“I asked President Prabowo Subianto why two large countries like Indonesia and Brazil, which together represent nearly 500 million people, only have trade worth $6 billion. That number is too small for both nations,” Lula said during a joint statement at Merdeka Palace in Jakarta.
In 2024, Indonesia ranked as the fifth-largest market for Brazilian agribusiness exports. However, Lula noted that this figure is modest given the size and potential of the two countries.
“Indonesia and Brazil are the fourth and seventh most populous countries globally, with a combined population of nearly half a billion,” he added, emphasizing his commitment to deepening economic ties between the two strategic global players.
Since President Prabowo’s visit to Brazil in July, Lula said cooperation has expanded, including improved market access for Brazilian exports to Indonesia.
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Beyond agriculture, Lula highlighted promising trade opportunities in value-added goods, especially defense, citing Brazil’s advanced military industry and readiness to support Indonesia’s Air Force requirements.
In energy, the two countries discussed cooperation on managing critical mineral resources vital for the clean energy transition.
Mining collaboration will be strengthened through a recently signed memorandum of understanding between their energy ministers.
Both leaders also agreed to accelerate negotiations on a Preferential Trade Agreement (PTA) between Mercosur and Indonesia, aiming to finalize it before Brazil’s presidency ends in December.
Lula’s visit to Jakarta from October 22–24 is part of his Southeast Asia tour and marks his second state visit to Indonesia since 2008.
At Merdeka Palace, the presidents held several meetings, including a private tête-à-tête, a bilateral government meeting, and the issuance of a joint statement.
Related news: Brazil's Lula calls Indonesia strategic partner in the Global South
Translator: Resinta Sulistiyandari
Editor: Rahmad Nasution
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