REGULATION OF THE MINISTER OF TRADE
No. 44/M-DAG/PER/10/2008

CONCERNING
PROVISIONS ON THE IMPORT OF CERTAIN PRODUCTS

BY THE GRACE OF ALMIGHTY GOD
THE MINISTER OF TRADE OF THE REPUBLIC OF INDONESIA,

Considering:

a. that the ongoing global economic crisis has caused uncertainties and brought about unfavorable impacts on Indonesian economics;
b. that in the framework of mitigating impacts of the un-certainties, it is necessary to boost the creation of fair business competition and consumer protection;
c. that in the framework of enhancing consumer protection and creating fair business competition, it is necessary to take policies on the import of certain products;
d. having regards letters a, band c, it is necessary to stipulate a regulation of the Minister of Trade;

In view of:

1. Trade Ordinance of 1934 (Statute Book of 1938 No. 86);
2. Law No. 5/1984 concerning Industry (Statute Book of the Republic of Indonesia Year1984 No. 22, Supplement to Statute Book of the Republic of Indonesia No. 3274);
3. Law of the Republic of Indonesia No. 23/1992 concerning Health (Statute Book of the Republic of Indonesia Year 1992 No. 100, Supplement to Statute Book of the Republic of Indonesia No. 3495);
4. Law of the Republic of Indonesia No. 7/1994 concerning Ratification of Agreement Establishing the World Trade Organization (Statute Book of the Republic of Indonesia Year 1994 No. 57, Supplement to Statute Book of the Republic of Indonesia No. 3564);
5. Law of the Republic of Indonesia No. 10/1995 concerning Customs (Statute Book of the Republic of Indonesia Year 1995 No. 75, Supplement to Statute Book of the Republic of Indonesia No. 3612) that is amended by Law No. 17/2006 (Statute Book of the Republic of Indonesia Year 2006 No. 93, Supplement to Statute Book of the Republic of Indonesia No. 4661);
6. Law of the Republic of Indonesia No. 7/1996 concerning Food (Statute Book of the Republic of Indonesia Year 1996 No. 99, Supplement to Statute Book of the Republic of Indonesia No. 3656);
7. Law of the Republic of Indonesia No. 36/2000 concerning Stipulation of Government Regulation in Lieu of Law No. 1/2000 concerning Free Trade Zone and Free Port to become a Law (Statute Book of the Republic of Indonesia No. 251/2000, Supplement to Statute Book of the Republic of Indonesia No. 4053) that is amended by Law No. 44/2007 concerning Stipulation of Government Regulation in Lieu of Law No. 1/2000 to become a Law (Statute Book of the Republic of Indonesia Year 2007 No. 130, Supplement to Statute Book of the Republic of Indonesia No. 4775;
8. Government Regulation No. 102/2000 concerning National Standardization (Statute Book of the Republic of Indonesia year 2000 No. 102, Supplement to Statute Book of the Republic of Indonesia No. 4020);
9. Presidential Decree No. 260/1967 concerning Affirmation of Tasks and Responsibility of the Minister of Trade in the Foreign Trade Sector;
10. Presidential Decree No. 187/M/2004 concerning the Establishment of United Indonesia Cabinet that is amended several times and the latest by Presidential Decree No. 171/M/2005;
11. Presidential Regulation No. 9/2005 concerning Status, Tasks, Functions, Organizational Structures and Working Arrangements of State Ministries of the Republic of Indonesia that is amended several times and the latest by Presidential Regulation No. 20/2008;
12. Presidential Regulation No. 10/2005 concerning First Echelon Organizational Units and Tasks of State Ministries of the Republic of Indonesia as already amended several times and the latest by Presidential Regulation No. 21/2008;
13. Decree of the Minister of Industry and Trade No. 229/MPP/Kep/7/1997 concerning General Provisions in Import;
14. Decree of the Minister of Industry and Trade No. 141/MPP/Kep/3/2002 concerning Special Importer Identity Number (NPIK) that is amended by Regulation of the Minister of Trade No. 07/M-DAG/PER/3/2008;
15. Regulation of the Minister of Trade No. 01/M-DAG/PER/3/2005 concerning the Organization and Working Arrangement of the Ministry of Trade that is amended several times and the latest by Regulation of the Minister of Trade No. 34/M-DAG/PER/8/2007;
16. Regulation of the Minister of Trade No. 31/M-DAG/PER/7/2007 concerning Importer Identity Number (API);
17. Regulation of the Minister of Trade No. 15/M-DAG/PER/5/2008 concerning Provision on the Import of Textile and Textile Products;

HAS DECIDED:

To stipulate:

THE REGULATION OF THE MINISTER OF TRADE CONCERNING PROVISION ON THE IMPORT OF CERTAIN PRODUCTS

Article 1

In this regulation:

1. "Import" shall an activity of importing goods into customs area.
2. "Certain products" refers to produces subject to import provision on the basis of this regulation, covering electronic goods, clothing, children toy, footwear and food and beverages
3. "Approved Importer" of Certain Products hereinafter called IT of Certain Products refers to companies importing certain products.
4. "Technical verification" or inquiry into import refers to technical inspection of certain products, which is executed in loading port of goods by surveyor.
5. "Surveyor" refers to a company authorized to verify or inquire technically imported goods.
6. "Minister" refers to the Minister of Trade.
7. "Director General" refers to the Director General of Foreign Trade.
8. "Director" refers to the Director of Import.

