Pakistan and Indonesia Deepen Ties as Palm Oil Trade Anchors Bilateral Relations

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Pakistan and Indonesia agreed to deepen bilateral cooperation across multiple sectors, with palm oil trade remaining the backbone of economic ties between the two countries. Photo by: Palm Oil Magazine

PALMOILMAGAZINE, ISLAMABAD — Pakistan and Indonesia on Tuesday agreed to further strengthen bilateral relations, expanding cooperation across trade, health, agriculture, information technology, science, and education, while also deepening coordination on regional and global issues, including Palestine.

Speaking at a joint press conference at the Prime Minister’s House in Islamabad, Pakistani Prime Minister Shehbaz Sharif reaffirmed his commitment to boosting economic ties between the two countries. He noted that bilateral trade currently stands at around USD 4.5 billion, with more than 90% dominated by Pakistan’s imports of Indonesian palm oil.

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Shehbaz said Pakistan is ready to work closely with Indonesia to achieve mutually agreed trade expansion targets. He also offered Pakistan’s medical professionals—including doctors, dentists, medical professors, and other specialists—to support Indonesian universities and hospitals.

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“I want to assure you that whatever we can do, we will do without delay,” Shehbaz said, as quoted by Palmoilmagazine.com from brecorder.com on Wednesday (December 10, 2025).

Upon arriving at the Prime Minister’s complex, Indonesian President Prabowo Subianto received a ceremonial guard of honor before commencing official engagements.

Prime Minister Shehbaz also praised Indonesia’s firm stance on the Gaza crisis, saying Jakarta’s support had contributed to ongoing peace efforts. “By the grace of God, the bloodshed has stopped. However, violations of the ceasefire by Israel continue,” he said.

He expressed confidence that President Prabowo’s visit would elevate bilateral relations to a higher level, particularly in advancing peace and development across the region.

In his remarks, President Prabowo thanked the Pakistani government for the warm welcome and described his meeting with Prime Minister Shehbaz as highly productive, resulting in agreements across key sectors including trade, education, agriculture, and science and technology.

“We share common values and interests. We may be the two largest Muslim nations in the world, but our Islam is a moderate one that upholds inclusivity and tolerance,” Prabowo said.

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He also welcomed Pakistan’s willingness to deploy medical personnel to support Indonesia’s healthcare sector, while underscoring the importance of accelerating a more balanced trade relationship between the two countries.

Prabowo said he had instructed his ministers to pursue a practical “rebalancing of Indonesia–Pakistan trade,” including strengthening cooperation in key commodities such as palm oil, which has long served as the backbone of economic relations between the two nations.

Seven MoUs Signed

The two leaders also witnessed the signing of seven Memoranda of Understanding (MoUs) aimed at broadening bilateral cooperation. According to Radio Pakistan, the agreements cover higher education and scholarships, MSME development, national archives collaboration, narcotics control and counter-smuggling efforts, trade and halal certification cooperation, as well as strengthened partnerships in the healthcare sector.

These agreements reaffirm the shared commitment of Pakistan and Indonesia to expanding their strategic partnership, with palm oil trade continuing to serve as a central pillar of bilateral economic relations. (P2)

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