Agricultural and food companies based in Dubai are eyeing opportunities in Indonesia, the largest economy in Southeast Asia boasting a population exceeding 270 million. With a comprehensive economic partnership agreement (CEPA) already in place between Indonesia and the UAE, Emirati firms are eager to explore the vast potential of the Southeast Asian market. Spearheaded by Dubai Chambers, a delegation of producers and exporters recently embarked on a trade mission to Jakarta, capitalizing on the trade agreement implemented last year.
Among the notable participants were prominent names in the food and beverage sector such as Le Chocolat, Nutridor Dairy Manufacturing, Tamreem Dates Company, and The Açai Spot. Maryna Boyko, sales manager at The Açai Spot, expressed the company’s keen interest in collaborating with Indonesian distributors and retailers, citing the growing awareness of healthy lifestyles among consumers as a driving force behind their expansion efforts. Originating in Brazil, The Açai Spot processes açai before distributing it to Dubai, where it operates açai cafes and welcomes potential Indonesian entrepreneurs interested in franchising opportunities.
Last year, the UAE initiated high-level discussions with Indonesian firms during a trade mission, signaling the interest of Emirati agricultural powerhouse Elite Agro in investing in Indonesia’s food estate project. Although specific details of the discussions were not disclosed by State-Owned Enterprise (SOE) Minister Erick Thohir, he emphasized the mutual benefits of such partnerships amid escalating food prices.
Recent government data underscores the robust trade relations between Indonesia and the UAE, with bilateral trade reaching $5 billion throughout 2023. Notably, trade volume surged by 5 percent in the first two months of 2024 compared to the same period last year, totaling $814.1 million. Under the Indonesia-UAE CEPA, import duties across 94 percent of tariff posts will be gradually eliminated or reduced, further facilitating trade between the two nations.
