DECREE OF THE MINISTER OF INDUSTRY AND TRADE
No. 229/MPP/Kep/7/1997

ON
GENERAL PROVISIONS IN THE IMPORT SECTOR

THE MINISTER OF INDUSTRY AND TRADE,

Considering :

• a. that within the framework implementing Government Regulation No. 1/1982 and No. 24/1985 in order to better ensure the smooth flow of goods, it is deemed necessary to improve general provisions in the import sector;
• b. that for this purpose it is necessary to issue a decree of the Minister of Industry and Trade.

In view of:

• 1. The Trade Ordinance of 1934 (Statute Book of 1938 No. 86) as already amended and supplemented;
• 2. Law No. 3/1982 on the obligation of corporate registration (Statute Book of 1982 No. 7, Supplement to Statute Book No. 3214);
• 3. Law No. 7/1994 on ratification of the Agreement Eastablishing the World Trade Organisation (Statute Book of 1994 No. 57, Supplement to Statute Book No. 3564);
• 4. Law No. 10/1995 on customs affairs (Statute Book of 1995 No. 75, Supplement to Statute Book No. 3612);
• 5. Government Regulation No. 19/1955 on the exemption from general exit clearance tax for certain groups of foreign officials and experts (Statute Book of 1955 No. 40, Supplement to Statute Book No. 821);
• 6. Government Regulation No. 8/1957 on the exemption from import duty based on international relations (Statute Book of 1957 No. 17, Supplement to Statute Book No. 1170);
• 7. Government Regulation No. 6/1969 on import levies (Statute Book of 1969 No. 7, Supplement to Statute Book No. 2880);
• 8. Government Regulation No. 36/1977 on the termination of foreign business activities in the trade sector (Statute Book of 1977 No. 60, Supplement to Statute Book No. 3113) as already amended and supplemented the latest by Law No. 19/1988 (Statute Book of 1988 No. 39, Supplement to Statute Book No. 3380);
• 9. Government Regulation No. 1/1982 on the realisation of exports, imports and the flow of foreign exchange (Statute Book of 1982 No. 1, Supplement to Statute Book No. 3210) as already amended by Government Regulation No. 24/1985 (Statute Book of 1985 No. 32, Supplement to Statute Book No. 3291);
• 10. Presidential Decree No. 260/1967 on the definition of tasks and responsibilities of the Minister of Trade in the foreign trade sector;
• 11. Presidential Decree No. 96/M/1993 as already amended by Presidential Decree No. 388/M/1995;
• 12. Presidential Decree No. 2/1996 on the amendment of Presidential Decree No. 15/1984 on the organisational structures of ministries as already twenty-five times amended, the latest by Presidential Decree No. 61/1995;
• 13. The Decree of the Minister of Trade No. 1460/KP/XII/1984 on the importer's identification number (API);

DECIDES:

To stipulate:

THE DECREE OF THE MINISTER OF INDUSTRY AND TRADE ON GENERAL PROVISIONS IN THE IMPORT SECTOR.

Article 1

• a. Import shall be the activities of bringing goods into customs areas.
• b. Customs areas shall be territories of the Republic of Indonesia, covering land, waters and air space above them as well as certain places in exclusive economic zones and continental shelves where Law No. 10/1995 on custom affairs applies.
• c. Goods subject to the import trade system shall be goods whose import can only be realised by companies recognised and approved by the Minister of Industry and Trade to import relevant goods.
• d. Goods subject to import bans shall be goods whose import is prohibited.

Article 2

(1) Imports shall be realised by companies which have obtained the importer's identification number (API), the provisional importer's identification number (APIS) or the limited importer's identification number (APIT).

(2) Excepted from the provision in paragraph (1) of this article shall be organisations or individuals which/who import goods as the following:

• a. personal effects;
• b. provisional import goods;
• c. parcels, prizes for purposes of public worship, charity, social or cultural activities;
• d. goods belonging to foreign missions and their officials assigned in Indonesia on the basis of the principle of reciprocity;
• e. goods for international agencies and their officials assigned in Indonesia,
• f. sample goods not for trading.

Article 3

Goods shall be imported in new condition.

Article 4

The provision as meant in Article 3 of this decree shall not apply to the import of merchant ships and fishing ships.

Article 5

Further exceptions to the provision as meant in Article 3 of this decree can be stipulated by the Minister of Industry and Trade.

Article 6

Import payments can be made by Letters of Credit (L/C) or by other payment methods normally effective in international trade, according to agreements between sellers and buyers.

Article 7

Import financing can be made by using foreign exchange purchased from foreign exchange banks at the exchange rate taking place on the foreign currency market and other sources.

Article 8

Goods subject to the import trade system, goods subject to import bans, goods imported from abroad into bonded storage places, goods imported from bonded storage places into other zones in customs areas and goods within the framework of border crossing trade shall be separately regulated.

Article 9

Importers violating the provisions in this decree shall be subject to sanctions based on the laws in force.

Article 10

Matters which are not yet regulated in this decree shall be further stipulated by the Director Genera! of International Trade.

Article 11

With the stipulation of this decree, the Decree of the Minister of Industry and Trade No, 125/MPP/Kep/5/1996 on general provisions in the import sector shall be declared null and void.

Article 12

This decree shall come into force as from the date of stipulation.

For public cognizance, this decree shall be announced by publishing it in the State Gazette of the Republic of Indonesia.

Stipulated in Jakarta.
On July 4, 1997
THE MINISTER OF INDUSTRY AND TRADE,
sgd.
T. ARIWIBOWO