Jakarta (ANTARA) – The governments of Indonesia and Pakistan are seeking to accelerate the expansion of the Indonesia-Pakistan Preferential Trade Agreement (IP-PTA) into a Comprehensive Economic Partnership Agreement (CEPA).Indonesian Deputy Trade Minister Dyah Roro Esti said the move is aimed at strengthening strategic cooperation in trade and broader economic relations between the two countries.“We are encouraging the acceleration of the expansion of the IP-PTA into a CEPA, which we aim to realize by 2027,” Esti said during a bilateral meeting with Pakistan’s Commerce Minister Jam Kamal Khan on the sidelines of the 8th Pakistan Edible Oil Conference in Karachi on Friday.During the meeting, Indonesia also proposed that technical negotiations begin in early 2026, building on progress achieved under the Indonesia-Pakistan Trade in Goods Agreement, or IP-TIGA, which would serve as a foundation for broader cooperation.“Expanding cooperation toward a CEPA will strengthen the integration of trade in goods, services, and investment in a more comprehensive and sustainable manner,” Esti said.The meeting followed Indonesian President Prabowo Subianto’s visit to Pakistan in December 2025, which resulted in several strategic agreements aimed at deepening bilateral trade cooperation.Bilateral trade between Indonesia and Pakistan reached US$4.1 billion in 2024, marking a year-on-year increase of 24.07 percent, according to official data.From January to November 2025, total bilateral trade exceeded US$3.6 billion, driven mainly by strong Indonesian exports that generated a significant trade surplus.Since the IP-PTA came into force in 2013, bilateral trade between the two countries has more than doubled to surpass US$4 billion.The meeting also witnessed the signing of a memorandum of understanding on the establishment of a Joint Trade Committee, aimed at enhancing bilateral trade, promoting commerce, facilitating information exchange, supporting small and medium-sized enterprises, and addressing standards-related issues and trade barriers.The MoU underscores close coordination between the two governments and business stakeholders, particularly in the vegetable oil and agriculture-based industries.“Palm oil remains a key commodity in Indonesia-Pakistan trade relations,” Esti added.Pakistan is Indonesia’s third-largest export destination for palm oil globally, with imports valued at US$2.77 billion in 2024, accounting for about 12 percent of Indonesia’s total palm oil exports.Indonesia also reaffirmed that its mandatory B50 biodiesel policy will not disrupt palm oil supplies to Pakistan.