New Delhi: In a significant step toward strengthening ties, India and Indonesia held discussions on trade, defense manufacturing, and education collaboration during the visit of Indonesian President Prabowo Subianto to India. Jaideep Mazumdar, Secretary (East) of the Ministry of External Affairs, provided an overview of the discussions during a special briefing.
Trade Relations: Opportunities for Growth
India and Indonesia currently enjoy robust trade relations, with a total trade volume of USD 30 billion. However, Indonesia holds a significant trade surplus, exporting goods worth USD 24 billion to India while India exports only USD 6 billion. Mazumdar emphasized the potential for India to increase exports in pharmaceuticals, automobiles, and other sectors, aiming to balance the trade equation.
Defense Manufacturing Cooperation
Discussions included the possibility of Indonesia sourcing components for its common defense platforms from India. Collaboration in shipbuilding for Indonesia’s Coast Guard and navy vessels was also explored. To further this agenda, an Indonesian delegation is scheduled to visit India to identify areas of defense cooperation.
Education and Healthcare Initiatives
President Prabowo expressed interest in Indian institutions establishing campuses in Indonesia to provide quality education locally. Additionally, the success of the Indo-ASEAN PhD framework was highlighted, with several Indonesian students currently pursuing higher education in India.
In healthcare, discussions centered around setting up tertiary and specialized hospitals in Indonesia with Indian hospital groups, a move that has received strong support from India.
Sabang Port Development
Mazumdar clarified that while the Indonesian government is open to Indian private sector investment in infrastructure projects like Sabang Port, it will remain a civilian port with no plans for military use.
Strategic Partnership and Vision
Reaffirming Indonesia’s role in India’s Act East Policy and Indo-Pacific vision, Mazumdar called President Prabowo’s visit “timely and important.” The visit featured discussions spanning a wide range of issues, further solidifying the strategic partnership between the two nations.
India-Indonesia CEOs Forum
During the 3rd India-Indonesia CEOs Forum, the co-chairs presented their joint report to External Affairs Minister S. Jaishankar and Indonesian Foreign Minister Retno Marsudi. This event, attended by Prime Minister Narendra Modi and President Prabowo, underscored the commitment to strengthening economic ties.
