REPUBLIKA.CO.ID, NUSA DUA -- The governments of Indonesia and Kazakhstan have agreed on trade and economic cooperation after conducting a bilateral meeting here on Saturday.

A Memorandum of Understanding was signed on Thursday at Uluwatu 5 Room of BNDCC, Nusa Dua, Bali, on Saturday during the 6th Global Forum of United Nations Alliance of Civilizations.

Indonesia was represented by Foreign Affairs Minister Marty Natalegawa, while Kazakhstan by Foreign Minister Erlan Idrissov.

"Five government-to-government and 14 business-to-business cooperations have been agreed upon," Minister Natalegawa stated.

Kazakhstan was a very important country in Central Asia region, Natalegawa pointed out. "It has a common market with Russia and Belarus, so that our private companies investing in Kazakhstan will not only have access to the Kazakhstan market but also Russia and Belarus, the markets of around 200 million people."

The two countries had also agreed on establishing a consultation forum for both ministries.

"Through Kazakhstan, we will have wider access to the larger market in Central Asia," Natalegawa said.

Indonesia was also planning to build instant noodles factories in Kazakhstan, as the country was one of the largest wheat producers in the world.

The cooperation has also offered the establishment of Indonesian tire factory in Kazakhstan.

The two countries had also discussed air service agreement on the establishment of direct flight route from Almaty to Denpasar, Bali.

Almaty is not the capital city of Kazakhstan but a center of industry, tourism, and business.

The only hindrance was the distance, a geographical factor, as the perception is that Kazakhstan is a country far from Indonesia whose potential was unknown, Natalegawa noted.

"We should overcome such perception and should consider the good opportunities that Kazakhstan has offered to Indonesia," he said.

Meanwhile, foreign minister of Kazakhstan said distance was not the major hindrance to trade and business agreement.

"With modern means of communications and modern technologies, Kazakhstan has been improving its access through the global market, and these will bring Kazakhstan and South Asia-Pacific closer," he added.

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