PRESIDENT REGULATION OF THE REPUBLIC OF INDONESIA
No. 58/2004

CONCERNING
THE SETTLEMENT OF ILLEGALLY IMPORTED SUGAR

THE PRESIDENT OF THE REPUBLIC OF INDONESIA,

Considering:

• a. that sugar constitutes a commodity having strategic value for food security and driving up Indonesian economic growth;
• b. that procurement of sugar coming from illegal import inflicts a considerable loss on income of domestic cane farmers/sugar producers;
• c. that in the framework of realizing the government program to create self-sufficiency in sugar and raise income of sugar cane farmers, it is deemed necessary to regulate the settlement of illegally imported sugar by a presidential decree;

In view of:

• 1. Article 4 paragraph (1) of the Constitution of 1945 as already amended by the Fourth Amendment to the Constitution of 1945;
• 2. Law No. 8/Prp/1962 on trade of supervised goods (Statute Book 1962 No. 42, Supplement to Statute Book No. 2469);
• 3. Law No. 5/1984 on industry (Statute Book 1984 No. 22, Supplement to Statute Book No. 3274);
• 4. Law No. 10/1995 on customs affairs (Statute Book 1995 No. 75, Supplement to Statute Book No. 3612);
• 5. Government Regulation No. 11/1962 on trade of supervised goods (Statute Book of 1962 No. 46, Supplement to Statute Book No. 2473) as already amended by Government Regulation No. 19/2004 (Statute Book of 2004 No. 68, Supplement to Statute Book No. 4402);

DECIDES:

To stipulate :

THE PRESIDENTIAL DECREE ON THE SETTLEMENT OF ILLEGALLY IMPORTED SUGAR.

Article 1

Referred to in this presidential decree as:

• 1. Sugar shall be raw sugar, refined sugar and plantation white sugar;
• 2. Raw sugar shall be sugar used as raw material of production, subsumed into Tariff Heading/HS 1701. 11.00.00 and 1701.12.00.00;
• 3. Refined sugar shall be sugar used as raw material of production, subsumed into Tariff Heading/HS 1701.99.11.00 and 1701.99.19.00;
• 4. Plantation white sugar shall be sugar consumed directly without further process, subsumed into Tariff Heading/ HS No. 1701.91.00.00 and 170.99.90.00;
• 5. The Minister shall be the minister in charge of trade affairs.

Article 2

(1) Procurement of sugar already stipulated as supervised goods on the basis of Presidential Decree No. 57/2004 on stipulation of sugar as supervised goods through the import shall be restricted.

(2) Sugar procured through the import not according to the import restriction provision as meant in paragraph (1) shall be declared as illegally imported sugar.

(3) The illegally imported sugar as meant in paragraph (2) shall be stipulated as goods forbidden from importing as meant in Law No. 10/1995 on customs affairs.

(4) The sugar as meant in paragraph (3) shall be declared controlled and owned by the state in accordance with the provisions in Articles 68, 69 letter c and 73 paragraph (1) of Law No. 10/1995 on customs affairs.

Article 3

Auction shall be applied to the goods as meant in Article 2 paragraph (3) through public auction.

Article 4

The minister shall execute the auction in accordance with the provisions of the laws in force.

Article 5

The utilization of sugar resulting from auction shall continue to be supervised by the minister in the framework of distribution after securing consideration from the ministers concerned.

Article 6

With the enforcement of this presidential decree, all provisions on settlement of illegally imported sugar shall be declared to remain effective as long as they do not contravene and have not been replaced by the new ones on the basis of this presidential decree.

Article 7

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

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

Stipulated in Jakarta
On July 26, 2004

THE PRESIDENT OF THE REPUBLIC OF INDONESIA
sgd
MEGAWATI SOEKARNOPUTRI

Promulgated in Jakarta
On July 26, 2004

THE STATE SECRETARY OF THE REPUBLIC OF INDONESIA
sgd
BAMBANG KESOWO