Minister of Trade Zulkifli Hasan alias Zulhas together with Secretary General of the Gulf Cooperation Council (GCC) Jasem Mohamed AI Budaiwi officially launched the Indonesia-Gulf Cooperation Council Free Trade Agreement (I-GCC FTA) Negotiations. The launch of these negotiations was marked by the signing of the Joint Statement on The Launching of The Negotiation on The Free Trade Agreement between The Republic of Indonesia and The Gulf Cooperation Council at the Ministry of Trade Office on Wednesday, (31/7/2024).
“I am very happy today, even though we have not succeeded (in completing the agreement) but we have started (negotiations). I once again express my highest appreciation for the arrival of His Excellency the Secretary General of the GCC,” said Zulhas in his remarks.
“From the bottom of my heart, I sincerely invite us together, there are Ambassadors (of GCC countries) and His Excellency (Secretary General of the GCC), to immediately complete one that can increase our trade in this agreement,” he explained again.
Zulhas said that so far Indonesia and the Arab countries that are members of the GCC have had a long historical relationship, but minimal cooperation. Therefore, this agreement is considered to be a new step for both parties to be closer.
“We have a long historical relationship, but the trade relationship is minimal. During my two years as Minister of Trade, I have been to Saudi Arabia 5-6 times, 5 times to the UAE, 2 times to Qatar, Oman and Bahrain have not, Kuwait has not. But I really want us to strengthen and expand our trade relations,” he said.
He said that this cooperation could later have a good impact on both parties, because both Indonesia and the GCC have very large economies.
In line with that, Jasem Mohamed AI Budaiwi said that the newly signed I-GCC FTA agreement could have a positive economic impact on both parties.
“This is a very historic day for Indonesia and the Gulf countries (GCC), where we have signed a trade agreement between the two countries. Your Excellency, the Minister, with this agreement, it can bring goodness to both countries, especially in the economic sector,” he said.
“(Through this negotiation agreement) We from the GCC and Indonesia will discuss important matters together. There are several things that we want to convey, including trade in goods, trade in services, customs, Islamic economics. We want to underline that this trade agreement emphasizes Islamic economics,” explained the GCC Secretary General again.
For information, the GCC is an economic and political cooperation alliance consisting of six countries, namely Saudi Arabia, the United Arab Emirates, Kuwait, Bahrain, Oman, and Qatar.
Meanwhile, in the January-May 2024 period, total trade between Indonesia and the GCC had reached US$ 6.2 billion. Of that amount, Indonesia’s exports to the GCC were recorded at US$ 2.7 billion, while Indonesia’s imports from the GCC reached US$ 3.5 billion. In 2023, total trade between Indonesia and the GCC reached US$ 15.7 billion. Of that amount, Indonesia’s export value was recorded at US$ 6.1 billion, where Indonesia’s main export commodities include cars and motor vehicles, palm oil, jewelry, lightships, paper, and uncoated cardboard. Indonesia’s imports were recorded at US$ 9.6 billion, with the main non-oil and gas import commodities including semi-finished products from iron or non-alloy steel, acyclic alcohol, sulfur, polymers from ethylene, and unwrought aluminum.
July 31, 2024, detikFinance
(https://finance.detik.com/berita-ekonomi-bisnis/d-7466802/sah-ri-teken-perjanjian-kerja-sama-dagang-dengan-6-negara-arab)