NEW DELHI: SE Asia’s biggest nation Indonesia has decided to purchase rice and sugarNSE 0.57 % from India — a move that will help to reduce trade deficit between the two sides and push trade volume to $ 50 billion by 2025.

The bilateral trade is currently in favour of Indonesia and export of rice and sugar from India will help to bridge trade deficit, ET has learnt.

This decision to import Indian rice and sugar is understood to have been taken by Jakarta in the backdrop of India providing level playing field to Indonesian palm oil by charging same duties on Malaysian palm oil.
 

Ambassador of India Pradeep Kumar Rawat in his opening address reiterated the target of $ 50 billion set for bilateral trade, to be achieved by 2025 and urged the participant companies of both countries to explore means to diversify trade basket through focused items such as bovine meat, sugar and rice. In his inaugural address at the event, Lukita expressed the hope that the multi product road show would lead to greater synergies in trade between the two sides.

During the visit to Jakarta, the APEDA delegation also had discussions with Director General of Foreign Trade of Indonesian Ministry of Trade, Bulog & Pt Berdikari (State Owned Procurement Agencies of Indonesia), and AGRI (Indonesian Refined Sugar Association).

Bilateral trade between India and Indonesia during 2018-19 was $ 21.11 bn and in the context of achieving the target of $ 50 billion set by the leaders of both countries, the visit of APEDA led business delegation to Indonesia is aimed at exports of Buffalo Meat, Rice and Sugar into Indonesian market.