Submissions to the General Review of the Indonesia-Australia Comprehensive Economic Partnership Agreement (IA-CEPA)

A joint submission to the IA-CEPA General Review, produced by Professor Jennifer Westacott AC, Australia's Business Champion for Indonesia, and Dr William Sabandar, Chief Operating Officer of the Indonesian Business Council (IBC), and endorsed by the Business Council of Australia (BCA).

Since IA-CEPA entered into force in July 2020, two-way trade between Indonesia and Australia has almost tripled, reaching AUD 35 billion in 2024-25. With both governments now undertaking a General Review of the agreement, this submission sets out priority areas for that review to consider as the two countries work to deepen the bilateral trade and investment relationship, drawing on concerns and recommendations raised by Indonesian and Australian business and government representatives.

It is organized across six themes: labour market access, vocational training, and talent mobility, including recommendations on the Engineering Mutual Recognition Agreement and the Skills Development Exchange Pilot; the regulatory environment, covering import permit timelines, policy notification mechanisms, halal certification alignment, and the role of Danantara as a co-investment vehicle; the financial and taxation system, including modernization of the 1992 tax treaty and FX market development; public infrastructure procurement, addressing project bankability and government guarantee schemes; agricultural trade and food security, including livestock supply partnerships and biosecurity guidance; and trade infrastructure and logistics connectivity, including port and inland infrastructure co-investment and the scope of IA-CEPA's investment provisions.

These recommendations were developed based on private sector input received at the Indonesia Economic Summit 2026’s Inaugural Indonesia-Australia Bilateral Business Roundtable, co-chaired by William Sabandar, Chief Operating Officer of the Indonesian Business Council (IBC), and Jennifer Westacott AC, Australia’s Business Champion for Indonesia, held during the second investor mission and fifth business mission to Indonesia under Invested: Australia's Southeast Asia Economic Strategy to 2040.