Pakistan, Indonesia to set up trade body

Pakistan and Indonesia have strengthened economic partnership with the signing of a memorandum of understanding (MoU) on the establishment of the Joint Trade Committee (JTC), creating an institutional platform to enhance trade dialogue.

The MoU was signed following high-level talks held on Friday, led by Federal Minister for Commerce Jam Kamal Khan and visiting Indonesian Vice Minister of Trade Dyah Roro Esty Widya Putri, which reflected a shared commitment to deepening economic ties, said a press release issued on Saturday.

The development coincided with a reception hosted by the Consulate General of Indonesia in Karachi in honour of the Indonesian vice minister, which was attended by senior government officials and representatives of the business community from both countries.

During the talks, the commerce minister underscored Indonesia's strategic importance within the Association of Southeast Asian Nations (Asean) and its potential role as a regional hub for fostering trilateral and regional economic cooperation.

He emphasised that Pakistan could serve as a reliable source for minerals, cosmetics, pharmaceuticals and agri-food commodities for the Indonesian market.

The minister also conveyed Pakistan's intention to organise a single-country exhibition and business forum in Jakarta, for which invitations would be extended to Asean member states, aimed at showcasing Pakistani products and strengthening regional business linkages.

Speaking on the occasion, the Trade Development Authority of Pakistan (TDAP) chief executive sought Indonesian facilitation for the early announcement of fruit import quotas, rationalisation of certification requirements for Pakistani exports, notification of rice import quotas and improved market access for industrial-grade potatoes.

Both sides agreed to work jointly on expanding the existing preferential trade agreement, with the shared objective of progressing towards the Comprehensive Economic Partnership Agreement (CEPA) to unlock greater trade and investment opportunities.

Addressing the gathering, the federal minister for commerce thanked the Indonesian side for organising the reception, noting that such engagements provided an important opportunity to project Pakistan's economic strengths, diversity and true image beyond conventional narratives. He said positive developments in bilateral relations deserved wider visibility at both national and international levels.

Highlighting the significance of palm oil in Pakistan's economy, the minister noted that imported edible oil, primarily from Indonesia, formed an essential part of Pakistan's food chain and daily life and appreciated the continued contribution of Indonesian and Pakistani stakeholders to sustain bilateral trade.

He remarked that Pakistan and Indonesia "enjoy deep-rooted relations, strengthened by frequent high-level exchanges, which demonstrate the importance both countries attach to expanding trade and economic cooperation".

In her remarks, the Indonesian vice minister of trade recalled 75 years of diplomatic relations between Pakistan and Indonesia and expressed appreciation for mutual respect and continued cooperation between the two countries.

She reaffirmed Indonesia's commitment to deeper economic ties and trade partnership and welcomed closer cooperation through the newly established Joint Trade Committee.