REGULATION OF THE MINISTER OF TRADE
No. 14/M-DAG/PER/3/2007

ON
STANDARDIZATION OF TRADING SERVICES AND SUPERVISION OVER COMPULSORY INDONESIAN NATIONAL STANDARDS (SNI) OF TRADABLE GOODS AND SERVICES

THE MINISTER OF TRADE OF REPUBLIC INDONESIA,

Attachment

Considering:

In view of:

HAS DECIDED:

To stipulate:

REGULATION OF THE MINSTER OF TRADE ON STANDARDIZATION OF TRADING SERVICES AND SUPERVISION OVER COMPULSORY INDONESIAN NATIONAL STANDARDS (SNI) OF TRADABLE GOODS AND SERVICES

CHAPTER I
GENERAL PROVISION

Article 1

Referred to in this regulation as:

CHAPTER II
SCOPE

Article 2

(1) The scope of regulation of Standardization of trading services and supervision over the compulsory Indonesian National Standard (SNI) of tradable goods and services shall cover:

(2) The tradable services as intended in paragraph (1) sub-paragraphcovers business and distribution services.

(3) Formulation, stipulation and enforcement of SNI of trading services as intended in paragraph (1) sub-paragraph a is done in accordance with the National Standardization system.

Article 3

Provisions on Supervision over compulsory SNI of the trading services and tradable services as intended in Article 2 paragraph (1) sub-paragraphs a and b is regulated further by a regulation of the minister.

CHAPTER III
STANDARDIZATION OF TRADING SERVICES

Part One
Formulation and Stipulation

Article 4

(1) Formulation, review, and revision of SNI of trading services shall be executed by the Trading Service Technical Committee, which is coordinated by the Standardization Center.

(2) The Technical committee as intended in paragraph (1) is stipulated by the Head of BSN on the basis of recommendation from the Head of the Standardization Center.

(3) The technical Committee can set up sub-technical committees on the basis of the need in handling party of the tasks of the technical committee and/or certain problems.

Article 5

The head of the Standardization Center conveys results of formulation, review and revision of SNI of trading services at the head of BSN to be stipulated as SNI.

Part Second
Enforcement

Article 6

SNI of trading services which had already been stipulated by BSN can be enforced compulsorily and regulated further in a regulation of the Minister.

CHAPTER IV
SUPERVISION OVER COMPULSORY SNI OF TRADABLE GOODS

Part One
General

Article 7

(1) Supervision over compulsory SNI of domestically produced or imported goods, which are traded in the country shall be realized through pre-market supervision and on-market supervision.

(2) The pre-market supervision as intended in paragraph (1) shall be applied to goods which had already been subjected to compulsory SNI and notified to the World Trade Organization.

(3) The pre-market supervision as intendedintended in paragraph (1) shall be done before the goods circulate on the market.

(4) The on-market supervision as intendedintended in paragraph (1) shall be done when the goods are on sale on the market.

Part Two
Pre-market supervision

Article 8

(1) Pre-market supervision over domestically produced goods, which are traded meant in article 7 shall be done though NRP;

(2) Pre-market supervision over the imported goods as intended in article 7 shall be done through SPB wherein NPB is contained.

(3) NRP and SPB as intended in paragraphs (1) and (2) shall be issued by the Director General of Foreign Trade in this case the Director of Supervision and control over quality of goods.

(4) The pre-market supervision as intended in paragraphs (1) and (2) shall exclude processed foods, medicines, cosmetics and medical appliance.

Part three
Supervision over quality of domestic goods

Article 9

Supervision over the quality of domestic goods, which will be traded and already subjected to compulsory SNI as intended in article 8 paragraph (1), shall be done by the Directorate general of Foreign Trade in this case the Directorate of Supervision and control over the quality of goods through NRP.

Article 10

NRP as intended in article 9 shall apply for 3 (three) years and can be extended.

