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IUAE-CEPA fourth round results in substantial agreements

Antara | 2 March 2022

IUAE-CEPA fourth round results in substantial agreements

Jakarta (ANTARA) - The 4th round of negotiations under the Indonesia-United Arab Emirates Comprehensive Economic Partnership Agreement (IUAE–CEPA) resulted in substantial agreements for both countries.

"I congratulate both sides. After six months of negotiations, the IUAE-CEPA negotiations could be resolved substantively on February 27, 2022," Director General of International Trade Negotiations at the Trade Ministry Djatmiko Bris Witjaksono remarked here on Wednesday.

The 4th round of negotiations for IUAE-CEPA were held from February 24–27, 2022 in Yogyakarta. The Indonesian delegation at the negotiations was led by Witjaksono and the UAE delegation by Assistant Undersecretary for International Trade Affairs Sector Juma Mohammed Al Kait.

The IUAE-CEPA negotiations were initiated on September 2, 2021, in Bogor, West Java, and Indonesia and UAE have remained committed to completing them within one year, before the closing of Expo 2020 Dubai in March 2022, Witjaksono said.

The fourth round of IUAE-CEPA focused on resolving issues that still needed further discussion such as trade in goods and services, provisions of origin of goods, as well as legal and institutional issues, he informed.

Delegations from the two countries showed high flexibility but prioritized and secured national interests, making the negotiations run smoothly and constructively, he said.

"In addition to being the first trade negotiations to be successfully completed in 2022, the IUAE-CEPA agreement is Indonesia’s first agreement with partners in the Gulf Region, and historically the fastest CEPA Indonesia ever concluded," Witjaksono explained.

UAE is not only one of Indonesia’s nontraditional export destinations but also has the potential to become an international trade hub in the Middle East, Asia, Africa, and Europe, he said.

IUAE-CEPA is expected to increase the growth of trade and investment between the two countries and support national economic recovery amid the COVID-19 pandemic, he added.

Moreover, IUAE-CEPA is the first Comprehensive Economic Partnership Agreement to cover the Islamic or sharia economy sector, he said.

The development of cooperation in the IUAE-CEPA’s Islamic economy chapter covers seven sectors: raw materials, food and beverages, medicines and cosmetics, Muslim clothing, Muslim-friendly tourism, Muslim-friendly media and recreation, and Islamic finance, he noted.

In addition, the sharia economy chapter also regulates mutual recognition between the two countries in the field of halal certification, he said.

 source: Antara