Indonesia, through its Kementerian Perdagangan (Ministry of Trade), is actively expanding its export reach into Latin America by leveraging Comprehensive Economic Partnership Agreements (CEPAs) with Chile and Peru. According to Director General of International Trade Negotiations, Djatmiko Bris Witjaksono, these trade agreements play a strategic role in strengthening Indonesia’s competitive edge for key export sectors such as footwear, automotive and palm oil derivative products. He notes that Chile and Peru are crucial partners in Latin America and that the CEPAs provide Indonesia with broader market access and a stronger positioning in a challenging global economic environment. 

In the case of Chile, export tariffs for about 90 percent of Indonesian products have dropped to zero since the CEPA came into effect. Between 2021 and 2024, Indonesian exports to Chile grew by approximately 15.54 percent, reaching USD 339.88 million in 2024 and yielding a trade surplus of USD 203.3 million. For the three priority product groups: in the footwear industry, tariff cuts have opened up significant opportunities for small and medium enterprises via HS code 64 products. In the automotive sector, Indonesian-made vehicles are already present in Chile and Peru, and further expansion efforts include electric vehicles. Meanwhile palm oil derivatives like shortening, margarine and cooking oil are expected to capture significant market share given these Latin American countries’ limited palm-oil plantation base and growing demand for more efficient and healthy oils. 

Source: https://www.kabarbursa.com/makro/ri-genjot-akses-pasar-amerika-latin-tiga-produk-ini-jadi-fokus