Indonesian president arrives in Australia

PHOTO

Indonesian president Susilo Bambang Yudhoyono (right) and Prime Minister Kevin Rudd are expected to discuss a proposed Australia-Indonesia free trade agreement. [AAP]

Linda Mottram, Canberra

Last Updated: Tue, 9 Mar 2010 13:46:00 +1100

Indonesia's President Susilo Bambang Yudhoyono has arrived in Canberra to a ceremonial welcome marking the start of a two-day visit which include talks on economic issues, regional security and trade.

The two leaders, as well as their trade ministers, are expected to discuss a proposed Australia-Indonesia free trade agreement.

Preliminary scoping work found billions of dollars of benefits could accrue to both economies if a deal was done.

But there's significant concern in Indonesia about the implications for it's economy of the recent ASEAN-China free trade agreement, with one Australian source saying the mood isn't right and that there's currently a strong anti-free trade sentiment in some Indonesian circles.

Canberra considers trade ties between Australia and Indonesia to be under-done, and that the trade relationship should be a lot bigger.

SBY honoured

Indonesia's President has been awarded one of Australia's highest honours at a ceremony in the national captital, Canberra.

At the start of a three day visit of Australia, President Susilo Bambang Yudhoyono has been appointed an honorary Companion of the Order of Australia.

He's been recognised for strengthening relations between Australia and Indonesia and promoting democracy and development in his country.

President Yudhoyono received the honour after a meeting with the Governor General.