Part four
Procedures for registration to obtain NRP

Article 11

(1) Procedures for registration of goods to obtain NRP shall be as follows:

(2) Costs arising from the issuance of NRP shall be borne by the budget of the ministry of Trade.

Article 12

(1) Business communities producing goods already subjected to compulsory SNI shall be responsible for the quality of their production.

(2) Business communities already securing NRP as intended in Article 11 sub-paragraph f must mention NRP in goods or packages below SNI Identity and or other recognized conformance identities’ as contained in attachment V To this regulation.

Article 13

The business communities as intended in article 11 sub-paragraph a shall presents true information in the registration.

Article 14

(1) Business communities already having NRP as intended in article 11 sub-paragraph f must report any change in information in not later than 3 (three) months from the change to the Director general of foreign Trade in this case the Director general of foreign trade in this case the director of supervision and control over the quality of goods.

(2) The director general of foreign Trade in this case the Director of supervision an control over the Quality of Goods shall nullify NRP in the case of the business communities as intended in paragraph (1):

(3) the nullified NRP as intended in paragraph (2) is notified in writing to business communities with a copy made available to:

Article 15

The director general of foreign trade in this case the Director of supervision and Control over the Quality of goods shall convey information about the issuance and/or nullification of NRP periodically, minimum every three months, to the governors, in this case the head of provincial service and regents/mayors in this case the head of regent/Municipal service in charge of trading affairs.

Part five
Supervision over Imported goods.

Article 16

(1) Supervision over the quality of imported goods already subjected to compulsory SNI as intended in Article 8 paragraph (2) is done by the Directorate general foreign Trade in this case the Directorate of supervision and control over the quality of goods.

(2) The imported goods which had already been subjected to compulsory SNI, which would come into the customs are to obtain NPB shall be accompanied by conformance certificate issue by conformance Evaluation Institution.

Article 17

SPB containing NPB shall be owned by business communities executing import upon importing goods through sea, mainland or air.

Part Six
Procedures for Registration to Obtain NPB

Article 18

(1) Procedures for registration of imported goods to obtain NPB shall be done through SPB as follows:

(2) Costs arising from the issuance of NRP shall be borne by the budget of the Ministry of Trade.

Article 19

(1) Business communities importing goods which had already been subjected to compulsory SNI shall be responsible for the quality of the imported goods.

(2) Business communities which had obtained an SPB as intended in Article 18 sub-paragraph e, must mention NPB in very product or package, which will be traded as contained in Attachment X to this regulation.

(3) Imported goods subjected to compulsory SNI and located in the customs area cannot enter the customs territory unless the goods are accompanied by SPB.

(4) Imported goods already subjected to compulsory SNI and located in the custom area shall be re-exported or destroyed by the business communities as intended in Article 18 sub-paragraph a in the case of:

(5) The re-export and costs of the re-export or destruction of goods as intended in paragraph (4) shall be borne by the business communities.

Part seven
On-market Supervision

Article 20

(1) Supervision over goods in circulation on the market, already subjected to compulsory SNI by supervisors of goods and services (PPBJ) and/or civil servant investigators protecting consumers (PPNSPK).

(2) The supervision as intended in paragraph (1) shall be applied to obligation of business communities, among others in the fulfillment of conformance of standards to goods and/or services.

(3) Provisions and procedures for supervision as intended in paragraph (2) shall be based on a regulation of the minister ruling provisions and procedures for supervision over goods and services in circulation on the market.

CHAPTER V
CONFORMANCE EVALUATION INSTITUTION (LPK)

Article 21

LPK issuing conformance certificate I this regulation shall be domestic or international product certification institutions supported by testing laboratories and/or accredited inspection institutions.

Article 22

(1) Domestic LPK shall be accredited by KAN in accordance with their scopes.

(2) LPK which had yet to be accredited by KAN in accordance with the scopes, if they are appointed by leaders of technical institutions in accordance with the provisions in force, can evaluate the conformance.

