The Delegation of the European Union (EU) to Indonesia conducted today (9 March) a virtual working visit to Central Java to discuss bilateral trade and investment opportunities with stakeholders in the province. 

The Central Java Provincial Government has introduced a number of measures to facilitate investment licensing and accelerate infrastructure projects in the province. The EU Ambassador to Indonesia Mr. Vincent Piket said, “The EU is very supportive of Indonesia in its efforts to increase trade and investment, especially in Central Java. The province has untapped potential for greater trade and investment with Europe. The Comprehensive Economic Partnership Agreement between Indonesia and the European Union (IEU-CEPA), currently being negotiated, will increase trade and investments, contributing to job creation and economic development in Indonesia.”

“For over 30 years, the EU has partnered with Indonesia to address joint priorities including in trade and investment areas. Last year the EU launched the 5-year ARISE+ Indonesia Trade Support Facility programme (EUR 15 million). The programme gives technical support to the Indonesian government and to companies to improve their export capacity and to meet the rules and standards for international trade,” said EU Ambassador Piket.

During the virtual working visit, the EU Delegation, in cooperation with the Central Java Provincial Government and the Chamber of Commerce and Industry (KADIN) Central Java, organised a panel discussion on the benefits of the CEPA. The panel presented;

  • Marika Jakas, Head of Trade and Economic Section at the EU Delegation to Indonesia
  • Ni Made Ayu Marthini, Director Bilateral/Negotiation, Ministry of Trade
  • Wahyuni Bahar,  Chairman of the Standing Committee for Multilateral Institutions and Free Trade Agreements, KADIN Indonesia
  • Wichard von Harrach, Vice Chairman of the European Chamber of Commerce in Indonesia (EuroCham).

A session was also held to discuss the potential for exports to European countries, presenting;

  • Dr Prasetyo Ariwibowo, Regional Secretary (Sekda) Central Java Province
  • Galih Saksono, President Director,  Batang Integrated Industrial Park,
  • Kukrit Suryo Wicaksono, Chairman of KADIN Central Java.

The discussion revealed a huge potential for investment in Central Java, especially in industrial areas. Demand for furniture, manufactured, agricultural and other products in the European Union is expected to increase in the next few years driven by the post-pandemicrecovery. With a large customer base and high purchasing power, the European Union is an attractive option for Central Java to expand and diversify its export market.


Delegation of the European Union to Indonesia

The event ended with a presentation session on the success stories of domestic companies in exporting to the European Union and the potential benefits of CEPA in an export-oriented industry in Central Java, with Mr. CK Song, CEO of KMK Group (PT Selalu Cinta Indonesia, Salatiga) as the speaker.

The EU continues to enhance its relations and cooperation with the Indonesian government. Previously, the business event to Maluku had taken place at the end of 2020 and after Central Java, the EU Delegation will visit the provincial governments of South Sumatra and East Kalimantan.

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