IA-CEPA to not only cover trade sector: vice president

IA-CEPA to not only cover trade sector: vice president

Vice President Jusuf Kalla. (ANTARA FOTO/Sigid Kurniawan)

Jakarta, (ANTARA News) - The Indonesia-Australia Comprehensive Economic Partnership Agreement (IA-CEPA) will also cover the investment and service sectors, such as health and education, in addition to the trade sector, Vice President Jusuf Kalla stated.

"The two countries will build partnership that combines service and partnership in sectors attractive for Indonesia, such as the health and education sector, as well as training," Kalla noted at the signing of IA-CEPA in JS Luwansa Hotel here on Monday.

In the service sector, the two countries will explore cooperation in the sectors of mining, energy, iron and steel, finance, vocational and higher education, tourism, health, and agribusiness.

Kalla said investment in the vocational and higher education sector has become one focus of cooperation to improve the quality of human resources.

"The next major agenda for Indonesia is to improve the quality of human resources to make us more competitive. I am waiting for investment in university and training and vocational education in Indonesia," he elaborated.

The vice president has expressed hope that the agreement would enhance bilateral ties and open wider business opportunities for people in both countries.

"IA-CEPA is a different agreement from those we have with other countries. IA-CEPA is based on strategic aims to grow together as neighboring countries," he remarked.

IA-CEPA was signed by Indonesian Trade Minister Enggartiasto Lukita and Australian Trade, Tourism, and Investment Minister Simon Birmingham.

Lukita said the agreement will strengthen economic cooperation between Indonesia and Australia, including in trade, investment, and vocational training.

"It is a precious moment, as after nine years of negotiations, finally the Indonesia-Australia CEPA can be signed," he remarked.

The partnership was first launched in 2010, but it was stalled in 2013 and reactivated in March 2016.

The agreement will eliminate 100 percent of tariff on goods from Indonesia to Australia, and 94 percent of tariff on goods from Australia to Indonesia.

In investment and services, both countries will have greater access, including in the training program.

Reporting by Fransiska Ninditya, Sri Haryati