By Rafiq Vayani
KARACHI: The Embassy of the Republic of Indonesia in Islamabad and The Consulate General of the Republic of Indonesia (KJRI) in Karachi, in collaboration with the Indonesian Palm Oil Association (GAPKI), organized a high-level networking reception, the Indonesia Palm Oil Networking Reception, on Friday, 9th January, 2026 in Karachi. This event marks a significant milestone in commemorating 75 years of diplomatic relations between the two countries, while also strengthening economic cooperation following the State Visit of the President of the Republic of Indonesia, Prabowo Subianto, to Islamabad last December 2025.
The event was attended by high-ranking officials, including H.E. Dyah Roro Esti Widya Putri, BA, MSc (Vice Minister of Trade of RI), H.E. Jam Kamal Khan (Federal Minister of Commerce), H.E. Chandra W. Sukotjo (Ambassador Extraordinary and Plenipotentiary of RI to Pakistan), H.E. Mudzakir, MA (Consul General of RI Karachi), and Mr. Eddy Martono (Chairman of GAPKI).
In his remarks, Ambassador Chandra W. Sukotjo highlighted the historic Indonesia-Pakistan relationship, noting its new phase as a more strategic and future-oriented partnership following President Prabowo Subianto’s visit to Islamabad in December 2025. He emphasized that while palm oil remains the cornerstone of economic ties, Indonesia strives for shared prosperity and a more balanced trade relationship, encouraging the expansion of imports from Pakistan and exploring shared value creation beyond transactional trade. This meeting was not merely a social event. “This is a platform to recognize existing partnerships, strengthen trust, and explore new avenues for more structured and future-oriented economic cooperation,” he said.
Meanwhile, the Chairman of GAPKI stated, “GAPKI serves as a strategic partner to the government (KJRI Karachi & Ministry of Trade of RI) to strengthen bilateral relations and, among other things, is tasked with providing accurate information regarding Indonesian palm oil practices. GAPKI ensures that Indonesia remains a stable, responsible, and reliable palm oil supplier for the Pakistani market, which is one of the largest palm oil importers.” GAPKI emphasized that together with Pakistani partners, they will facilitate direct trade contracts between Indonesian producers and Pakistani buyers, ensuring the availability of palm oil stocks for food and industrial needs in Pakistan, and encouraging technical collaboration in the fields of refining and palm oil processing.
GAPKI functions as a forum for palm oil entrepreneurs to provide input to the Indonesian Government (particularly the Ministry of Trade) in formulating export policies that support the competitiveness of Indonesian products in global markets like Pakistan. In short, within the context of this event, GAPKI is the private sector engine ensuring that the government’s political commitments translate into real transactions and long-term partnerships that benefit both countries.
The palm oil sector remains a primary pillar of economic relations, where Indonesia consistently serves as a stable main supplier for food and industrial needs in Pakistan. The Vice Minister of Trade of RI, in her keynote speech, reaffirmed the importance of the Pakistani market to Indonesia. “Pakistan is important to Indonesia. Your market, your industry, and your consumers are important to us,” asserted the Vice Minister. She also stated Indonesia’s commitment to creating more balanced trade by opening wider opportunities for Pakistan’s superior products, ranging from the agricultural sector to digital services.
Signing of Three Strategic Agreements
As a concrete form of strengthening cooperation, the signing of three important agreement documents took place during the event, including:
MoU on the Establishment of a Joint Trade Commission between Indonesia and Pakistan, signed by the Vice Minister of Trade of RI and the Minister of Commerce of Pakistan to facilitate more intensive economic dialogue. This commission is expected to be a formal forum to manage bilateral economic relations sustainably, address trade barriers, and explore new trade and export-import opportunities.
At the sectoral level, the Vice Minister of Trade of RI and the Minister of Commerce of Pakistan will also witness the signing of two memorandums of understanding (MoU) for cooperation between the Indonesian Palm Oil Association (GAPKI) and two major Pakistani associations, namely the Pakistan Edible Oil Refiners Association (PEORA) and the Pakistan Vegetable Manufacturers Association (PVMA). This cooperation aims to secure the supply chain and price stability of palm oil in both countries.
Building Shared Prosperity
In addition to commodity trade, both countries agreed to explore the potential for joint ventures in refining, halal certification and sustainability, as well as the development of port logistics infrastructure. Karachi, as Pakistan’s economic gateway, is recognized as a natural partner for Indonesia in expanding economic reach in South Asia. The event concluded with a strong spirit of brotherhood. “Let us continue this journey as partners and friends. The Indonesia-Pakistan friendship will continue to grow stronger. Indonesia-Pakistan Dosti Zindabad!” concluded the Vice Minister of Trade of RI.
