Indonesia seeks to ease export tariffs for commodities to EU
Xinhua, February 9, 2016 Adjust font size:
Indonesia will negotiate with the European Union (EU) to reduce taxes for the country's agricultural commodities export to the group's states, a minister said on Tuesday.
Indonesian Trade Minister Thomas Trikasih Lembong said the current export tariffs imposed by the EU, which stands between 8 to 12 percent, hampered the country's competitiveness in the European market with other foreign countries which are required lower tax cuts.
The minister said export tariffs for crude palm oil and cocoa are among the subjects in the upcoming negotiation which he expected to be completed within two years.
Indonesia is the world's largest producer of crude palm oil.
In addition to the crude palm oil and cocoa, the Indonesian government also seeks to lower export tariff of timber, said Minister Thomas.
"We want to smooth the export of our woods and products of wood to European Union and other trade partners," he said.
Other Indonesian products brought into the 28 EU member countries include textile, foot wear, timber, shoes, and food and beverages.
Free trade negotiations between Indonesia and the EU began in 2011 in the form of comprehensive economic partnership agreement or CEPA. Enditem