Trade Committee reacts to EU–Indonesia trade agreement

Key Message

Committee chair Bernd Lange and rapporteur Iuliu Winkler described the agreement as a mutually beneficial, rules-based deal that improves market conditions and investment potential and strengthens bilateral and EU–ASEAN relations. They highlighted expanded market access, job creation, sustainable economic growth and the role of the pact in securing critical raw materials supply chains.

Context

After nine years of negotiations the deal removes tariffs on many EU agricultural exports such as dairy, meat, fruit and vegetables while protecting more sensitive products like rice, includes environmental provisions and intends to improve access to critical raw materials. The European Commission projects that EU exporters will save about €600 million a year in duties on goods entering Indonesia.

Implications

The European Parliament will examine the published text and, under the consent procedure, assess its approval as an essential condition for the agreement's ratification, with rapporteurs committing to work on that process.