Brazil, Indonesia mull establishing Indonesia-Mecosur PTA
Santoso discussed the plan with Brazil’s Minister of Development, Industry, Trade and Services Marcio Fernando Elias Rosa in Jaipur, India, recently during a two-day BRICS meeting.
Brazil and Indonesia are mulling over a preferential trade agreement as a first step towards deeper ties and widening market access between Southeast Asia and Latin America, according to Indonesia’s Trade Minister Budi Santoso.
Santoso discussed the plan with Brazil’s Minister of Development, Industry, Trade and Services Marcio Fernando Elias Rosa in Jaipur, India, recently during a two-day BRICS meeting.
“We hope Brazil can help build consensus among Mercosur members and advance negotiations for the Indonesia-Mercosur PTA,” Santoso was quoted as saying by a domestic news agency. Mercosur comprises Brazil, Argentina, Paraguay, Uruguay and Bolivia.
The PTA was proposed after talks on a broader Indonesia-Mercosur comprehensive economic partnership agreement made little progress. Differences among Mercosur members, including views over trade cooperation with Indonesia, have hit talks for the broader agreement, Santoso said.
Brazil could serve as a gateway for Indonesian goods into Latin America, while Indonesia could provide Brazilian exporters access to Asian markets, he said.
Welcoming Indonesia’s proposal, Rosa was open to further discuss on Indonesia-Mercosur cooperation. Brazil will study the proposal.
Bilateral trade between Indonesia and Brazil reached $3.53 billion in the first half this year, with Indonesian exports totaling $1.17 billion.
Fibre2Fashion News Desk (DS)