The Indonesian-European Union Comprehensive Economic Partnership Agreement (I-EU CEPA) meeting took place in September 2022 in Nusa Dua, Bali Province, Indonesia with the objective of finalizing the a
Palmoilmagazine.com, JAKARTA - The European Union Deforestation Regulation (EUDR) is expected to come into effect in May 2023, and it is closely related to the Indonesia-European Union Comprehensive Economic Partnership Agreement (IEU-CEPA).
The Coordinator Ministry in the Indonesian Republic's Economy provided updates on the progress of the IEU-CEPA cooperation during negotiations held in Bali on September 22, 2022. The aim of these negotiations was to accelerate the achievement of a successful agreement and enhance economic cooperation between Indonesia and the European Union.
At the G20 Trade, Industry, and Investment Ministerial Meeting in Bali, the Coordinator Minister in Economy, Airlangga Hartarto, engaged in a bilateral meeting with Valdis Dombrovskis, the Executive Vice-President Commissioner for Trade, at the Sofitel Hotel in Nusa Dua, Bali Province.
In the meeting both parties came to a conclusion to encourage the accomplishment negotiation of I-EU CEPA.
For information, EU is one major trade partner for Indonesia but the bilateral trade and investment between the two did not reflect the real potential. The trade between Indonesia and EU in 2021 reached US$ 29,03 billion. It increased compared to 2020 that reached US$ 23,26 billion. In January - July 2022, the trade reached US$ 18,59 billion or increased 20% from the same period in the previous year that reached US$ 15,52 billion. That is why it is significant to accomplish negotiation acceleration of I-EU CEPA for it would encourage trade transaction and deliver advantages for Indonesia and the members of EU.
“The leaders from both parties have strong commitment to immediately accomplish every issue that obstacles I-EU CEPA negotiation namely in the technical level by involving many stakeholders,” Airlangga said, as in the official statement to Palmoilmagazine.com.
The meeting also discussed about policy proposal by EU which runs through Green Deal Strategy, particularly about Deforestation Free Supply Chain (DFSC), proses trade barriers in World Trade Organization (WTO) and EU, Commodity Trade, and halal certification.
In that moment, Airlangga also emphasized that Indonesia observed what UE would do about the implementation of Green Deal Strategy and Carbon Border Adjustment Mechanism that would influence trade aspects among Indonesia and EU members, and its implementation.
The question remains, what about I-EU CEPA after EUDR implements? (T1)
