REGULATION OF THE MINISTER OF TRADE
No. 27/M-DAG/PER/7/2008

CONCERNING
PROVISIONS ON THE EXPORT OF COFFEE

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

Considering:

• a. that in the framework to increase exported coffee it is necessary to be supported by good administration of coffee exported implementation;
• b. that in correlation with a, it is needed to revoke Regulation of the Minister of Trade No. 26/M-DAG/PER/12/2005 concerning Provisions on the Export of Coffee and re-arrange those provisions;
• c. that based on consideration as described in a and b, it is necessary to stipulate Regulation of the Minister of Trade;

In view of:

• 1. Trade Law 1934 (Statute Book No. 86/1938);
• 2. Law No. 5/1984 concerning Industry (Statute Book of the Republic of Indonesia No. 22/1984, Supplement to Statute Book of the Republic of Indonesia No. 3274);
• 3. Law No. 10/1995 concerning Customs (Statute Book of the Republic of Indonesia No. 75/1995, 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 No. 93/2006, Supplement to Statute Book of the Republic of Indonesia No. 4661);
• 4. Law No. 32/2004 concerning Regional Administration (Statute Book of the Republic of Indonesia No. 125/2004, Supplement to Statute Book of the Republic of Indonesia No. 4437) that is amended by Law No. 8/2005 (Statute Book of the Republic of Indonesia No. 108/2005, Supplement to Statute Book of the Republic of Indonesia No. 4548);
• 5. Presidential Decision No. 260/1967 concerning the Affirmation of Tasks and Responsibility of the Minister of Trade in the Field of Foreign Trade;
• 6. Presidential Decision No. 187/M/2004 concerning the Establishment of United Indonesia Cabinet that is amended several times and the latest by Presidential Decision No. 171/M/2005;
• 7. 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;
• 8. Presidential Regulation No. 10/2005 concerning First Echelon Organizational Units and Tasks of State Ministries of the Republic of Indonesia that is amended several times, and the latest by Presidential Regulation No. 50/2008;
• 9. Decision of the Minister of Industry and Trade No. 164/MPP/Kep/6/1996 concerning Mandatory Quality Control over Certain Exported Products;
• 10. Decision of the Minister of Industry and Trade No. 558/MPP/Kep/12/1998 concerning General Provisions in Export that is amended several times and the latest by Regulation of the Minister of Trade No. 01/M-DAG/PER/1/2007;
• 11. Regulation of the Minister of Trade No. 01/M-DAG/PER/3/2005 concerning 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. 24/M-DAG/PER/6/2009;
• 12. Regulation of the Minister of Trade No. 43/M-DAG/PER/10/2007 concerning the Issuance of Certificate of Origin to Exported Products of Indonesia;

HAS DECIDED:

To revoke:

REGULATION OF THE MINISTER OF TRADE NO. 26/M-DAG/PER/12/2005 CONCERNING PROVISIONS ON THE EXPORT OF COFFEE

To stipulate:

REGULATION OF THE MINISTER OF TRADE CONCERNING PROVISIONS ON THE EXPORT OF COFFEE

Article 1

In this Ministerial Regulation:

• 1. "Coffee is exported" refers to coffee classified into Tariff Post HS 09.01 and 21.01, as contained in Attachment I of this Ministerial Regulation.
• 2. "Export Approval of Coffee" hereinafter abbreviated to SPEK refers to a letter of approval of the export of coffee to all destination countries which issued by Agency who has responsibility on trade in Province/Regency/Municipality.
• 3. "Certificate of origin Form ICO" refers to a certificate used as an accompanying document of good (coffee) exported from throughout Indonesia, which proves that the good (coffee) comes, is produced and/or processed in Indonesia.
• 4. "Director General" refers to the Director General of Foreign Trade, Ministry of Trade.

Article 2

(1) Coffee may only be exported by companies already securing recognition as Registered Exporter of Coffee (ET-Coffee) from the Director General.

(2) The recognition as Registered Exporter of Coffee (ET-Coffee) shall valid as long as the said company exports coffee follow provisions in this Ministerial Regulation.

(3) The recognition as Registered Exporter of Coffee (ET-Coffee) as described in paragraph (2) shall be revoked if the Exporter of Coffee has not exported for the last 1 (one) year.

Article 3

(1) In order to secure the recognition as Registered Exporter of Coffee (ET-Coffee), companies shall propose written application to the Director General by enclosing the following documents:

• a. Trading Business License (SIUP) or business license from technical ministry/ Non ministerial Government Agency;
• b. Corporate Registry Number (TDP);
• c. Taxpayer Code Number (NPWP); and
• d. Recommendation from Agency whose has responsibility in Trading in Province/Regency/City that is appointed as the issuer of SPEK.

(2) The Director General shall issue approval of application as described in paragraph (1) in not later than 3 (three) working days as from the date of receipt of complete and true application.

(3) The Director General shall reject application as described in paragraph (1) in not later than 3 (three) working days as from the date of receipt application.

