Indonesia, NZ target US$4 billion trade by 2024

Indonesia and New Zealand have stepped up efforts to reach a two-way trade value of US$4 billion by 2024 with the signing of three cooperation agreements on Monday during the visit of Prime Minister John Key to Jakarta.

“The partnership between Indonesia and New Zealand is very critical from our perspective, Key said in his opening remarks at a business forum in Jakarta. He added that New Zealand saw enormous opportunities for the countries to work together, and not just in terms of trade but investment opportunities as well.

The Prime Minister alongside Indonesian Trade Minister Thomas Lembong witnessed the signing of three memoranda of understanding (MoUs) in aviation, e-commerce and electricity. The agreements will see increased investment opportunities from New Zealand to Indonesia regarding capacity building and technology transfers in those sectors.

“We want to increase our trade from the current value of approximately $1 billion per year to $4 billion,” Thomas told reporters at the event.  

He said existing trade would also expand in the sectors of agriculture and food. Diary is New Zealand’s biggest export to Indonesia, Thomas pointed out. The minister said both countries were also looking to boost trade relations in education, tourism and the services sector.

“The Indonesian and New Zealand economies are so complimentary, it’s remarkable, and I think it’s perhaps for that reason, and a lot of others, the relationship is fairly friction-free,” Thomas said. (dan)