(3) The appointed LPK as intended in paragraph (2) shall secure accreditation from KAN in not later than two years as from the appointment.

(4) The Secretariat general in this the Standardization center can ask information from KAN on the said LKP as intended in article 21 for the scopes of goods already subjected to compulsory;

(5) LPK as intended in paragraphs (1) and (2) shall register their institutions to the Secretariat General in this the Standardization Center by using the form of application for registration as contained in attachment XI to this regulation.

Article 23

(1) Overseas LPK can evaluate conformance of imported goods already subjected to compulsory SNI in the case of the institutions which had been accredited by KAN or accreditation agencies in the said countries having mutual recognition agreement (MRA) with KAN.

(2) LPK as intended in paragraph (1) shall register their institutions to the Secretariat General in this case the Standardization Center by using the form of application as contained in Attachment XI to this regulation.

(3) Overseas LPK abiding by bilateral or regional agreements signed by the Government of the Republic of Indonesia and other ASEAN member countries or other regional countries can evaluate conformance of imported goods subjected to compulsory SNI accordance with the provisions in licensing.

Article 24

(1) The Secretariat general in this case the Standardization Center, evaluates applications for registration of LPK by observing information from KAN.

(2) Based on the evaluation as intended in paragraph (1) , the secretariat general in this case the Standardization center issue:

(3) The registered LLPK can apply for addition and reduction of the scope of the Secretariat general in this case the Standardization center by using the form as contained in Attachment XI to this regulation.

Article 25

The registration decision as intended in article 24 paragraph (2) sub-paragraph a is valid for 3 (three) years and can be extended by using the form as contained in attachment XII to this regulation.

Article 26

The Secretariat general in this case the Standardization Center and KAN can verify collectively in the case of performance of the registered LKP as intended in article (2) sub-paragraph a being complained.

Article 27

(1) In the case of result of the verification as intended in particle 26 not fulfilling the requirement, the Secretariat general in this case the Standardization Center shall nullify the registration decision by using the form as contained in Attachment XIV to this regulation.

(2) In the case business communities already securing NRP or SPB on the basis of the conformance Certificate from LPK whose registration has been nullified as intended in paragraph (1), NRP or NPB shall remain valid until the validity period or the conformance certificate expires.

Article 28

(1) The registered LPK shall convey periodical report every three months as well as copy of the conformance certificate of goods which had already been subjected to compulsory SNI to the Secretariat general in this case the Standardization center.

(2) the secretariat general in this case the Standardization center shall impose sanction in the form of written warning on LPK not conveying the periodical report as intended in paragraph (1) twice consecutively.

(3) In the case o LPK not abiding by the written warning in two weeks as from the issuance of the written warning as intended in paragraph (2), is subject to sanction in the form of nullification of registration.

CHAPTER VI
FOSTERING

Article 29

The secretariat general in this case the Standardization center shall coordinate working units of provincial/regional/municipal Governments in charge for trading affairs to foster business communities and the society , covering technical assistance, training consultancy, market analysis, promotion and dissemination in the Standardization sector.

CHAPTER VII
SANCTION

Article 30

(1) Business communities which do not register the domestic or imported products, which is subjected to compulsory SNI as intended in Article 9 and Article 16,is subject to administrative sanction in the former withdrawal of goods from circulation.

(2) The withdrawal of the goods as intended in paragraph (1) shall be done by business communities and the withdrawing costs of the goods shall be borne by the business communities.

Article 31

(1) Business communities which had already secured the NRP and not mentioning NRP as intended in Article 12 paragraph (2) shall be subjected to administrative sanctions in the form of written warning from the Director general of foreign trade in this case the director of supervision and control over the quality of goods.

(2) The written warning as intended in paragraph (1) shall be issued twice consecutively at the maximum, in a time interval of 2 (two) weeks.

