Prabowo Backs India’s Andaman Port, Sabang Expansion to Boost Indonesia-India Trade

JAKARTA, Investortrust.id — Indonesian President Prabowo Subianto backed plans to develop ports in India's Andaman and Nicobar Islands and expand Sabang Port in Indonesia's Aceh province, as Jakarta and New Delhi moved to strengthen maritime connectivity and deepen economic ties.

The proposal was announced during a joint press statement with Indian Prime Minister Narendra Modi following bilateral talks at Jakarta's Merdeka Palace on Tuesday.

The Andaman-Nicobar Islands sit near one of the world's busiest shipping corridors at the entrance to the Malacca Strait, making closer connectivity with Sabang strategically important for trade, logistics, and regional maritime security.

The initiative also complements broader efforts by Indonesia and India to expand bilateral trade, strengthen supply chains, and increase economic integration across the Indo-Pacific.

"We also support the development and expansion of Sabang Port in Aceh as a strategic link between Sabang Island and India's Andaman and Nicobar Islands," he said.

Beyond infrastructure, Prabowo said Indonesia and India view economic cooperation as a central pillar of their bilateral relationship.

The two governments agreed to accelerate negotiations on an Indonesia-India Preferential Trade Agreement while also supporting an upgrade of the ASEAN-India Trade in Goods Agreement (AITIGA) to expand market access and facilitate trade.

The leaders also welcomed progress in discussions on linking their cross-border QR payment systems, a move aimed at making retail transactions more efficient while strengthening financial connectivity between the two countries.

If implemented, the payment linkage would allow consumers and businesses to make cross-border digital payments by scanning QR codes using domestic payment applications, reducing transaction costs and improving convenience for travelers and merchants.

The agreements underscore the growing strategic partnership between Indonesia and India as both countries seek to expand economic cooperation while strengthening their roles in the Indo-Pacific's evolving trade and logistics network.