Australia, Indonesia sign delayed free trade agreement

By Riyaz ul Khaliq

ANKARA (AA) - Australia and Indonesia on Monday signed a free trade agreement (FTA) after months of delay, media reports said.

The FTA will allow Indonesia to import 94 percent of Australia's merchandise either duty free or under significantly improved preferential terms, Japan's Kyodo news agency said in a report.

“Indonesia will be allowed to send all such goods to Australia duty free,” it added.

The move to further the trade relations between the two countries was announced last August and an agreement was expected to be signed by 2018 end.

However, Australian Prime Minister Scott Morrison said in October that he would consider moving Australia's embassy in Tel Aviv to Jerusalem, prompting opposition from Indonesia, the world’s most populous Muslim nation.

In December, Australia recognized West Jerusalem as the capital of Israel, but did not relocate its embassy.

Jerusalem remains at the heart of the Israel-Palestine conflict, with Palestinians hoping that East Jerusalem -- now occupied by Israel -- might eventually serve as the capital of a future Palestinian state.