The Indonesian government will not prevent its businessmen from trading directly with Israel if they want to, the state Antara news agency on Wednesday quoted a minister as saying.
"If businessmen prefer direct business (with their Israeli counterparts), go ahead," Industry and Trade Minister Luhut Panjaitan was quoted by Antara as saying.
But Panjaitan said he hoped the Indonesian people would not politicize the issue, because Jakarta was trying to expand the country's export markets as well as further develop its traditional markets, such as the United States, Europe and Japan.
He said the government, which has no diplomatic ties with Israel, had not officially opened trade ties either. But despite the absence of such ties, businessmen from both countries have been trading through third parties such as Jordan, he added.
"Admittedly, they (Tel Aviv) want us to open a trade office in Israel or the other way around," Panjaitan said.
Panjaitan also said Israel has expressed its intention to extend export credits to Indonesia through a non-bank financial institution, but the Antara report did not elaborate.
The minister made no comment on a report from Jerusalem, which quoted an official of the Israeli trade and industry ministry as saying that Jakarta had issued a decree lifting restrictions on exports to Israel.
The value of trade between the two countries was not big, he said, without giving figures.
Foreign Minister Alwi Shibab said last week that Indonesia, the world's largest Muslim country, has no intention of establishing relations with Israel until the Jewish state pulls out of territory it has held since 1967.
Indonesian President Abdurrahman Wahid hinted in late 1999 that he planned to open trade ties with Israel, but he had to drop the idea after a widespread public outcry at home. — (AFP, Jakarta)
© Agence France Presse 2001
© 2001 Mena Report (www.menareport.com)
