Hasan and GCC secretary general Jassim Mohammed Al-Budaiwi signed the agreement to start the talks in Jakarta recently. The first round of the negotiations will be held in September.

A seminar involving large business players Indonesia and GCC countries will be organised after the second round of negotiations to determine the potential of trade that both sides can carry out, a news agency reported.

The total value of trade between both sides last year reached $15.7 billion, still small, the Indonesian minister noted.

Differences in standards for products and services remain the biggest obstacle to trade along with the lack of a trade agreement, he said.

Al-Budaiwi said GCC is certain that this will pave the way to raise the trade volume even further.

GCC comprises Saudi Arabia, the United Arab Emirates, Kuwait, Bahrain, Oman, and Qatar.

The proposed I-GCC FTA will be Indonesia's third trade agreement in the Middle East region following agreements with the United Arab Emirates and Iran.

Fibre2Fashion News Desk (DS)