Peter McGregor, National Treasurer of AIBC, stated that this year’s mission differs from the previous year. If in 2025 the focus was still on understanding the Indonesian economy, the discussion has now moved to the stage of eliminating obstacles and building investment capabilities.
Trade
Australian live feeder prices have now pushed above Indonesia’s effective government price cap. Indonesia again carried the bulk of 2025 volumes, but the Philippines and new breeder markets added welcome depth.
Australia-Indonesia Centre industry fellow and author Jemma Purdey said the treaty indicated any concerns Indonesia held about the AUKUS arrangement were in the past. President Prabowo has faced criticism at home for appearing to abandon the nation’s long-held foreign policy of non-alignment.
The ambassador said that its focus on investment reflected Australia’s commitment to expand economic cooperation with Indonesia beyond trade, adding that Australia has appointed Prof. Jennifer Westacott, the Chancellor of Western Sydney University, as Australia’s “business champion” for Indonesia.
Indonesia imported 1,383 more cows from Australia this week, agriculture officials said on Monday, as part of an ambitious $3 billion plan to woo small farmers to join efforts to quadruple dairy output.
South Sumatra’s quarantine agency certified 8.8 metric tons of robusta coffee from Pagaralam for export to Sydney, Australia, marking another overseas shipment as Indonesia seeks to expand agricultural exports and strengthen access to markets.
Palm oil prices extended losses on Wednesday, pressured by swelling inventories and weaker export demand, even as Indonesia ramps up efforts to secure tariff relief in key overseas markets.
A U.S. trade agreement reached with Indonesia in July is at risk of collapsing because Jakarta has backtracked on several commitments it made as part of the deal, a U.S. official said on Tuesday.
The Ministry of Trade announced that a Mojokerto-based business in East Java has made its first molasses export to Australia, worth US$10,000 or around Rp166.5 million.
The mission came at an important time for Southeast Asia as governments and industry strategise how best to support their growing populations’ nutritional needs over the next 10 to 20 years.
For Beijing, Indonesia functions as a strategic partner and hub which an economic centre of gravity securing critical mineral supply chains for electric vehicles and renewable industries.
South Australia’s space ecosystem has been given a boost with one of the state’s leading space technology companies, Myriota, signing a Memorandum of Understanding (MoU) with Indonesia’s leading satellite service provider Telkomsat in Jakarta, Indonesia.
The economic ties between Australia and Indonesia are growing stronger, with trade and investment entering a more focused and strategic phase, according to Paul Grimes, Chief Executive Officer of Austrade.
Coordinating Minister for Economic Affairs Airlangga Hartarto said Australia has placed Indonesia on a list of countries deemed ready to begin the accession process for membership in the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).
Sovereign wealth fund Danantara is trying to attract some Emirati investments as Indonesia seeks to move up the value chain in the aluminium industry.
Despite Indonesia’s economic potential, Australian companies remain cautious due to regulatory uncertainty, high operational risks, and a preference for familiar markets like the United States and China.
