REGULATION OF THE MINISTER OF TRADE
No. 12/M-DAG/PER/6/2005

ON
PROVISIONS ON THE EXPORT OF RATTAN

THE MINISTER OF TRADE,

Considering :

• a. that rattan is a commodity having important role as a source of income and prosperity for rattan farmers and collectors as well as a source of raw material for rattan processing industries, furniture industries and craft industries;
• b. that conservation of rattan as a natural resource resulting from both natural forests and cultivation needs to be maintained for the continuous supply of raw material of the industries;
• c. that based on the considerations as meant in letters a and b, efforts to re-arrange the trade of rattan and utilization of rattan as a raw material of industries need to taken for driving up the export of rattan products having a high added-value, as well as preserving the conservation of rattan through regulation of the export of rattan;
• d. that in relation thereto, a regulation of the Minister of Trade needs to be issued.

In view of :

• 1. Trade Ordinance of 1934 (Statute Book of 1938 No. 86);
• 2. Law No. 5/1984 on industry (Statute Book of 1984 No. 22, Supplement to Statute Book No. 3274);
• 3. Law No. 10/1995 on customs affairs (Statute Book of 1995 No. 75, Supplement to Statute Book No. 3612);
• 4. Law No. 41/1999 on forestry (Statute Book of 1999 No. 30, Supplement to Statute Book No. 3888);
• 5. Government Regulation No. 34/2002 on forest arrangement and exploitation of forest areas (Statute Book of 2002 No. 66, Supplement to Statute Book No. 4206);
• 6. Presidential Decree No. 260/1967 on affirmation of tasks and responsibility of the Minister of Trade in the foreign trade sector;
• 7. Presidential Decree No. 187/M/2004 on the establishment of the United Indonesia Cabinet, as already amended by Presidential Decree No. 8/M/2005;
• 8. Presidential Regulation No. 9/2005 on the status, tasks, functions, organizational structures and working arrangements of state ministries;
• 9. Presidential Regulation No. 10/2005 on first-echelon organizational units and tasks of state ministries;
• 10. Decree of the Minister of Industry and Trade No. 558/MPP/Kep/12/1998 on general export provisions as already amended several times and the latest by Regulation of the Minister of Trade No. 07/M-DAG/PER/4/2004;
• 11. Decree of the Minister of Trade No. 01/M-DAG/PER/3/2005 on the organization and working arrangement of the Ministry of Trade;

DECIDES :

To revoke :

The Decree of the Minister of Industry and Trade No. 355/MPP/Kep/5/2005 dated May 27, 2004 on regulation of the export of rattan.

To stipulate :

THE REGULATION OF THE MINISTER OF TRADE ON PROVISIONS ON THE EXPORT OF RATTAN

Article 1

(1) The mixed rattan as meant in this regulation shall be mixed-rattan, whether rubbed or not, smoked/sulfured or not, subsumed into Tariff Heading/HS Number 1401.20.00.00.

(2) Semi-finished rattan shall be rattan already processed into smooth polished rattan, rattan core and rattan bark subsumed into Tariff Heading/HS 1401.20.00.00.

Article 2

(1) The mixed rattan as meant in Article 1 paragraph (1) belonging to Taman/Sega (calamus caesisus) and Irit (calamus trachycoleus) species with a diameter of 4 - 16 mm can be exported in a certain quantity.

(2) Mixed rattan other than the kinds as meant in Article 2 paragraph (1) cannot be exported.

(3) The semi-finished rattan as meant in Article 1 paragraph (2) can be exported in a certain quantity.

Article 3

(1) The quantity of the mixed and semi-finished rattan, which can be exported nationally as meant in Article 2 paragraphs (1) and (3) shall observe the conservation of rattan plants and the need of raw material for domestic rattan industries.

(2) The quantity of the mixed and semi-finished rattan, which can be exported as meant in Article 2 paragraphs (1) and (3) every year shall be stipulated by the Minister of Trade by observing inputs from agencies/institutions concerned.

(3) The volume of the mixed and semi-finished rattan as meant in Article 3 paragraph (2) in the July 1, 2005 - June 30, 2005 period shall be as contained in Attachment I to this regulation.

Article 4

(1) Companies that can export the rattan as meant in Article 2 paragraphs (1) and (3) shall be companies or individuals already securing recognition from the Director General of Foreign Trade as Approved Exporters of Rattan (ETR).

(2) The rattan as meant in paragraph (1) can be exported by ETR after securing allocation of the export volume of rattan from the Director General of Foreign Trade in this case the Director of Export of Agricultural and Forestry Products.

