Indonesia and Australia Begin Initial Phase of IA-CEPA Review

RRI.CO.ID, Jakarta – Indonesia and Australia have begun the general review process of the Indonesia-Australia Comprehensive Economic Partnership Agreement (IA-CEPA), according to a written press release from the Ministry of Trade on Monday, September 7, 2026. This phase was marked by the exchange of Stage One Reports, or National Reports, from each country in Canberra, Australia, on August 27, 2026.

The Stage One Report is the first step in the general review process, serving as the basis for both countries to evaluate the implementation of the IA-CEPA during its first five years. This report also serves as the foundation for identifying various areas where economic cooperation between the two countries can be strengthened.

Director General of International Trade Negotiations at the Ministry of Trade, Johni Martha, was present to submit Indonesia’s Stage One Report to the First Assistant Secretary and Chief Negotiator of the FTA Implementation and Stakeholder Engagement Division at the Australian Department of Foreign Affairs and Trade, Ravi Kewalram, and vice versa. During the meeting, Johni urged that future development efforts adopt a “powerhouse” approach.

“Indonesia hopes that the IA-CEPA will bring even greater benefits to both countries. Future cooperation should be directed not only toward increasing trade, but also toward investment, services, and connectivity within global supply chains,” Johni said.

He noted that Indonesia also highlighted its trade deficit with Australia, which remains a key concern in the general review. In response, Ravi emphasized the importance of viewing trade relations more broadly, not solely based on the value of the trade balance, but also by considering the interconnections in the supply chain and the economic benefits generated for both countries.

Additionally, in the Stage One Report, Indonesia raised several new issues that are increasingly relevant to the economic relationship between the two countries. It includes the digital economy, critical minerals, the environment, and food security.

The exchange of the Stage One Report serves as a first step before the two countries continue the general review process through the preparation of the Stage Two Report or Joint Report. The two countries will discuss the findings of their respective reports to identify areas of common ground and new opportunities for cooperation that can be developed to modernize the IA-CEPA.