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REGULATION OF THE MINISTER OF TRADE
NUMBER 64/M-DAG/PER/10/2012

CONCERNING
PROVISIONS ON THE EXPORT OF FORESTRY INDUSTRY PRODUCTS

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

Attachment

Considering:

a. that in the framework to support the addition processing of the forestry industry products it is necessary to be supported by a legal source of raw materials and sustainable managed;

b. that in the framework to encourage exports and prevent the illegal trade of timber and timber products, adjustments to the establishment of a new system of classification of goods and timber legality verification standards, it is necessary to re-arrange provisions of the export of forestry industry;

c. that based on the considerations as intended in paragraphs a and b, it is necessary to stipulate Regulation of the Minister of Trade;

In view of:

1. Trade Law 1934 (Statute Book Number 86 of 1938);

2. Law Number 5 of 1984 concerning Industry (Statute Book of the Republic of Indonesia Number 22 of 1984, Supplement to Statute Book of the Republic of Indonesia Number 3274);

3. Law Number 10 of 1995 concerning Customs (Statute Book of the Republic of Indonesia Number 75 of 1995, Supplement to Statute Book of the Republic of Indonesia Number 3612) as amended by Law Number 17 of 2006 (Statute Book of the Republic of Indonesia Number 93 of 2006, Supplement to Statue Book of the Republic of Indonesia Number 4661);

4. Law Number 41 of 1999 concerning Forestry (Statute Book of the Republic of Indonesia Number 167 of 1999, Supplement to Statute Book of the Republic of Indonesia Number 3888) as amended by Law Number 19 of 2004 concerning Stipulation of Government Regulation in Lieu of Law Number 1 of 2004 concerning Amendment to Law Number 41 of 1999 concerning Forestry Become Law (Statute Book of the Republic of Indonesia Number 86 of 2004, Supplement to Statute Book of the Republic of Indonesia Number 4412);

5. Government Regulation Number 6 of 2007 concerning Forest Management and Preparing of Forest Management Planning, And Forest Utilization (Statute Book of the Republic of Indonesia Number 22 of 2007, Supplement to Statute Book of the Republic of Indonesia Number 4696) as amended by Government Regulation Number 3 of 2008 (Statute Book of the Republic of Indonesia Number 16 of 2008, Supplement to Statute Book of the Republic of Indonesia Number 4814);

6. Presidential Decree Number 260 of 1967 concerning Affirmation of Duties and Responsibilities of the Minister of Trade in the Field of Foreign Trade;

7. Presidential Decree Number 84/M of 2009 concerning United Indonesia Cabinet II, as amended by Presidential Decree Number 59/P of 2011;

8. Presidential Decree Number 47 of 2009 concerning the Establishment and Organization of the State Ministries, as amended several times, the latest by Presidential Regulation Number 91 of 2011;

9. Presidential Regulation Number 24 of 2010 concerning Position, Task, and Function of the State Ministries and Organizational Structure, Duties and Functions of First Echelon of State Ministries, as amended several times, the latest by Presidential Regulation Number 92 of 2011;

10. Regulation of the Minister of Trade Number 92/M-DAG/KEP/3/2007 concerning Delegation and Transfer of Authority to Sign Recognition, Registration, Licensing, or Certain Approval Letters in the field of Export and Import;

11. Regulation of the Minister of Trade Number 31/M-DAG/PER/7/2010 concerning Organization and Work Flow of the Ministry of Trade;

12. Regulation of the Minister of Trade Number 35/M-DAG/PER/11/2011 concerning Provisions on the Export of Rattans and Rattan Products;

13. Regulation of the Minister of Forestry Number P-38/Menhut-II//2009 concerning Standards and Guidelines for Assessment of Sustainable Production Forest Management and Timber Legality Verification of Permit Holder or at the Forest Rights, as amended by Regulation of the Minister of Forestry Number P.68/Menhut-II/2011;

14. Regulation of the Minister of Trade Number 13/M-DAG/PER/3/2012 concerning General Provisions in the field of Export;

DECIDES:

To stipulate:

REGULATION OF THE MINISTER OF TRADE CONCERNING PROVISIONS ON THE EXPORT OF FORESTRY INDUSTRY PRODUCTS

Article 1

In this Ministerial Regulation:

1. Forestry Industry Products are processed timber products and their derivatives as well as finishing rattan.

2. Timber is part and trunk containing cambium (ligno cellulose) excluding bamboo and/or the like.

3. Registered Exporter of Forestry Industry Products hereinafter abbreviated as ETPIK is a forestry industry company that has gained recognition to export Forestry Industry Products.

4. Registered Exporter of Forestry Industry Products Non Producer hereinafter called ETPIK Non Producer is a trading company that has gained recognition to export Forestry Industry Products.

5. Timber Legality Verification Agency hereinafter abbreviated as LVLK is an Indonesian legal entity to verify the legality of timber.

6. Timber Legality Certificate, hereinafter abbreviated as S-LK is a certificate given to the holder of permit, holder of rights management, or forest right owner stating that the holder of permit, holder of rights management, or forest right owner has met the standard of legality of timber.

7. V-Legal Document is a document stating that the timber products meet the standards of timber legality verification in accordance with the provisions of the regulation.

8. Timber Legality Verification Information Unit or Licensing Information Unit (LIU) is a unit of timber legality verification information management in the Ministry of Forestry.

9. Minister is minister who conducts government affairs in the field of trade.

10. Director General is director general who in charge of foreign trade affairs at the Ministry of Trade.

11. Director is a director who in charge of forestry product exports at the Directorate General of Foreign Trade Ministry of Trade.

Article 2

Forestry Industry Products that are restricted to be exported are listed in Attachment I that is an integral part of this Ministerial Regulation.

