Latest news with #ASEAN–IndiaFreeTradeAgreement
The Hindu
11-07-2025
- Business
- The Hindu
A.P. Chambers urges Indonesia to ensure tariff parity for Indian corn starch
Ni Made Mahatma Devi, Third Secretary (Economic) at the Indonesian Embassy in New Delhi, met with the office-bearers of the Andhra Pradesh Chambers of Commerce & Industry Federation (AP Chambers) at their office on Thursday to explore avenues for strengthening trade ties between Indonesia and Andhra Pradesh. During the meeting, AP Chambers president Potluri Bhaskar Rao and general secretary B. Raja Sekhar raised key trade concerns affecting Indian exporters. They pointed out that corn starch of Indian origin attracts a 10% import duty in Indonesia, whereas Chinese corn starch enjoys preferential tariff treatment. This, they noted, is despite Indonesia being a major importer of the commodity from both countries. The Indian product's exclusion from the ASEAN–India Free Trade Agreement (AIFTA) preferential tariff list puts Indian exporters at a disadvantage. They urged the Indonesian Embassy to support the inclusion of corn starch under the AIFTA preferential tariff schedule to ensure a level playing field. The Chamber also highlighted procedural hurdles related to the Certificate of Origin—an essential export document. While India has adopted a fully digital system, Indonesian trade authorities continue to insist on physical copies with ink signatures, leading to delays. The Chamber requested the Embassy to take up the matter with the relevant authorities in Indonesia. Further, Mr. Bhaskar Rao expressed concern over Indonesia's quota system on chilli imports from India, which, he said, restricts trade. In contrast, there are no such limits on imports from China. He called for the removal of this quota system to facilitate fairer trade practices.
Hans India
11-07-2025
- Business
- Hans India
Indonesia urged to change norms on import of Indian goods
Vijayawada: Mahatma Devi and Alice, senior officials from the Embassy of the Republic of Indonesia visited AP Chambers Office here and interacted with the Chambers' office-bearers and members. The officials discussed the bilateral trade opportunities between Indonesia and Andhra Pradesh. AP Chambers discussed several key issues with the officials and requested the resolution of the issues. During the discussion, AP Chambers mentioned that Corn starch of Indian origin is subject to a 10 percent import duty in Indonesia, while corn starch originating from China enjoys preferential duty treatment. This is despite Indonesia being a significant importer of corn starch from both countries. Unfortunately, Indian-origin corn starch (HS Code: 11081200) is excluded from the ASEAN–India Free Trade Agreement (AIFTA) preferential tariff list, placing Indian exporters at a disadvantage. The Chambers requested the Indonesia Embassy to consider this issue and support the inclusion of corn starch under the preferential tariff schedule for Indian-origin goods. AP Chambers also pointed out that while India has moved to an online digital Certificate of Origin system (a certificate required for exports), Indonesian trade authorities are still insisting on the submission of physical copies with ink signature, which is causing delays in delivering the required documents. The Chambers requested the Indonesian Embassy to take up this issue with the relevant authorities. The Chambers brought to the notice of the officials that Indonesia introduced quota system for import of chillies from India a few years ago, whereas the country does not have any such restriction for import of chillies from China. AP Chambers suggested abolition of the quota system to ensure level playing field for Indian chilli exporters.
