To Reduce the Export Trade Barrier, Indonesia – Turkey Did Negotiation for the Second

To Reduce the Export Trade Barrier, Indonesia – Turkey Did Negotiation for the Second

InfoSAWIT, ANKARA– According to Ministry of Trade, the total trade between Indonesia– Turkey in 2017  reached US$ 1,7 billion. Turkeyis the 28th non – oil and gas export country for Indonesia. In  2017, the exports from Indonesia toTurkeyreachedUS$ 1,2 billion. The main exports were rubber, textile, and crude palm oil. WhileTurkeyis the 33rd non oil – and gas import country for Indonesia. In 2017, the total importsof Indonesia fromTurkeyreached US$ 534,1 millionwithin the main products, such as, steel, tobacco, chemical ingredients, and cotton. While the investment from Turkeyin Indonesia reached US$ 1,5 million.

So it is important to do trade negotiation because Indonesia-Turkey Comprehensive Economic Partnership Agreement(IT-CEPA) had come to the second phase. It was done on 28—30 May 2018 in Ankara, Turkeyand it was one effort from Indonesia to increase the exports to Turkey.

Director of Billateral Negotiation, Ministry of Trade, Ni Made Ayu Marthini, said, the IT-CEPA negotiation was in the second phase. It means that both countries would be discussing the trade barriers from the access markets. Besides it was also about the regulation of the trade, such as, where the goods were from, the facility and tax issues, the improvement to trade, the other technical barriers, sanitary, and phytosanitary, and legal issues.

In the second phase negotiation, Indonesia andTurkeywould facilitate the term of reference (TOR), the modal access, and the documents of agreement. The market access modality negotiation would reflect the commitment, the content of negotiation, and liberality to be agreed.

Made also said, one goal of the negotiation is to eliminate the trade barriers, both in the tariff and non-tariff level. Its goal is that Indonesia would have been in the same level with other competitiors. “It is believed that the trade barrier would influence the exports from Indonesia to Turkey which substantially decreased in the last five years,” he said in the official statement to InfoSAWIT.

For information,Turkeyis one of the most active country making negotiation within the free trade agreement (FTA). Turkey has made 21 implemented agreements and 10 processing negotiations. “The products from Indonesia would have issue to compete in Turkey if facing the high tariff and antidumping policy or safeguard,” he said. (T2)


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