At the 4th Indonesia-South Korea Joint Commission Meeting (JCM) with Minister of Foreign Affairs Park Jin in Seoul on Friday, Foreign Minister Marsudi highlighted that through the IK-CEPA, both nations had recorded the highest trade value of US$24.53 billion (around Rp366.6 billion) last year.
This figure has increased by 33 percent as compared to the value of bilateral trade between Indonesia and South Korea in 2021.
"However, we still have quite a large room to increase trade, so that we can reach the target of US$30 billion (around Rp448.4 trillion)," Marsudi remarked while delivering an online press statement regarding her working visit to South Korea on Friday evening.
Since the implementation of IK-CEPA earlier this year, over one thousand certificates of origin have been issued to obtain preferential tariffs, with a trade value of US$52.88 million (approximately Rp790.3 billion).
Furthermore, the foreign minister stressed the importance of implementing the 18 project proposals submitted by Indonesia within the IK-CEPA framework, i.e., in the fields of agriculture, health, culture, construction, fisheries, automotive, semiconductors, and information technology, which can increase the capacity of Indonesian producers to meet standards and improve product quality in the Korean market.
"I also ask for Korea's support in accelerating the digitization of the Indonesian manufacturing industry in order to increase the capacity of Indonesian MSMEs," she remarked.
Related news: MPR asks South Korea to ensure IK-CEPA realization
Regarding investment cooperation, Marsudi expressed hope that the Korean private sector would increase investment in Indonesia's strategic sectors, such as the steel industry, petrochemicals, electric vehicle batteries, renewable energy, and development of the archipelago's capital city.
According to Marsudi, the investment cooperation between Indonesia and South Korea can contribute to strengthening global supply chains.
"We also welcome Korea's cooperation commitment to developing the transportation system in Indonesia, including the feasibility study of the Jakarta MRT phase 4 and the Bali LRT, opening the Jeju Air flight route to Bali, and upgrading the Port of Batam," she stated.
Meanwhile, regarding cooperation promoting people-to-people contact, Marsudi pushed for the target of 300 thousand Korean tourists to Indonesia to be increased in line with better handling of the pandemic.
"In this case, I welcome the acceleration of the Korean visa application process, from two weeks to three days. However, I also propose that Korea can grant Indonesian tourists visa-free status for short visits," she remarked.
In the context of HR cooperation, Marsudi welcomed the additional quota of 1,500 people for Indonesian workers in the manufacturing sector in Korea.
She also expressed optimism that Korea would open new sectors for Indonesian workers, such as nurses and deep-sea welding workers.
"I encourage cooperation in developing the capacity of the Indonesian workforce through e-learning, vocational education, and polytechnics, as well as the construction of a Migrant Worker Center in Bekasi," she stated.
Related news: IK-CEPA can raise Indonesia-S Korea trade to US$30 billion in 2022
The implementation of JCM this time is special in a way that it coincides with the celebration of 50 years of Indonesia-South Korea relations.
In their journey, the two countries have had a Special RI-South Korea Strategic Partnership Action Plan for the 2021-2025 period, with a scorecard mechanism to monitor the implementation of various cooperation programs.
Based on the scorecard for 2021-2022, there are 60 collaborative activities in various fields that are going well.
However, Indonesia emphasizes the need for special attention to cooperation in the fields of information and communication technology and sports.
Indonesia also highlighted the importance of the two countries expanding defense cooperation, including through technology transfer.
"I emphasize that collaboration between Indonesian state owned-enterprises (BUMN), such as PT PINDAD, PT DI, and PT PAL with partners in Korea needs to be continuously strengthened," she affirmed.
Related news: IK-CEPA a boost for Indonesia, S Korea relations: deputy minister
Translator: Azis Kurmala, Yashinta D
Editor: Yuni Arisandy Sinaga
Copyright © ANTARA 2023
