REGULATION OF THE DIRECTOR GENERAL OF CUSTOMS AND EXCISE
No. P-26/BC/2007

CONCERNING
PROCEDURES FOR CHANGING LOCATION OF COLLECTION OF IMPORTED GOODS HAVING CUSTOMS LIABILITIES NOT YET SETTLED FROM A PROVISIONAL COLLECTION PLACE TO OTHER PROVISIONAL COLLECTION PLACE

DIRECTOR GENERAL OF CUSTOMS AND EXCISE,

Considering:

a. that the change in location of collection of imported goods having customs liabilities not yet settled because of demand for the smooth flow of goods at seaports is potential to make state rights not fulfilled;
b. that efforts enhance service for facilitating the flow of imported and imported goods need to be followed by effective and efficient customs supervisory system to prevent violation of legislation in force;
c. that based on the consideration as intended in a and b, it is necessary to stipulate a regulation of the Director General of Customs and Excise concerning procedures for changing location of collections of imported goods having customs liabilities not yet settled from a provisional collection place to other provisional collection place;

In view of:

1. Law No. 10/1995 concerning Customs (Statute Book No. 75/1995, Supplement to Statute Book No. 3612) as amended by Law No. 17/2006 (Statute Book No. 93/2006, Supplement to Statute Book No. 4661);
2. Presidential Regulation No. 95/2006 concerning the organization and working arrangement of vertical institutions within the Ministry of Finance as amended by Presidential Regulation No. 22/2007;
3. Decision of the Minister of Finance No. 453/KMK.04/2002 concerning Customs Procedures in Import as amended several times, the latest by Decision of the Minister of Finance No. 112/KMK.04/2003;
4. Decision of the Minister of Finance No. 557/KMK.04/2002 concerning Customs Procedures in Export;
5. Regulation of the Minister of Finance No. 39/PMK.04/2006 concerning Procedures for Giving Up Notification about Arrival Plan of Carriers, Inward Manifest of Carriers and Outward Manifest of Carriers as amended by Regulation of the Minister of Finance No. 108/PMK.04/2006;
6. Regulation of the Minister of Finance No. 68/PMK.01/2006 concerning Organization and Working Arrangement of Vertical Institutions of the Directorate General of Customs and Excise;
7. Regulation of the Minister of Finance No. 70/PMK.04/2007 concerning Customs Areas and Provisional Collection Place;

HAS DECIDED:

To stipulate:

THE REGULATION OF THE DIRECTOR GENERAL OF CUSTOMS AND EXCISE ON PROCEDURES FOR CHANGING LOCATION OF COLLECTION OF IMPORTED GOODS HAVING CUSTOMS LIABILITIES NOT YET SETTLED FROM A PROVISIONAL COLLECTION PLACE TO OTHER PROVISIONAL COLLECTION PLACE

Article 1

In this regulation:

1. Imported Goods are goods imported into the customs area.
2. Customs Offices are Customs and Excise Service Offices where the customs liabilities are settled.
3. Customs Area is area with certain borders at seaport, airport or other place stipulated for the traffic of goods, which is fully under supervision of the Directorate General of Customs and Excise.
4. Provisional Collection Place (TPS) is building and/or square or other place treated such that in the customs area to collect goods, pending the loading or release.
5. Officials are employees of the Director General of Customs and Excise appointed in certain positions to implement certain tasks on the basis of Law No. 10/1995 as already amended by Law No. 17/2006.
6. Organizers of Provisional Collection Places (Organizers of TPS) are entrepreneurs managing collecting square or warehouse of containers or imported goods in a customs area inside seaport area, securing license as organizers of TPS from the Minister of Finance on the basis of the customs law.
7. Yard Occupancy Ratio (YOR) is ratio of the utilization quantity of collection square to the available size of square, counted in unit of ton/day or m3/day.
8. Shed Occupancy Ratio (SOR) is ratio of the utilized size of collection space to the size of the available collection space, counted in unit of ton/day or m3/day.
9. Change in Collection Location (PLP) is the change in location of collection of imported goods having customs liabilities not yet settled from a warehouse or collection square of certain provisional collection place (TPS) to a certain collection warehouse or square or other TPS inside a supervisory area of Customs Office.
10. Container Scan Inspection System are physical inspection system of imported goods in container by using container scanner.
11. Customs Offices are Primary Customs and Excise Offices and Customs and Excise Supervisory and Service Offices.

Article 2

(1) Any change in location of collection (PLP) only can be done after securing license from official in charge of manifest administration affairs on behalf of heads of customs offices on the basis of applications from organizers of TPS managing collection warehouse or square of origin.

(2) In the framework of making decision on application for PLP, officials in charge of manifest administration affairs can coordinate officials in charge of disciplining and investigation affairs.

