Indonesia Switzerland Free Trade Agreement

Intellectual property protection provisions (Chapter 5, Appendix XVII and Patent Protocol) include, among other things, trademarks, copyrights, patents, undisclosed information, industrial designs and geographical indications, and include provisions relating to the application of intellectual property rights and cooperation between the parties. These provisions are based on the WTO agreement on trade-related aspects of intellectual property rights (TRIPS) and provide for a high level of protection, taking into account the principles of the most favoured nation and national treatment. JAKARTA (Reuters) – Indonesia signed an economic agreement with the European Free Trade Association (EFTA) on Sunday to increase trade and investment and concluded nearly eight years of negotiations. Switzerland and the Swiss watch industry need the free trade agreement with Indonesia, as they need those that already exist with the European Union, Japan, China, the United Kingdom, Mexico or South Korea, to name a few. This agreement represents an important opportunity for all Swiss companies to gain easier access to a market of more than 260 million people and one of the 20 largest economies in the world, based on clear rules. It provides a legal framework and guarantees for balanced trade, as well as important commitments to sustainable development. For all these reasons, the FH supports the free trade agreement between EFTA and Indonesia and opposes the referendum it has launched. “The free trade agreement with Indonesia is extremely attractive to the Swiss export industry, given the great future potential of the market,” said Daniel Kong, CEO of Switzerland Global Enterprise. “The agreement facilitates access to a market of 260 million people who are gaining greater purchasing power due to the growth of the middle class. It is therefore very likely that Swiss exports will also increase – with almost obstructive tariffs.

In order to meet the growing demand and best support Swiss exporters in Indonesia, we opened a new Swiss Business Hub in the summer of 2017 in Jakarta. The agreement contains detailed provisions on trade facilitation (Annex VI). The free trade agreement between EFTA countries and Indonesia will eliminate tariffs on more than 98% of Swiss exports. The aim is to create a maximum annual savings potential of around 25 million francs, as shown by an analysis by Professor Patrick Ziltener for Switzerland Global Enterprise (S-GE). The mem, chemical and pharmaceutical industries are the most likely to benefit. The parties recognize that economic development, social development and environmental protection are interdependent. In Chapter 8, they reaffirm their commitment to multilateral contracts and principles in the environment and work and commit to a level of protection by recognizing the right of each party to set its own level of environmental and labour protection. Arbitration procedures do not apply to this chapter.