Jakarta: Indonesia and Chile has exchanged the instruments of ratification of the Indonesia-Chile Comperensive Economic Partnership Agreement (IC-CEPA).
The ceremony was held at the Trade Ministry in Central Jakarta on Tuesday morning. The event was attended by Indonesian Trade Minister Enggartiasto Lukita and Chilean Vice Trade Minister Rodrigo Yanez Benitez.
"IC-CEPA will be a historic momentum. It will be our first trade agreement in South America," Enggartiasto told journalists during the meeting.
"Chile has a strategic geographic position. It acts as a gateway to the region," Enggartiasto added.
According to the agreement, IC-CEPA will be effective on August 10, 2019. Before the ceremony, the NasDem politician held a bilateral meeting with his Chilean counterpart.
The trade balance between Indonesia and Chile stood at US$274.1 million in 2018. Indonesia recorded a surplus of $43.87 million last year.
Indonesia’s trade balance recorded a USD2.50 billion deficit in April 2019. The main contributors were non-oil and gas as well as oil and gas trade deficits.
The non-oil and gas trade deficit stood at USD1.01 billion in April 2019 after recording a USD1.05 billion surplus the month earlier. The reversal stemmed from a decline of non-oil and gas exports from USD12.98 billion in March 2019 to USD11.86 billion in the reporting period, held back by jewellery/gems, animal/vegetable fats and oils, as well as mineral fuels.
The oil and gas trade deficit was recorded at USD1.49 billion in April 2019, increasing from USD0.38 billion the month earlier. The wider deficit was explained by a growth surge of oil and gas imports from USD1.52 billion in March 2019 to USD2.24 billion in April 2019.
Cumulatively from January-April 2019, therefore, Indonesia’s trade balance experienced a USD2.56 billion deficit.