(3) In order to obtain the recognition as ETR as meant in paragraph (1), companies or individuals must submit first written applications to the Director General of Foreign Trade, Ministry of Trade, by enclosing:

• a. copy of Trading Business License (SIUP);
• b. copy of Corporate Registry Number (TDP);
• c. copy of Taxpayer Code Number (NPWP);
• d. copy of Industrial Business License (IUI) already legalized by official authorized to issue IUI in the case of exporters of semi-finished rattans and Rattan Collector License (SIPR) legalized by official authorized to issue SIPR in the case of exporters of mixed rattan;
• e. copy of warehouse-ownership/controlling evidence and/or license (in the case of exporters of mixed rattan).

(4) The Director General of Foreign Trade, Ministry of Trade, shall issue approval or rejection of the applications as meant in paragraph (2) not later than 10 (ten) working days as from the date of receipt of the applications.

(5) The model of recognition as ETR shall be contained in Attachment II to this regulation.

Article 5

(1) Allocation of the volume of the mixed rattan and semi finished rattan, which can be exported as meant in Article 3 paragraph (2) shall be given to ETR already submitting applications to the Director General of Foreign Trade in this case the Director of Export of Agricultural and Forestry Products.

(2) The submitted applications as meant in paragraph (1) shall be accompanied by the export and domestic selling plans for 3 (three) months to come.

(3) The allocation of volume of the mixed and semi-finished rattan as meant in paragraph (1) shall be done every 3 (three) months by the Director General of Foreign Trade in this case the Director of Export of Agricultural and Forestry Products.

(40 The volume of mixed and semi-finished rattan as meant in Article 5 paragraph (3) shall be allocated by considering the performance of the said ETR, including the realization of production, stocks of the controlled rattan and/or realization of the export.

Article 6

(1) ETR already securing the rattan export allocation as meant in Article 5 paragraph (1) shall convey report on the realization of the export of rattan in writing every three months to the Director General of Foreign Trade in this ease the Director of Export of Agricultural and Forestry Products with a copy made available to the Director General of Agro and Chemical Industries, Ministry of Industry and the Director General of Forestry Production Development, Ministry of Forestry.

(2) The model of the report on the realization of the export of rattan shall be contained in Attachment III to this regulation.

Article 7

(1) The realization of the export of rattan by ETR shall be subjected to verification or technical surveillance first.

(2) The verification or technical surveillance of the export of rattan as meant in paragraph (1) shall be done by experienced independent-surveyors.

(3) Results of the verification or technical surveillance of the export by the surveyors as meant in paragraph (2) shall be mentioned in Surveyor Report (LS), which constitutes completeness of export document.

(4) Costs arising from the provision of service for the verification or technical surveillance of the export of rattan by the surveyors as meant in paragraph (2) shall be borne by exporters with the amount stipulated by observing the benefit principle.

(5) Technical provisions and procedures for the verification or technical surveillance of the export shall be stipulated by the Director General of Foreign Trade.

Article 8

Any violation of the provisions in this regulation shall be subjected to administrative sanction in the form of freezing and/or revocation of recognition as ETR and/or other sanctions in accordance with legislation in force.

Article 9

The Director General of Foreign Trade shall stipulate every three months the export benchmark-price of the mixed rattan and semi-finished rattan as meant in Article 2 paragraphs (1) and (3) as the basis for export levy.

Article 10

Exception from the provisions regulated in this regulation shall constitute the authority of the Minister of Trade.

Article 11

Technical provisions not yet regulated in this regulation shall be further regulated by the Director General of Foreign Trade, Ministry of Trade.

Article 12

(1) Recognition as Approved Exporter of Rattan (ETR) already issued on the basis of Decree of the Minister of Industry and Trade No. 355/MPP/Kep/5/2004 shall be declared to remain effective as long as it does not contravene this regulation.

(2) The export approval of mixed and semi-finished rattan already issued on the basis of Decree of the Minister of Industry and Trade No. 355/MPP/Kep/5/2004 shall remain effective with the provision that the export must be realized not later than July 31, 2005.

(3) The verification or technical surveillance of the export of rattan as meant in Article 7 paragraph (2) shall be executed by the surveyors as already stipulated in Decree of the Minister of Industry and Trade No. 359/MPP/Kep/V/2004 on the appointment of surveyors as the executors of verification or technical surveillance of the export of rattan shall be declared to remain effective.

Article 13

The regulation shall come into force as from the date of stipulation.

For public cognizance, the regulation shall be published by placing it in State Gazette of the Republic of Indonesia.

Stipulated in Jakarta
On June 30, 2005
THE MINISTER OF TRADE,
sgd
MARI ELKA PANGESTU

Attachment I II III