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Paper ID: 137



Ade Sumiahadi1*, Mithat Direk2, Ramazan Acar3

1 Dept. of Agrotechnology, Faculty of Agriculture, Universitas Muhammadiyah Jakarta, Indonesia

2 Dept. of Agricultural Economics, Faculty of Agriculture, Selcuk University, Konya, Turkey

3 Dept. of Filed Crops, Faculty of Agriculture, Selcuk University, Konya, Turkey

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Indonesia and Turkey have different geoclimates which cause each country to produce different agricultural commodities. This presents a great opportunity for the two countries to trade these different commodities. Turkey and Indonesia have had a commercial, diplomatic, and military relationship since the 16th century as the Ottoman Empire and Aceh Sultanate. After both countries established as republic and independent countries, the bilateral relationship between two countries was rebuilt with the first trading agreement signed on September 14, 1958, followed by other cooperation and partnership agreements later on. At present, the bilateral relations between the two countries, especially in the economic sector are increasing. With the latest bilateral agreement, Indonesia-Turkey Comprehensive Economic Partnership Agreement (IT-CEPA), launched on July 6, 2017, economic cooperation between the two countries is expected to increase even more. Even though each year the value of trade between the two countries has increased, but those numbers are still far below the potential of the two countries. Therefore, it is necessary to increase trade commodities from both countries, especially agro-industrial commodities. This paper aims to provide a brief overview of some potential agro-industrial commodities to increase trade value between Indonesia and Turkey.

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