Australia, Indonesia wrap up talks on free trade agreement

Bloomberg

Indonesia and Australia announced the conclusion to talks on a free-trade deal as the Pacific neighbours attempt to boost economic ties.
In his first overseas trip since becoming Australia’s prime minister, Scott Morrison met with President Joko Widodo in Bogor, outside the capital Jakarta, where
they committed to finalising the Indonesia-Australia Comprehensive Economic Partnership Agreement. The two also signed memoranda of understandings on transport, the creative economy and cyber security cooperation.
Both Morrison and Indonesian Trade Minister Enggartiasto Lukita told reporters the IA-CEPA, an agreement years in the making, would be signed by November.
“Now we need to work on the legal scrubbing and the translations in two languages, which will be completed and signed this November. But there will be no more negotiations.” Lukita said.
Although the deal was negotiated at the direction of previous prime minister Malcolm Turnbull, who lost the leadership in a ballot of ruling Liberal party lawmakers last week, it will be seen by the business community as a sign of continuity under Morrison.
Talks to start the pact began in 2010 before stalling amid diplomatic tensions; they were revived in March 2016, and have had to overcome key hurdles including Australia’s push for more beef imports into Indonesia and removal of barriers and tariffs on Indonesian products such as paper and palm oil.
A target to complete the deal in 2017 was missed. That year, two-way trade of goods between the nations was A$11.2 billion, making Indonesia Australia’s 14th-largest trading partner.
Under the agreement, Australian farmers will be able to export 500,000 tonnes of feed grains such as wheat into Indonesia tariff free.
Australian industrial producers of steel, copper and plastics also stand to benefit, along with service industries including health, mining, telecommunications, tourism and education.