(3) In the case of in the deadline as intended in paragraph (2) business communities not abiding by the writing warning, the relevant shall be subjected to administrative sanction in the form of nullification of NRP and withdrawal of goods from circulation.

Article 32

(1) Business communities not conveying change in the information as intended in Article 14 paragraph (1) shall be subjected administrative sanction in the form of written warning from the Director general foreign trade in this as the director of supervision and control over the quality of goods.

(2) The written warning as intended in paragraph (1) shall be issued twice consecutively at the maximum in a time interval of 2 (two) weeks.

(3) In the case of in the deadline as intended in paragraph (2, business communities not abiding by the written warning, the relevant shall be subjected to NRP and withdrawal of goods form circulation.

Article 33

(1) Business communities already securing SPB and not mentioning NPB as intended in article 19 paragraph (2) shall be subjected to administrative sanctions in the form of written warning from the director general of foreign trade in this case the director of supervision and control over the quality of goods.

(2) In the written warning as intended in paragraph (1) shall be issued twice consecutively at the maximum in a time interval of 2 (two) weeks.

(3) In the case of the deadline as intended in paragraph (2), business communities are not abiding by the written warning, the relevant shall be subjected to administrative sanction in the form of withdrawal of imported goods from circulation.

Article 34

Business communities having NRV which had already been nullified as intended in article 14 paragraph (2) sub-paragraphs a, b, c and d would be subjected to administrative sanction in the form of withdrawal goods from circulation.

Article 35

The official authorized to order the withdrawal of goods from circulation as intended in article 30, article 31 paragraph (3)), article 33 paragraph (3) and article 34 shall be the Director General of domestic trade on behalf of the minister.

Article 36

(1) withdrawal of goods from circulation by business communities shall be done in the deadline of withdrawal adjusted to the condition and geography of the respective regions.

(2) Starting from the date of issuance of the order to withdraw goods from circulation, business communities shall be prohibited from trading the goods as intended in article 35.

Article 37

The head of service in charge of trading affairs in the provinces/regencies/cities and their related technical institutions shall monitor the withdrawal of the goods from circulation as intended in article 36.

Article 38

(1) Businesses communities which do not withdraw the goods from circulation as intended in article 36 shall be subjected to administrative sanction in the form of revocation of business license and/or registration identity issued by the authorized official in the trading sector.

(2) Business communities whcih do not re-export or destroy the goods as intended in article 19 paragraph (4) shall be subjected to administrative sanction in the form of revocation of business license and/or registration identity issued by the authorized official in the trading sector.

Article 39

Revocation of the business license as intended in article 37 shall b done by the official authorized to issue the license.

Article 40

Business communities producing or trading goods which do not fulfill the conformance standards as intended in article 20 paragraph (2) shall be liable to penalty in accordance with Law No. 8/1999 on consumer protection.

CHAPTER VIII
TRANSITIONAL PROVISION

Article 41

(1) Business communities trading goods which had already been subjected to compulsory SNI and circulating on the market upon the enforcement of this regulation shall be given opportunity for one year as from the date of enforcement of this regulation to mention NRP or NPB is the goods or packages.

(2) In the case of the goods still circulating on the market in the period as intended paragraph (1) , business communities shall mention NRP or NPB in the goods or packages

CHAPTER IX
CONCLUSION

Article 42

With enforcement of this regulation, decree of the minister of industry and trade No. 653/MPP/KEP/11/2002 on Standardization and supervision over the Indonesian National Standards shall be revoked and declared null and void.

Article 43

The regulation shall come into force effectively in 6 (six) months as from the date of stipulation.

For public cognizance, the regulation shall be published in state gazette of the republic of Indonesia.

Stipulated in Jakarta
On March 7, 2007
THE MINISTER OF TRADE
Signed
MARI ELKA PANGESTU


Attachment to REGULATION OF THE MINISTER OF TRADE
No. 14/M-DAG/PER/3/2007