Article 3

(1)The license to PLP as intended in Article 2 can be issued in the case of:

a. YOR or SOR of the said TPS already exceeding 85% and based on the recommendation of heads of customs offices, stagnancy being potential to come; or
b. Consolidation imported goods, transport of imported goods using one container for more than one or many addresses bf consignees/recipients of goods (Less than Container Load = LCL) ; or
c. Imported goods characteristically requiring special storage or collection, facilities and infrastructure and not available in warehouse or collection square of goods in the provisional collection place.

(2) Organizers of TPS submitting application for PLO shall mention:

a. information specifying that the limit of YOR or SOR of the said TPS exceeded 85% in the case of applications being submitted on the basis of the condition as intended in paragraph (1) (a);
b. detail of quantity and kind of goods, names of consignees, number of coli, or number of container and number of seal of service for imported goods to which PLP is requested;
c. statement of organizers of TPS being destination of PLP with regards the availability of space or collection place of imported goods to which PLP is requested.

(3)The format of application for PLP shall be as contained in Attachment I to this regulation.

Article 4

(1) Decision on application for PLP shall be issued in not later than 3 (three) working days as from the date of receipt of application for PLP and the supporting documents as intended in Article 3 paragraph (2) completely.

(2) In case of the period as intended in paragraph (1) elapsing, the application for PLP shall be deemed acceptable and decision on approval shall continue to be issued.

(3) Decision on application for PLP shall be attached to the application for PLP as intended in Attachment I to this regulation.

(4)The application for PLP already approved as intended in paragraph (3) shall be used as protector of the transport of imported goods in the implementation of PLP.

Article 5

(1) The granting of license to PLP on account that YOR or SOR of the said TPS surpassed 85% as intended in Article 3 paragraph (1) letter a only can apply to imported goods categorized as low risk commodities and imported by low risk importers.

(2) Officials in charge of disciplining and investigation affairs in customs offices can examine by using container scanner inspection system for imported goods given license to PLP.

(3) In the case of examination by the container scanner inspection system concluding alleged customs violation and further physical inspection being needed, heads of customs offices can order officials in charge of disciplining and investigation affairs to promptly undertake ex-officio inspection and/or take other necessary measures for safeguarding the financial rights of the state to the said goods.

Article 6

(1)The transport of imported goods already securing license to PLP from TPS of origin to TPS of destination shall be protected by seal and can be escorted if necessary.

(2)The sealing shall be done by customs and excise officials supervising the release of goods in TPS of origin of goods.

(3)The seal as intended in paragraph (2) only can be broken by customs and excise officials supervising the import of goods in TPS of destination.

(4) Organizers of TPS submitting application for PLP shall guarantee that the sea as intended in this paragraph is not spoiled, broken or disappearing.

(5) Negligence on the obligation as intended in paragraph (4) shall be subject to sanction on the basis of Article 105 of Law No. 16/2006 concerning the amendment to Law No. 10/1995 concerning Customs.

Article 7

(1) Organizer of origin TPS should makes bookkeeping of imported goods that get PLP permit and have brought out from origin TPS.

(2) Organizer of destination TPS should make bookkeeping of imported goods that get PLP permit and have unloaded in destination TPS.

(3) As responsibility of PLP implementation, Organizers of origin and destination TPS should make monthly report of Imported Goods PLP Recapitulation to Head of Customs Office with attn. to Official who handles manifest administration.

(4) Monthly report of Imported Goods PLP Recapitulation uses format as intended in Attachment II of this Regulation.

Article 8

(1) Organizer of TPS that propose PLP has responsibility of Import Duty, Excise and Tax in Import should be paid of imported goods that get PLP permit until they have moved to destination TPS as stipulated in Article 32 of Law No. 17/2006 concerning Amendment to Law No. 10/1995 concerning Customs.

(2) Every costs and risks related to implementation of PLP are responsibility of organizer who request PLP.

(3) Procedures and Implementation of PLP are intended in Attachment II of this Regulation.

Article 9

Calculation of stacking period of imported goods that not pay customs obligations from stacking in the first TPS.

Article 10

(1) Releasing Imported Goods that not pay customs obligations with TPS destination except port at other Customs Office use transited mechanism (BC 1.2).

(2) Releasing Imported Goods as intended in article (1) only be given in case:

a. Imported goods will be moved are imported goods of low risk commodity category and are imported by low risk importer; or
b. Imported goods with characteristic need structure and infrastructure of special storage and stacking handling that is not available in temporary stacking yard in origin Customs Office.

Article 11

This Regulation of the Director General shall take effect on September 1, 2007.

For public cognizance, this Regulation of the Director General shall be published by placing in State Gazette of the Republic of Indonesia.

Stipulated in Jakarta
on August 30, 2007
The Director General,
signed,
Anwar Suprijadi
NIP 120050332

REGULATION OF THE DIRECTOR GENERAL OF CUSTOMS AND EXCISE No. P-26/BC/2007

CONCERNING PROCEDURES FOR CHANGING LOCATION OF COLLECTION OF IMPORTED GOODS HAVING CUSTOMS LIABILITIES NOT YET SETTLED FROM A PROVISIONAL COLLECTION PLACE TO OTHER PROVISIONAL COLLECTION PLACE