PRESIDENT REGULATION OF THE REPUBLIC OF INDONESIA
No. 3/1997

CONCERNING
THE SUPERVISION AND CONTROL OVER ALCOHOLIC DRINKS

THE PRESIDENT OF THE REPUBLIC OF INDONESIA,

Considering :

• a. that the control over production, distribution and sale or display of alcoholic drinks particularly strong drinks, is very important within the framework of ensuring peace and order in Indonesian public life;
• b. that in this connection, it is deemed necessary lay down provisions concerning the control over production, distribution and sale or display of alcoholic drinks particularly strong drinks, as well as their supervision.

In view of :

• 1. Article 4 paragraph (1) of the Constitution of 1945;
• 2. Law No.5/1974 on the principles of administration in regions (Statute Book 1974 No.38, Supplement to Statute Book No.3037);
• 3. Law No. 5/1984 on industries (Statute Book 1984 No.22, Supplement to Statute Book No.3274);
• 4. Law No. 23/1992 on health affairs (Statute Book 1992 No.100, Supplement to Statute Book No.3495);
• 5. Law No. 7/1996 on foods (Statute Book 1996 No.99, Supplement to Statute Book No.3656);
• 6. Government Regulation No. 11/1962 on the trading of goods under supervision (Statute Book 1962 No.46, Supplement to Statute Book No.2473);
• 7. Government Regulation No. 17/1986 on the authority over industrial fostering and development (Statute Bock 1986 No.23, Supplement to Statute Book No.3330);
• 8. Government Regulation No. 15/1991 on Indonesian national standards (Statute Book 1991 No.19, Supplement to Statute Book No.3434);
• 9. Government Regulation No. 13/1995 on the industrial business licence (Statute Book 1995 No.25, Supplement to Statute Book No.3596);
• 10. Presidential Decree No. 12/1991 on the formulation, application and control of Indonesian national standards.

DECIDES:

To stipulate:

THE PRESIDENTIAL DECREE ON THE SUPERVISION AND CONTROL OVER ALCOHOLIC DRINKS.

CHAPTER I
GENERAL PROVISIONS

Article 1

Hereinafter referred to as alcoholic drinks shall be drinks containing ethanol which are processed from agricultural materials containing carbohydrate by fermentation and distillation or fermentation without distillation, whether or not pretreatment is given and whether or not other materials are added, and which are processed by mixing concentrate with ethanol or by diluting drinks containing ethanol.

CHAPTER II
CATEGORIES AND QUALITY STANDARDS

Article 2

(1) Alcoholic drinks from domestic industries and from imports are grouped into the following categories:

• a. Alcoholic drinks of category A are those with 1 % (one percent) up to 5% (five percent) ethanol content (C2H5OH);
• b. Alcoholic drinks of category B are those with more than 5% (five percent) up to 20% (twenty percent) ethanol content (C2H5OH);
• c. Alcoholic drinks of category C are those with more than 20% (twenty percent) up to 55% (fifty-five percent) ethanol content (C2H5OH).

(2) Alcoholic drinks of category B and category C shall be goods whose production, distribution and sale are under supervision.

CHAPTER III
PRODUCTION

Article 3

(1) The domestic production or manufacture of alcoholic drinks can only be realised with the licence of the Minister of Industry and Trade pursuant to Government Regulation No.13/1995 on the industrial business licence.

(2) By observing Article 3 of Government Regulation No.13/1995 on the industrial business licence, supervision over the traditional manufacture of alcoholic drinks shall be conducted by the Governor/Head of the First Level Region on the basis of directives provided by the Minister of Industry and Trade.

Article 4

(1) The distribution and or sale of alcoholic drinks as meant in Article 2 paragraph (2) in public places shall be prohibited, except at hotels, bars, restaurants and in certain other places determined by the Regent/Mayor/Head of the Second Level Region and the Governor/ Head of the Special Region of Capital City of Jakarta for Jakarta.

(2) The certain other places as rneant in paragraph (1) shall not be close to places of worship, schools, hospitals or certain other locations determined by the Regent/Mayor/Head of the Second Level Region and the Governor/Head of the Special Region of Capital City of Jakarta for Jakarta.

Article 5

Prohibited from distributing or selling alcoholic beverages and as referred to in Article 2 paragraph (2) to which are no older than 25 (twenty five) years.

Article 6

(1) The alcoholic drinks as meant in Article 3 shall fulfil relevant quality standards.

(2) The Minister of Health shall stipulate quality standards for alcoholic drinks as meant in paragraph (1).

Article 7

The Minister of Industry and Trade shall stipulate:

• a. provisions concerning the import, distribution arid sale of alcoholic drinks;
• b. types or products of alcoholic drinks which are permitted for domestic sale or trading.

CHAPTER IV
CONCLUSION

Article 8

The Minister of Finance shall stipulate the amounts of excise on domestically produced alcoholic drinks, and import duty, excise and other taxes on imported alcoholic drinks, pursuant to the laws in force by considering the suggestions of the Minister of Industry and Trade and the Minister of Health.

Article 9

The supervision and control over alcoholic drinks as stipulated in this presidential decree shall be conducted by the Minister of Industry and Trade in coordination with relevant government agencies.

Article 10

(1) With the enforcement of this presidential decree, all regional regulations concerning the supervision and control over alcoholic drinks shall be reviewed and adjusted to the provisions stipulated herein.

(2) The Minister of Home Affairs shall implement and stipulate directives for the review and adjustment of regional regulations as meant in paragraph (1).

Article 11

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

Stipulated in Jakarta
On January 31, 1997

THE PRESIDENT OF THE REPUBLIC OF INDONESIA,
sgd.
SOEHARTO