Indonesia and Peru Sign CEPA, Here Are the Benefits for Trade Between the Two Countries

Jakarta – Indonesia and Peru have officially signed three comprehensive economic partnership agreement (CEPA) documents. The agreement will expand market access and increase trade activity between the two countries.

Indonesian President Prabowo Subianto said that his administration welcomes the signing of the Indonesia-Peru CEPA (Comprehensive Economic Partnership Agreement).

“This agreement will expand market access and increase trade activities between the two countries,” he explained, as quoted on Tuesday, August 12, 2025.

Among the three strategic cooperation documents signed, one pertains to the Indonesia-Peru Comprehensive Economic Partnership Agreement (IP CEPA).

Prabowo also commended the swift conclusion of the negotiations. He noted that the IP CEPA was agreed upon and signed by both countries within just 14 months.

“Typically, such negotiations take years. Peru and Indonesia managed to complete this agreement in 14 months. We will collaborate across all sectors to enhance trade between our two nations,” he added.

Similarly, President Dina Boluarte also welcomed the signing of the IP-CEPA during this visit. President Dina Boluarte also believes that this agreement will bring tangible benefits to businesses and communities in both countries.

“Once in effect, the CEPA will strengthen economic and trade relations, promote the exchange of goods, and serve as the basis for future agreements in the fields of investment, services, e-commerce, and others. The CEPA is evidence of our government’s commitment to promoting freer trade and strengthening the economy,” said the President of Peru.

Strengthening Bilateral Relations

In addition to the CEPA, the two countries also signed a joint declaration on the 50th anniversary of diplomatic relations. President Dina Boluarte said that this declaration reflects the commitment to deepen bilateral relations and explore new cooperation in various fields.

“With such an agreement, it provides a clear vision that we will build better relations, and this is the best moment for both countries moving forward. This will strengthen the positive momentum I mentioned earlier for the future,” she said.

Other documents signed during today’s meeting between the two leaders include a memorandum of understanding between the National Narcotics Agency of the Republic of Indonesia and the National Commission for Development and Life without Drugs of the Republic of Peru on technical cooperation in combating the illicit production, preparation, and trafficking of narcotics, psychotropic substances, and precursors.

Through this agreement, Indonesia and Peru are committed to sharing experiences, technology, and best practices in combating the illegal production and trade of narcotics, psychotropic substances, and precursor chemicals that endanger society.

“We also agreed on cooperation in combating narcotics and illegal trade. This is something that poses a serious threat to both our countries,” he concluded. (*)