The late January visit to Tokyo by Indonesian Vice President Muhammad Jusuf Kalla was full of surprises, just as the two nations announced their expectations that a Free Trade Agreement (FTA) would be signed before the end of 2006.
Japan and Indonesia agreed Wednesday to accelerate ongoing bilateral talks aimed at sealing a free trade accord, with the goal of striking a basic accord by mid-2006 at earliest, a Japanese official said.
Indonesia could lose US$400 million in potential export revenues per year if it does not establish a free trade agreement (FTA) with Japan, while most other ASEAN members have done so to complement the region's own free market in 2010, a study shows.
Japan said Saturday it had agreed to accelerate negotiations on separate free-trade pacts with Indonesia, Thailand and the Philippines in meetings held ahead of the inaugural East Asia Summit.
The Indonesian government expects Japan's investment and the value of export by Japanese companies in Indonesia to double in the coming five years, as the first-round negotiation between the Indonesian and Japanese governments on the Economic Partnership Agreement (EPA) has run smoothly.
Japan and Indonesia resumed free trade agreement (FTA) talks in Tokyo Tuesday and hope to conclude an agreement within two years, government officials said.
Australia and Indonesia bolstered trading ties today, which could support efforts by Canberra and Wellington to forge a free trade agreement with ASEAN.