediately surfaced upon hearing that New Zealanders are fond
of drinking coffee.
Indonesia is among major coffee producing countries, after Brazil, Vietnam, and Colombia.
According to data of the Trade Ministry, Indonesia has produced an
average of 691 thousand tons of coffee per year, while Brazil produced
2,905 thousand tons; Vietnam, 1,650 thousand tons; and Colombia, 840
thousand tons.
The
country is currently aiming to become the second-largest coffee
producer by increasing production to one million tons a year.
Indonesian
Trade Minister Enggartiasto Lukita believed that New Zealand is a very
potential market for Indonesia's coffee. ***3***
(F001/INE)
EDITED BY INE
(T.F001/A/BESSR/F. Assegaf) 27-03-2018
