JAKARTA, RAKYAT NEWS – Indonesia’s political agreement with the European Union (EU) in the Indonesia-EU Comprehensive Economic Partnership Agreement (IEU-CEPA) is set to significantly expand access to the EU market. According to Budisatrio Djiwandono, Vice Chair of Commission I of the Indonesian House of Representatives (DPR), this agreement provides access to a market of over 450 million people, with the potential to increase trade between Indonesia and the EU, which has already reached $30 billion (around IDR 480 trillion).

Budisatrio emphasized that the IEU-CEPA will open up new opportunities for trade and investment that were previously untapped. He also sees this agreement as a step toward diversifying Indonesia’s trade partners. “This agreement will introduce new trade and investment opportunities and help diversify Indonesia’s trade relations,” said Budisatrio in Jakarta on Tuesday.

The IEU-CEPA is expected to provide significant economic benefits, with the implementation of zero tariffs on approximately 80% of Indonesia’s export commodities. This move is projected to result in a surge in exports by more than 50% in the coming years. “For Indonesia, this agreement strengthens export-oriented industries, creates quality job opportunities, and encourages domestic investment,” Budisatrio added.

The agreement also signals Indonesia’s commitment to building a strategic and mutually beneficial trade relationship with the EU. Under the leadership of President Prabowo Subianto, Indonesia has adopted an approach of collaborative diplomacy in global trade, aiming for fairness and free trade.

Beyond trade and investment, the agreement will improve connectivity between citizens, especially through the EU’s cascade visa policy. This policy will make it easier for Indonesian citizens to obtain multi-entry Schengen visas, opening up more opportunities for education, research, entrepreneurship, and cultural diplomacy in Europe.

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