For the first time an Israeli business delegation visited Indonesia, the world's largest Muslim country, in order to forge closer ties between the two countries.

The mission consisting of representatives of eight Israeli companies was organized by the Israel Export and International Cooperation Institute and the Industry, Trade and Labor Ministry's commercial attaché in Singapore following the visit by Indonesia's Chamber of Commerce (KADIN) to Israel in 2006.

Since Israel has no diplomatic ties Indonesia, it took three years to build the necessary infrastructure for the creation of direct business relation systems between business people on both sides, relations which are permitted by law in both countries, said commercial attaché in Singapore Anat Katz.

The infrastructure includes forging ties with senior officials on the Indonesian side, while setting in motion a process of hiring advisors working under the embassy's commercial department and helping Israeli companies with their activities in Indonesia.

Bi-lateral trade volume between Israel and Indonesia stood at $47.8 million in the first half of 2009, a 60% decline compared with the same period last year. The volume of exports in the first six months of the year totaled $5.2m. compared with $7.7m. during the first half of 2008.