1MG FlippingBooks
Blog Post
Indonesia trade agreement to boost $2.5bn export market
Elizabeth Gracie
Farmers are set to reap the benefits of the Australia-Indonesia Comprehensive Economic Partnership Agreement (IA-CEPA), which will officially commence on July 5th, following nearly a decade of negotiations.
Under the agreement, nearly all Australian agricultural commodities will be able to enter Indonesia duty and quota-free, which will significantly increase trade access between the two countries.
Indonesia is one of the fastest-growing economies in the Indo Pacific, with its economy estimated to be one of the world’s largest by 2030. In 2018/19, the total two-way trade in goods and services with Indonesia was worth $17.8bn. From that figure, Australian agricultural exports accounted for $2.5bn.
The IA-CEPA trade agreement positions Australia to take a share of Indonesia’s economic growth.
The Australian Government Department of Foreign Affairs and Trade (DFAT) hopes that the IA-CEPA will create a framework for Australia and Indonesia to “unlock the vast potential of bilateral economic partnership, fostering economic cooperation between businesses, communities, and individuals”.
This move will also provide Australians with a greater range of international produce on supermarket shelves.
National Farmers’ Federation (NFF) president Fiona Simpson notes that “The IA-CEPA agreement will provide Australian farmers with exceptional access to one of the most important markets in the world”.
This will include increased shipments of cattle, beef, sheepmeat, dairy, sugar, fruit, vegetables, and honey.
The IA-CEPA agreement will also allow for an increased quota for Australian cattle to be exported to Indonesia with duty-free access for 575,000 head of live male cattle per year according to the NFF. This will then continue to grow at an estimated four percent per year to 700,000.
Simson says “this is a historic day for Australian agriculture, the Australian government and Trade Minister Birmingham in particular, should be commended for their achievement”.
The IA-CEPA agreement “will mean that 99 percent of Australian goods (by value) will enter Indonesia duty-free or under significantly improved preferential arrangements” said Federal Minister for Trade, Tourism and Investment, Simon Birmingham.
NEWS
Following from another record year for beef production and exports, we anticipate opportunities for Australian beef to continue into 2025, especially in markets like the US which is in a cattle herd rebuild and was our number one export destination for beef in 2024.
Cutting-edge mobile technology is revolutionising on-farm decision making, but what makes agtech especially successful is when it complements farmer knowledge and links with on-farm practices, in a user-friendly manner.
Trace elements play a crucial role for Australian livestock producers. Long-Acting trace element bolus improves productivity, fertility, health and profitability. One dose, complete peace of mind.
The next-gen Mitsubishi Triton ute is the latest incarnation in an evolution of tough, reliable vehicles, that began in 1937.
Cattle producers are reaping the benefits of improved herd fertility, increased weight gain, and fewer stock losses thanks to strategic supplementation with trace minerals
Some milestones are marked with fanfare – others with piles of freshly picked colourful spring produce, protein-packed prime cut lamb, pork and beef; fresh catch seafood; creamy white mould cheese, pasture-reared eggs or pure honey. All that’s fresh and farm direct and destined to mark the 25 th Year of Australia’s vibrant farmers’ market sector.
A selection of The Australian Farmer Sponsors - Click on a banner below to find out more...
CONTACT US
Phone: +61 2 9884 9660
solutions@onemandate.com
LET’S CONNECT
SIGN UP FOR OUR NEWSLETTER
