A proposal for a Council decision on the signing of the Comprehensive Economic Partnership Agreement (CEPA) between the European Union and Indonesia, published on 29 June 2026, includes Indonesia's tariff schedule (Appendix 2-A-2) detailing base rates and staging categories for thousands of product lines. The schedule uses Indonesia's 2022 Customs Tariff Book (BTKI 2022) as the reference and sets out commitments for tariff elimination on agricultural and fish products, with immediate duty-free access for some items and longer phase-outs for sensitive products.
The document, part of the broader CEPA proposal, specifies that base rates reflect Indonesia's Most-Favoured-Nation (MFN) rates in effect on 1 January 2023, unless otherwise noted. Staging categories define the pace of liberalisation: "A" for immediate duty-free, "B3" for three-year phase-out, "B5" for five-year phase-out, "MOP" for longer phase-outs (e.g., 50 years for certain chicken cuts), and "X" for products excluded from liberalisation. Examples of immediate duty-free items include pure-bred breeding animals (01012100, 0.00%) and many fish products such as fry (03011110, 0.00%). Products with a five-year phase-out include other oxen (01022919, base 5.00%) and frozen Atlantic salmon (03031300, base 5.00%). Certain chicken cuts (02071100-02071430) have a 50-year phase-out (MOP 50), with base rates of 5.00% or 20.00%. Some tariff lines are marked with an asterisk for additional notes, and numbers use commas for thousands and points for decimals (e.g., "1,000" and "1.00").
The CEPA, once signed and ratified, will create a free trade area between the EU and Indonesia, eliminating tariffs on most goods over time. The agreement aims to boost bilateral trade and investment, with the EU seeking improved market access for its agricultural and industrial products, while Indonesia protects sensitive sectors like poultry with long transition periods. The proposal now awaits adoption by the Council, after which the agreement can be signed and submitted to the European Parliament for consent.
Stakeholder impact - EU exporters of agricultural and fish products: Gain immediate or phased duty-free access to the Indonesian market, improving competitiveness. However, some products like certain salmon and trout lines are excluded, limiting benefits. - Indonesian producers of sensitive items (e.g., poultry): Benefit from long phase-out periods (50 years) and exclusions, protecting them from sudden import competition. This may delay efficiency gains and keep consumer prices higher. - EU consumers: May see lower prices and greater variety of Indonesian goods (e.g., fish, agricultural products) as tariffs are eliminated, but the impact is gradual due to phase-out periods. - Indonesian consumers: Could benefit from cheaper EU imports (e.g., breeding animals, fish) over time, but sensitive products remain protected, limiting immediate price reductions.
The agreement represents a moderate step in EU-Indonesia trade liberalisation, balancing market access with protection for sensitive sectors. The next institutional step is Council adoption of the signing decision, followed by parliamentary scrutiny.