Article 2

(1) Certain products which may be imported shall be as contained in Attachment I to this regulation, which constitutes a part inseparable from this regulation.

(2) Companies planning to import the certain products as meant in paragraph (1) shall secure appointment as IT of Certain Products from the Minister.

(3) Application for securing the appointment as IT of Certain Products as as described in paragraph (2) shall be submitted in writing to the Director by enclosing the following documents:

a. Copy of Importer Identity Number (API);
b. Copy of Corporate Registry Number (TDP);
c. Copy of Taxpayer Code Number (NPWP);
d. Copy of Special Importer Identity Number (NPIK) for certain products whose import is subject to provision concerning NPIK;
e. Copy of Customs Identity Number (NIK);
f. Statement as attached in Attachment II, which contains recapitulation of the import of certain product with tariff heading/HS four digits in the last twelve months, signed by corporate executive on a sufficiently duty stamped paper, and
g. Import plan for one year, covering quantity, kinds of goods, tariff heading/HS 10 (ten) digits and destination port.

(4) With respect to the written application of the company as described in paragraph (3), the Director may ask for recommendation first from related technical institutions and/or associations as substance of consideration to issue or reject the application.

(5) The Director on behalf of the Minister shall issue or reject the application for securing the appointment as IT of Certain Products in not later than 7 (seven) working days as from the date of receipt of application.

Article 3

(1) The appointment as IT of Certain Products as described in Article 2 shall be valid for one year at the maximum and can be extended.

(2) The application for extending the appointment as IT of Certain Products as described in paragraph (1) shall be submitted in writing by the said company to the Director and return the original appointment as IT of certain products, already issued previously.

(3) In the case of the company submitting the application for extending the appointment as IT of Certain Products being unable to return the original appointment as IT of Certain Products already issued previously as described in paragraph (2), the company may not be given the extension of appointment as IT of Certain Products.

Article 4

(1) Companies already securing the appointment as IT of Certain Products shall submit written report on whether the import of certain products is realized or not.

(2) The report as described in paragraph (1) shall be submitted to the Director with a copy made available to the Director General every three months, in not later than the 15th of the ensuing month.

(3) The model of the written report on the realization of import by IT of Certain Products as described in paragraph (1) shall be as contained in Attachment III, which is inseparable part of this regulation.

Article 5

(1) The import of certain products by IT of Certain Product may be only realized through:

a. seaport: Belawan in Medan, Tanjung Priok in Jakarta,Tanjung Emas in Semarang, Tanjung Perak in Surabaya, and Soekarno Hatta in Makassar; and/or
b. all international airports.

(2) The import of certain products by IT of Certain Products for the need of free trade zones and free ports shall be governed in accordance with the provisions of legislation regarding free trade zones and free ports.

Article 6

(1) The certain products imported by IT of Certain Products shall be verified or inquired technically first by surveyor at loading port before the shipment.

(2) Result of the technical verification or inquiry by surveyor as described in paragraph (1) shall be written down into surveyor report (LS).

(3) LS as described in paragraph (2) shall constitute a document that must be conveyed by IT of Certain Products to officials of the Directorate General of Customs and Excise at destination seaports as described in Article 5 upon settling customs obligation.

(4) All costs of the technical verification or inquiry by the surveyors as described in paragraph (1) and paragraph (2) shall be borne by IT of Certain Products.

Article 7

(1) The technical verification or inquiry as described in Article 6 paragraph (1) shall be executed by surveyors appointed by the Minister.

(2) The appointed surveyors as described in paragraph (1) shall comply with the following requirements:

a. having experience as surveyor for five years at the minimum;
b. having branch or representative and/or affiliate abroad and having network to support effectiveness of verification service; and
c. having good track record in the field of import verification in the framework of implementing the policies of the Republic of Indonesia.

Article 8

The technical verification or inquiry by the surveyors as described in Article 6 paragraph (1) shall not reduce the authority of the Directorate General of Customs and Excise to undertake customs audit.

Article 9

Violation of the provisions in this regulation by IT of Certain Products shall be liable to revocation of appointment as IT of Certain Products.

Article 10

The imported certain products not suitable to the provision in this regulation shall be subject to sanction in accordance with the effective customs provisions.

Article 11

With the enforcement of this regulation, the provisions of legislation regarding the import of certain products shall remain effective as long as they do not contravene this regulation.

Article 12

This regulation shall come into force on December 15, 2008 and expire on December 31, 2010.

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

Stipulated in Jakarta
On October 31, 2008
THE MINISTER OF TRADE
sgd
MARI ELKA PANGESTU

REGULATION OF THE MINISTER OF TRADE No. 44/M-DAG/PER/10/2008

CONCERNING PROVISIONS ON THE IMPORT OF CERTAIN PRODUCTS

BY THE GRACE OF ALMIGHTY GOD THE MINISTER OF TRADE OF THE REPUBLIC OF INDONESIA,