Prime Minister Narendra Modi is set to undertake a significant three-nation Indo-Pacific tour in July 2025, visiting Indonesia, New Zealand and Australia to advance strategic, economic and defence ties. The tour comes after External Affairs Minister S Jaishankar welcomed the Indonesian delegation for the 8th India-Indonesia Joint Commission Meeting (JCM), which is being held after a gap of four years. The meeting, co-chaired by Jaishankar and Indonesian Foreign Minister Sugiono, serves as a key mechanism for reviewing commitments made during President Prabowo's state visit to India. As per Open Magazine, Jaishankar stated that the visit of Indonesian President Prabowo Subianto as the Republic Day Chief Guest in 2025 has imparted fresh momentum to the bilateral Comprehensive Strategic Partnership, with fruitful discussions between PM Modi and President Prabowo during the visit. The ministerial discussions covered the full spectrum of bilateral cooperation from political to defence and security, maritime trade and investments, health and pharmaceuticals, food security, as well as tourism, education, and cultural cooperation. The diplomatic momentum extends beyond the JCM, with Jaishankar meeting Foreign Minister Sugiono on May 14 in the national capital ahead of the BRICS Foreign Ministers Meeting, as reported by Open Magazine.
India and Indonesia have established a significant economic partnership, with bilateral trade reaching $25 billion last year, as reported by WION. The trade relationship continued to grow, reaching $28.15 billion in 2024-25 and $38.84 billion in 2022-23. Indonesia has emerged as India's second-largest trading partner in the ASEAN region, with India serving as the second-largest buyer of coal and the largest buyer of crude palm oil from Indonesia. Both sides are eyeing greater collaboration in supply chains, health, tourism and joint military exercises. The countries also import minerals, rubber, pulp and paper, and hydrocarbons from each other. As per ETGovernment, the ongoing JCM discussions serve as a vital institutional mechanism to review progress on major commitments made during President Prabowo's state visit.
The ministerial discussions included progress on India-Indonesia negotiations for a BrahMos supersonic cruise missile deal, with Defence Secretary Rajesh Kumar Singh confirming that talks are in their final stages at the recent Shangri La dialogue, as reported by WION. The partnership extends beyond defence, with both countries exploring enhanced cooperation in maritime security and joint military exercises to strengthen regional stability and economic integration. According to ETGovernment, this deep-seated security cooperation is accentuated by the 6th meeting of the Joint Working Group on Counter Terrorism held in Jakarta on 23 August 2024, pursuant to the MoU for cooperation in Counter Terrorism signed in 2004. The latest talks will review progress across the full spectrum of bilateral ties and identify new areas for cooperation, as outlined by Jaishankar. The security cooperation is further enhanced by the 75th anniversary of bilateral ties in 2025, making ties between the two largest democracies in South and Southeast Asia particularly significant.
The India-Indonesia discussions are part of a broader regional engagement strategy, with PM Modi's visit to New Zealand coming months after the conclusion of negotiations for a bilateral Free Trade Agreement (FTA). The FTA aims to boost market access for goods and services, promote investment, and facilitate mobility for professionals, students and MSMEs. A major community event in Auckland, potentially drawing 15,000-20,000 members of the Indian diaspora, is being planned. In Australia, focus will be on firming up ties with expectations for announcements on uranium imports and deeper defence collaboration. Australia has long been a potential supplier of uranium for India's civilian nuclear programme under safeguards. Australian High Commissioner Philip Green has signalled 'new landmarks' in the relationship, pointing to progress towards a major new defence agreement, as reported by WION. Australian foreign minister Penny Wong and Defence minister Richard Marles were in India in the last 15 days for Quad foreign ministers meet and defence dialogue.
The latest meeting comes at a pivotal time as India and Indonesia celebrate the 75th anniversary of their bilateral ties in 2025, as highlighted by ETGovernment. The relationship was elevated to a Comprehensive Strategic Partnership in 2018, making ties between the two largest democracies in South and Southeast Asia particularly significant. With both nations actively participating in ASEAN-led mechanisms, including the ASEAN-India Comprehensive Strategic Partnership (2026-2030), the latest talks are seen as an important step in sustaining bilateral momentum and strengthening cooperation amid an evolving regional geopolitical landscape. Despite the growing trade relationship, India faces a large trade deficit with Indonesia, which New Delhi aims to address through strategic initiatives. According to Business Standard, the review of the ASEAN-India Trade in Goods Agreement (AITIGA) is being considered to tackle trade imbalances and improve market access, with this framework helping balance current trade dynamics while maintaining positive growth trajectory.
