Doing Business In Indonesia: 2012 Country - Export.gov

hard hit would be pharmaceutical companies because they are required (by Decree
1010) to manufacture in Indonesia in order to obtain drug approvals, but (under Decrees
45 and 17) are prohibited from distributing as a manufacturer, effectively creating a
regulatory Catch 22. The Ministry of Trade may be working to find another solution.
Since 2002, Indonesia has continued to maintain other additional non-automatic
licensing requirements on textiles, clothing, and other “made-up goods” such as curtains
and blankets, which limit market access for a wide range of products. Only approved
local producers are authorized to import products covered by this regulation, and these
products are permitted for use only as inputs in domestic production, not for resale or
transfer. Approval must be obtained for both the quantity and timing of imports.
Additional burdensome product-specific import licensing and registration requirements
apply to agricultural products, including beef, sugar, and dairy.
Customs Regulations and Contact Information Return to top
U.S. firms continue to report that Indonesia’s Customs Service uses a schedule of
reference prices to assess duties on some imports, rather than using actual transaction
prices as it committed to do under the WTO Customs Valuation Agreement. Customs
makes a valuation assessment based on the perceived risk status of the importer and
the average price of a same or similar product imported during the previous 90 days. In
addition, the U.S. Government has received complaints from importers about costly
delays in customs processing and requests for unofficial payments to customs officers.
In late 2010, the Customs Service changed its procedure for valuing imported motion
pictures for customs purposes. Instead of imposing tariffs according to the value of the
imported physical media, Indonesian customs is levying duties based on the amounts
paid by importers for the exclusive right to distribute films, which results in a dramatic
increase in the duties payable and stifles commercial cooperation and trade in this
sector. Although the new policy was never publicly announced by the Indonesian
Customs Service and its implementation has not been fully explained to traders, the
Customs Service is aggressively auditing the accounts of movie companies and
imposing severe fines for the underpayment of duties. The United States continues to
work with Indonesia to resolve these concerns.
Director General for Customs & Excise
Ministry of Finance
Jl. Jend. A. Yani 108, 2nd Floor
Jakarta 13230
Indonesia
Tel: (62-21) 489-0308, 483-2520
Fax: (62-21) 489-7512
Web site: www.beacukai.go.id
Standards Return to top
• Overview
• Standards Organizations
• Conformity Assessment
• Product Certification