I Interview

ASEAN-India FTA only a matter of time

Both India and Indonesia share a common cultural background and political ideology, but the bilateral trade took off only after India conceived it's Look east Policy in 1993. But after seventeen years, the bilateral trade was USD 11, 720 million to increase to USD 20 million by 2020. With Indonesia ratifying the India ASEAN Free Trade Agreement, India can hope to finalise the deal soon. And M. Ghalib, Indonesia's Ambassador to India spoke to BE's Priyalina Basu about the relations between the two countries

Andi. M Ghalib

Ambassador of Indonesia to India

Q) What is the progress of the Indo-ASEAN free trade agreement that was scheduled to be finalised in June this year?

A) Indonesia has ratified the FTA on August 24 and the other members too are ready to develop the FTA. The field is all set to take off and it is only a matter of time it will be finalised. All the ASEAN members want a happy and mutual cooperation with India.

Q) Of late, many countries are giving attention to investing in eastern India. Do you have any plan to invest there? If so, what sectors you will concentrate upon?

A) Yes, we are looking at the immense possibilities of eastern and north eastern India. Before visiting Kolkata, we visited to Nagaland and Manipur to explore opportunities. But the main problem is that we do not have sufficient information we had to import it from elsewhere. India can either export jute to Indonesia or set up factories in Indonesia. The Indonesian government also provides infrastructural assistance and cheap labour to the industry if anyone wants to set up industry there.

Q) Apart from jute, what are other areas are looking in eastern India ?

A) Other potential sectors in this part of India are the textile, IT and food processing industries.

Q) It has been said that Indian investment does not create the same concern in Indonesia that Chinese investment does. What, according to you, are the basic differences between the two types of investors?

A) Both India and China are economies that have different styles of investment. All we can say is that both the countries are working well there. Indonesia is trying to build an India, China and Indonesia tie in our country. But of late, China too has given qualitative importance to their products.

Q) What is the present progress of the India- Indonesia cooperation on tsunami early warning technology and climate change research?

A) The progress on tsunami early warning technology including agro-meteorology, air quality monitoring, geophysics instrumentation and climatology and climate change research is really satisfying.We have a strong collaboration with India when it comes to renewable energy sectors.

Q) How are the two countries boosting there defence ties?

A) Keeping the present threat of terrorism in mind, we are seriously thinking of working out defence ties together.