By Malcolm Turnbull
In November 2015, President Joko Widodo invited me to join him on one of his famous blusukan – or impromptu visits – through a bustling garment market in Central Jakarta. As local traders and shoppers crowded about us, I felt the energy, enthusiasm and excitement of a country with a dynamic future.
Indonesia's potential represents a golden opportunity for Australia. As I said on the day, the prospects for our two countries to work together – to grow our economies – have never been better. This weekend, Lucy and I will host President Widodo and First Lady Iriana Widodo during their first state visit to Australia.
I look forward to picking up where we left off in the markets of Jakarta by discussing ways to grow our 21st-century partnership.
Indonesia is a nation of extraordinary significance to Australia. We share a commitment to values such as freedom, democracy and the rule of law. Indonesia should be proud of its transformation over recent decades into a diverse and democratic nation, proving, as the President often says, that democracy, Islam and moderation are compatible.
Relaxed: Prime Minister Malcolm Turnbull and Indonesian President Joko Widodo take off their ties during a visit to Tanah Abang Market in Jakarta in November 2015. Credit: AP
And the co-operation between our two nations grows stronger by the day. This has helped to advance common interests across our region, from defence exercises to disaster relief and combating human trafficking and people smuggling. Our defence and security co-operation is built on the bedrock of the Lombok Treaty. We are absolutely committed to the treaty and resolutely support Indonesia's sovereignty and territorial integrity.
Our countries are also partners in the fight against terror. President Widodo's unqualified rejection of extremism is not only significant for the future of his country, it enhances regional security and the safety of Australians. As the democratically elected leader of the largest Muslim-majority nation on earth, President Widodo disproves the view held by some that Islam and democracy are incompatible.
Australia values the important role Indonesia has played, as a founding member of ASEAN, in bringing our region closer together. ASEAN is helping to build a rules-based order that promotes a common vision of peace and stability in our region.
Australia will host an ASEAN-Australia Special Summit in March 2018. This will allow Australia to deepen our economic and strategic links with south-east Asia. It is critical that we continue to work with our nearest neighbours to shape the future of our region.
Prime Minister Malcolm Turnbull with Indonesian President Joko Widodo, who is driving a massive five-year infrastructure plan.Credit: Andrew Meares
Our relationship with Indonesia is growing deeper by the day but it has not yet reached its full potential. For example, Australia trades more with Malaysia, Singapore and Thailand than with our much larger northern neighbour.
The opportunities for Australian businesses are immense. Consider the following: Indonesia makes up more than a third of ASEAN's gross domestic product. It is on track to be one of the seven largest economies in the world by 2030 and its consumer class is expected to grow to as many as 135 million people. Indonesia is also our No.1 holiday destination, with more than 1 million Aussies travelling to Bali alone last year.
The potential for Australia and Indonesia to expand our economic relationship is clear. That's why President Widodo and I want to conclude a Comprehensive Economic Partnership Agreement later this year. This agreement will benefit Indonesians and Australians alike, promoting business and boosting investment ties.
We will also discuss the importance of working together on infrastructure development, and our mutual commitment to co-operating on agriculture and food security. We have already made progress on building a transparent and integrated supply chain in cattle and beef.
And we will emphasise our growing people-to-people ties, which underpin our ambitious economic and security agenda. While there is still much more to do, we should be proud that when Indonesians head overseas to study, more choose to come to Australia than anywhere else. For our part, Indonesia is already the most popular New Colombo Plan destination, with more than 3000 Australian undergraduates working and studying there between 2014-17. This deepens our understanding of each other's country and culture.
Australia is proud to stand alongside a united, democratic and increasingly prosperous Indonesia. I look forward to working with President Widodo in the months and years ahead to build an even closer bilateral relationship – a relationship anchored in our shared values, underpinned by mutual interests and delivering real benefits for our people.