The first round of negotiations between Chile and Indonesia in order to reach an FTA, came to an end. According to the director of DIRECON, Andrés Rebolledo, this would allow Chile to become a hub for Indonesian exports in South America.
The Chilean official also said that once they achieved the treaty, Chile would become the first non-Asian country in the world to have a bilateral trade agreement granting preferential market access to Indonesia, the biggest economy in Southeast Asia.
According to the Department of Studies of DIRECON, the Asian country recorded an 18% annual average growth of imports between 2009-2013, with a strong demand for agricultural products. There are high expectations for the forestry and agricultural products such as blueberries, plums, peaches and raspberries
According to Rebolledo, the agreement would allow Chile to diversify its export offer towards Indonesia by including fresh fruits (apples, cherries, kiwis and avocados) and dry fruits (almonds, raisins, pistachios, hazelnuts and chestnuts), among others.
At this early stage of negotiation, the parties committed to advance in the trade-related goods and held discussions on possible areas of cooperation such as the promotion of investment, information and communication technology, small and medium enterprise, science and innovation, energy, logistics and international transport.
"Indonesia and Chile are committed to moving the negotiations as quickly as possible in order to conclude the agreement and bring it to the legislative process in both countries so it can be enforced as soon as possible," said Rebolledo.
Bilateral trade between Chile and Indonesia surpassed U.S. $400 million in 2013, according to data released by the DIRECON. Chilean exports to Indonesia amounted to $230.9 million and imports to $173.7 million.
Last year, Chilean exports to Indonesia increased by 32% over the previous year.
Source: Marcotradenews.com