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President Meets with 1,425 Companies Using Customs Facilities

President Meets with 1,425 Companies Using Customs Facilities

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Published At 27 Mar 2018


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JAKARTA - President Joko Widodo (Jokowi) visited users of customs facilities at PT Samick Indonesia, Cileungsi, West Java. In front of 1,425 attending companies, the President will socialize new regulations regarding the acceleration of customs and excise licensing to support business ease.


Legal Enforcement Expert Staff Nugroho Wahyu explained that the customs and excise licensing acceleration for business facilitation has been stipulated in the Minister of Finance Regulation (PMK). The focus is to encourage investment ease and exports.


There are four regulatory scopes to expedite customs and excise licensing. First, customs registration is simplified in terms of requirements, time, and others.


"Initially requiring many documents, now only few requirements remain - from dozens down to two. Processing time reduced from days to hours. Then for bonded warehouses, bonded zones, and investors in Indonesia," he stated at PT Samick Indonesia, Cileungsi, Jakarta, Tuesday (27/3/2018).


He continued that customs registration now uses an integrated modern system, significantly different from previous manual processes. Consequently, Service Level Agreement (SLA) can be completed in three hours instead of one day.


“Now it's system checking, previously human checking. Customs registration now includes customs access and profiling, whereas before only customs access," he explained.


Improvements also apply to bonded warehouses (TPB) with import duty deferral facilities. Additionally, there's no Import Duty Tax (PDRI) for businesses conducting specific activities in bonded zones, bonded logistics centers, etc.


"Previously, 18 documents were required per company including deeds of establishment, tax ID, building permits. Now only independent business licenses are needed. Licensing previously done at headquarters can now be handled at regional DJBC offices. Previous 15 working days at Customs Offices now takes 3 days plus 1 hour at regional offices," he said.


Furthermore, the government provides Ease of Import for Export Purposes (KITE). This facility offers duty exemptions or refunds for importing raw materials to be processed, assembled, or installed into products for export.


"Previously required 18 complete documents, now only industrial business licenses. Manual permit applications are now online. Processing time reduced from 30 working days at DJBC regional offices to just 1 hour," he stated.


Fourth, regarding Excise Taxpayer Identification Numbers (NPPBKC). Licenses for operating as excise goods manufacturers, excise goods warehouse operators, distributors or premise operators.


"Excise controls consumption-restricted goods like alcoholic beverages and cigarettes. Licensing is simplified through online systems, with 5 working days for site inspections and decisions issued within 3 working days," he concluded.

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