NEW DELHI, Aug 8: India and Indonesia are exploring the possibility of an accord that would boost bilateral trade threefold to $10 billion by 2010, visiting Indonesian Trade Minister Marie Elka Pangestu said on Monday. “We have decided to set up a joint study group to examine the possibility of a Comprehensive Economic Partnership Agreement,” Pangestu told reporters after a meeting with Indian industrialists, the Press Trust of India (PTI) news agency reported.

“We want to see a threefold rise in bilateral trade to $10 billion by the end of the decade,” Pangestu said. India’s Commerce Minister Kamal Nath who was also present at the meeting said the India-Indonesian Joint Business Commission would work out a timeframe for exploring such an agreement.

Both countries have a range of issues to sort out with the other, with India campaigning for removal of non-tariff barriers on its exports including meat and other processed food, PTI said. Indonesia, on its part, wants to increase its palm oil exports to India and is seeking a lowering of tariffs on processed oil.

“We have asked the Indian government to look into the issue of differential duty structure on soya oil and processed palm oil besides the conditions on sulphur content of coal,” Pangestu said. Indonesian companies could team up with Indian units in textiles, steel, IT and telecoms, pharmaceuticals, health and other services, she added.—AFP