Indonesia, Uzbekistan Launch FTA Negotiations to Boost Bilateral Trade and Investment
Jakarta, The Gulf Observer: Indonesia and Uzbekistan have formally launched negotiations for a Free Trade Agreement (FTA), marking a significant milestone in efforts to deepen bilateral economic relations.
Indonesian Trade Minister Budi Santoso and Uzbekistan’s Minister of Investment, Industry, and Trade Laziz Kudratov on Monday initiated the talks through a virtual ceremony, during which both sides signed a joint statement to officially commence negotiations. The two ministers also signed an Agreement on Trade and Investment Cooperation.
In a written statement, Santoso described the launch of the Indonesia-Uzbekistan FTA negotiations as a significant step toward strengthening trade and investment cooperation between the two nations.
“Today’s launch of the Indonesia-Uzbekistan FTA negotiations marks a significant step in strengthening trade and investment cooperation between the two countries. We are optimistic that this agreement will be a catalyst for inclusive and sustainable economic growth,” Santoso said.
The initiative reflects the shared vision of both countries to build a closer, open, and sustainable economic partnership amid evolving global economic dynamics. Santoso expressed hope that the FTA would broaden market access for each country’s flagship products, enhance value chains, and create tangible opportunities for businesses, including micro, small, and medium enterprises (MSMEs).
Highlighting Uzbekistan’s strategic importance, the minister noted that the Central Asian nation serves as a key partner in enhancing Indonesia’s regional and global trade connectivity. Uzbekistan’s geographic position could provide a gateway for Indonesian products to access wider regional markets.
Santoso emphasized that Indonesia’s negotiating team would work optimally and constructively to conclude the talks on schedule while safeguarding national interests. He also conveyed appreciation to Kudratov for reinforcing bilateral cooperation through a strong partnership framework.
For his part, Kudratov reaffirmed Uzbekistan’s strong commitment to deepening bilateral ties with Indonesia and advancing mutually beneficial economic collaboration.
Alongside the FTA launch, the signing of the Agreement on Trade and Investment Cooperation includes the establishment of a joint working group. The group will facilitate intensified exchanges of information, knowledge, and technical expertise, identify and implement mutually beneficial projects, and organize joint training programs, meetings, and seminars.
In 2025, total trade between Indonesia and Uzbekistan reached $181.4 million, reflecting a 48.9 percent increase over the past five years (2021–2025). The growth underscores rising confidence among business communities in both countries and highlights the need for a more structured framework to maximize existing economic potential.
