(AseanAll) — Umesh Pandey, the Thailand Trade Representative （TTR） who is responsible for handling of the Asean market as per the directives of Thai Prime Minister Paetongtarn Shinawatra, held various meetings in Jakarta (Indonesia) as part of the move to help boost trade and investments between the two largest economies of Asean group.
The meetings were aimed at boosting the 2-way trade between the two countries which stood at just US$ 18.24 billion as of 2024, which is lower than those with Malaysia and Vietnam respectively. As for investments, some of Thailand’s leading companies such as Siam Cement Plc, Banpu Plc, Lanna Resources Plc, PTT Plc, Thai Oil Plc and Bangkok Bank Plc are among the largest investors who have invested in Indonesia’s growing economy.
During the visit between April 21-25, Umesh held meetings with Deputy Minister of Investment Promotion, Mr. Nural Ichwan, Deputy Minister for Investment Promotion at Ministry of Investment/Indonesia Investment Coordinating Board (BKPM) and key executives of the newly formed US$900 billion sovereign wealth fund – Danatara.
Mr. Nural and Danatara expressed their keen interest for Thai companies to participate in the various development projects in Indonesia with the emphasis on health care, pharmaceutical, renewable energy, housing, infrastructure, IT, technology and automotive. Mr. Umesh assured that he would talk to Thai investors and encourage them to take a closer look at the potentials of Indonesian market.
Mr. Umesh also held meetings with Indonesia’s Ministry of Trade with the delegation led by Dyah Roro Esti Widya Putri, Vice Minister of Trade for Indonesia, where both sides agreed to raise the trade numbers and allowing greater access to goods & services, especially agricultural produce.
The 2 sides also agreed to hold direct talks on issues that are hurdles to possible raising of the trade numbers. The Indonesian side also agreed that Thailand should increase its trade value to more than the current US$ 18.24 billion by making it a trading partner higher than Malaysia and Vietnam.
Apart from this the Thai side negotiated to purchase more rice from Thailand and invited Ms. Dyah Roro to lead a delegation of Indonesian businessmen to attend Thaifex, which will be held from May 27-31, 2024.
Regarding the impact from the United States imposing universal tariff on goods entering the US market, there was a unanimous agreement in the various meetings that Asean grouping needs to have a unified voice.
Industry body such as Indonesian Chamber of Commerce & Industry (KADIN), also agreed that in the current environment, issues that are impediment to raising trade & investment should be put aside and both Thailand and Indonesia should cooperate to overcome the impact from the tariff war.
Umesh and KADIN agreed that business matching needs to be undertaken to mark the 75th anniversary of the diplomatic relations between Thailand and Indonesia when the respective leaders visit each other’s country.
