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(Britta Campion/Pool Photo via AP) SYDNEY Indonesian and Australian leaders on Sunday committed to free trade and closer naval cooperation as they urged countries in the Asia-Pacific region with competing territorial claims to obey international law. Continue Reading Below Indonesian President Joko "Jokowi" Widodo arrived in Sydney on Saturday on his first visit to Australia as his nation's leader. He and Prime Minister Malcolm Turnbull said they had agreed to finalize a free trade agreement this year. Jokowi said the first issue for Indonesia was the removal of all Australian barriers to the import of Indonesian palm oil and paper. But before the deal is finalized, Turnbull announced that Indonesia has agreed to reduce tariffs on Australian sugar and ease restrictions on Australian cattle imports. Australia in return will remove all tariffs from Indonesian pesticides and herbicides, he said. The two leaders also witnessed the signing of an agreement on maritime cooperation that include strengthening maritime security and border protection as well as combating crime and improving efficiency of shipping. "We have vested interests in the peace and stability in our region's seas and oceans, so we both strongly encourage the countries in our region to resolve disputes in accordance with international law which is the foundation for stability and prosperity," Turnbull said. Continue Reading Below Indonesia does not have a territorial dispute with China in the South China Sea, but there have been tensions because China's so-called nine-dash line representing its claim to most of the sea appears to overlap with Indonesia's exclusive economic zone extending from the Natuna Islands.