Article 4

(1) To export coffee only can be done if has Export Approval of Coffee (SPEK).

(2) SPEK as described in paragraph (1) as contained in Attachment II to this Ministerial Regulation.

Article 5

(1) SPEK is issued by Agency who has responsibility on trade in Province/Regency/Municipality.

(2) The Agency who has responsibility on trade in Province/Regency/Municipality may be stipulated as institution issuing SPEK shall comply with the following requirements:

• a. being a coffee production center; and
• b. having export seaport.

(3) The requirements as described in paragraph (3) letter b shall not be applied to Aceh Tengah Regency.

(4) The Agency as described in paragraph (1), which may issue SPEK shall be stipulated by the Director General.

Article 6

(1) Exporter of Coffee shall propose writing proposal in order to secure SPEK to the Head of Agency as described in Article 5 paragraph (4) by enclosing:

• a. copy of recognition as ET-Coffee; and
• b. copy of evidence of payment of contribution to the Indonesian Coffee Exporters Association by showing the original evidence.

(2) Head of Agency as described in paragraph (1) issues SPEK in not later than 3 (three) working days as from the date of receipt of complete and true application to issue SPEK.

(3) SPEK shall valid only for 30 (thirty) days as from the date of issuance and may only be extended once.

(4) SPEK whose validity period elapses the deadline of the coffee year of until September 30, may not be extended.

(5) Coffee Year as described in paragraph (4) shall start from October 1 to September 30 of the next year.

(6) SPEK as described in paragraph (1) may be used for the shipment from all export ports Indonesia and shall be issued in 5 (five) copies with the designation to:

• a. original sheet to Customs and Excise Service Office;
• b. first copy to Foreign Exchange Bank;
• c. second copy to Agency whose has responsibility on trade in Province/Regency/Municipality;
• d. third copy for Directorate General of Foreign Trade in this case the Directorate of Export of Agricultural and Forestry Products, Ministry of Trade; and
• e. fourth to the said exporter.

Article 7

(1) Contribution as described in Article 6 paragraph (1) b is used to pay membership contribution of Indonesia at International Coffee Organization (ICO), develop farmers in the framework to increase production and quality, and also promotion of exported coffee.

(2) In the framework to increase production and quality, AEKI can do cooperation with related Agencies.

(3) The amount of contribution as described in paragraph (1) shall be stipulated through an agreement of members of AEKI in a general meeting or plenary board meeting of AEKI by taking into account the Limit and Comparation of Weight (conversion) of coffee as contained in Attachment Ill to this Ministerial Regulation.

(4) AEKI shall convey financial statement related to the use of the contribution as described in paragraph (1) to the Minister of Trade at the beginning of the next coffee year.

Article 8

(1) Province/Regency/Municipality Agency as described in Article 5 paragraph (4) shall submit report on the realization of the issuance of Export Approval of Coffee (SPEK) of the month of the issuance to the Director General through the Director of Export of Agricultural and Forestry Products in not later than 10th of the next month.

(2) Province/Regency/Municipality Agency as described in Article 5 paragraph (4) failing to fulfill the obligation to report the realization of the issuance Export Approval of Coffee (SPEK), may be subject to be reconsidered of stipulation as the issuer of Export Approval of Coffee (SPEK).

Article 9

(1) The exported coffee shall comply with the quality standard stipulated by the Minister of Trade and shall be accompanied by Certificate of Origin (SKA) Form ICO as described in Regulation of the Minister of Trade concerning the Issuance of Certificate of Origin to Indonesia's exported goods.

(2) SKA Form ICO as described in paragraph (1) shall be as contained in Attachment IV to this Ministerial Regulation.

Article 10

(1) Coffee exporter shall be obliged to convey report on the realization of the export of coffee in writing every 3 (three) months to the Director General through the Director of Export of Agricultural and Forestry Products.

(2) The report as described in paragraph (1) shall be submitted in not later than every October 10, January 10, April 10 and July 10.

(3) Model of report on activities and realization of the export of coffee shall be as contained in Attachment V of this Ministerial Regulation.

Article 11

Recognition as Registered Coffee Exporter (ET-Coffee) shall be frozen if it does not send the Report as described in Article 10 twice consecutively.

Article 12

Recognition as Registered Coffee Exporter (ET-Coffee) which has been frozen as described in Article 11 may be re-activated if it report the realization of the export of coffee in not later than 30 (thirty) days as from the date of freezing.

Article 13

Recognition as Registered Coffee Exporter (ET-Coffee) shall be revoked in the event exporter:

• a. has not exported in last one coffee year; or
• b. coffee is exported without SPEK.

Article 14

Freezing, re-activation and revocation as ET-Coffee shall be done by the Director General with copies to Head of Province/Regency/Municipality Agency of area issuing SPEK whose has responsibility in trade.

Article 15

This regulation shall come into force from the date of stipulation.

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

Stipulated in Jakarta
on July 18, 2008
THE MINISTER OF TRADE
signed,
MARI ELKA PANGESTU