Indonesia makes moves to boost trade ties with UP

Indonesia is exploring trade ties with Uttar Pradesh in the fields of agriculture, education and medical research.

To boost business ties with UP, Indonesian Ambassador in India Andi M Ghalib visited the state recently and held meetings with Governor B L Joshi, industry representatives, Lucknow University and super specialty Sanjay Gandhi Post Graduate Institute of Medical Sciences.

Indonesia is the largest economy in the regional bloc of Association of Southeast Asian Nations (Asean).

“There is a strong potential of trade and business ties with UP, especially in agricultural, education and medical segments,” Ghalib told Business Standard.

He said almost 75,000 tonnes of crude palm oil was being imported to UP from Indonesia every month, which has the potential to rise further.

“We are seeking both inward and outward investment between UP and Indonesia,” he added. The diplomat underlined the possibility of a faculty exchange and joint research in medical education.

India is Indonesia’s fourth largest trading partner. The current level of bilateral trade of about 20 billion dollars is targeted to rise to 45 billion dollars by 2015.

Indonesia’s gross domestic product is estimated to touch one trillion dollars this year.

Ghalib also invited industrialists and investors from UP to participate in an international trade fair later this year in Jakarta. India and Indonesia have signed 33 memoranda of understandings. This, Ghalib said, was “unparalleled” in the bilateral ties between any two nations.

India and Indonesia are the world’s second and third fastest growing economies respectively in the developing world after China.

Indonesia further wants greater ties with the mammoth micro, small and medium enterprises (MSME) sector in UP to develop its domestic industry. India imports crude palm oil, mining, petroleum and paper products from Indonesia and exports refined petroleum products, wheat, rice, sugar and steel to Indonesia.