Article 3

(1) Export of Forestry Industry Products as intended in Article 2 may only be carried out by:

(2) ETPIK and ETPIK Non Producer as intended in paragraphs (1) a and b, are issued by the Director General.

(3) Director General delegates the authority to issue ETPIK and ETPIK Non Producer as intended in paragraph (2) to the Director.

Article 4

(1) To obtain recognition as ETPIK as intended in Article 3 paragraph (1) a, the forestry industry company must submit a written application to the Director.

(2) The application as intended in paragraph (1) shall include the following documents:

Article 5

(1) To obtain recognition as ETPIK Non Producer as intended in Article 3 paragraph (1) b, a trading company in the field of export of forestry industry products shall submit a written application to the Director.

(2) The application as intended in paragraph (1) shall include the following documents:

Article 6

(1) Director issued recognition as ETPIK and recognition as ETPIK Non Producer maximum 5 (five) working days after the application as intended in Article 4 and Article 5 is received completely and correctly.

(2) If the application as intended in Article 4 and Article 5 is not complete and correct, Director reject application for recognition as ETPIK and recognition as ETPIK Non Producer maximum 5 (five) working days after received the application along with reasons for the rejection.

Article 7

(1) Recognition as ETPIK and ETPIK Non Producer valid for 5 (five) years from the issuance and may be extended.

(2) The validity of ETPIK as intended in paragraph (1) if the company is still running the production activities and export Forestry Industry Products.

(3) The validity of ETPIK Non Producer as intended in paragraph (1) if the company is still running the export of forestry industry products.

Article 8

(1) In case of any changes to the data in the document as intended in Article 4 paragraph (2) or Article 5 paragraph (2), the company owner of ETPIK or ETPIK Non Producer shall apply for changes or ETPIK or ETPIK Non Producer since the changed of data by attaching changing document.

(2) In case of that one of the documents as intended in Article 4 paragraph (2) or Article 5 paragraph (2) will expire, the company owner or ETPIK or ETPIK Non Producer shall apply for changes or ETPIK or ETPIK Non Producer at least 10 (ten) working days before the document expires.

(3) Director issues changes of ETPIK and ETPIK Non Producer maximum 5 (five) working days from application as intended in paragraph (1) and/or (2) received completely and correctly.

(4) In case of that the application as intended in paragraph (1) and/or subsection (2) is not complete and correct, the Director rejected the change of ETPIK and the change of ETPIK Non Producers maximum 5 (five) working days after the application was received.

Article 9

ETPIK Non Producer can do cooperation with the forestry industry company that is IUI holder not ETPIK holder.

Article 10

In case of export carried by ETPIK Non Producer, Forestry Industry Products should come from forestry industry company that has cooperation as intended in Article 5 paragraph (2) f and Article 9 as listed in the ETPIK Non Producer document.

Article 11

(1) If it is necessary to the company that has gained recognition as ETPIK or ETPIK Non Producer, the Director may appoint official to carry out checking on:

(2) The checking as intended in paragraph (1) conducted by the officials from the Ministry of Trade, Ministry of Industry, and the Ministry of Forestry in coordinating and/or by an independent surveyor.

(3) The results of the checking as intended in paragraph (1) shall be in the form of Checking Report of ETPIK or ETPIK Non Producer.

(4) Checking Report of ETPIK or ETPIK Non Producer as intended in paragraph (3) shall be submitted to the Director no later than 30 (thirty) days after the checking.

Article 12

(1) Forestry Industry Products are included in Tariff Post/HS Ex. 4407.10.00.00 up to 4407.99.90.00; Ex. 4409.10.00.00 up to Ex. 4409.29.00.00; Ex. 4412.31.00.00 up to Ex. 4412.99.00.90 (special for laminated block, laminated board and bare core), Ex. 4418.10.00.00 up to Ex. 4418.90.90.00 (except for doors and shutters) and 9406.00.92.00 (special for prefabricated wooden building) can be exported if they meet the criteria and technical provisions as listed in Attachment II that is an integral part of this Ministerial Regulation.

(2) Forestry Industry products made from coconut timber and palm timber in the form of Surfaced Four Side (S4S) or further processing can be exported without being subject to size restrictions.

(3) Forestry Industry Products as intended in paragraph (1) that do not comply with the provisions and technical criteria as intended in Attachment II can be exported after approved in the coordination meeting among relevant technical agencies.

Article 13

(1) Every export of forestry industry products made from iron timber must be obtained Export Approval (SPE) from the Director General after obtain a recommendation from the Ministry of Forestry.

(2) To obtain the SPE as intended in paragraph (1), the company owner of ETPIK and ETPIK Non Producer must submit a written application to the Director General by enclosing:

(3) The Director General shall issue SPE maximum 10 (ten) working days after the application as intended in paragraph (2) was received completely and correctly.

(4) In case of the application as intended in paragraph (2) is not complete and correct, the Director General rejected the SPE maximum 10 (ten) working days after the application was received.

(5) The validity of SPE maximum 1 (one) year after the issuance.

Article 14

(1) Forestry Industry Products as intended in Article 2 shall include V-Legal Document except for forestry industry products as listed in Attachment I Group C.

(2) V-Legal Document as intended in paragraph (1) published by LVLK that has obtained accreditation from National Accreditation Committee (KAN) and determined by the Minister of Forestry.

(3) V-Legal Document as intended in paragraph (1) is used as a customs complimentary documents required for submission of export customs notification to the customs office.

(4) Each 1 (one) V-Legal document may only be used for 1 (once) delivery of export customs notification.

(5) LVLK through the LIU submits V-Legal Document as intended in paragraph (1) to the portal of Indonesia National Single Window (INSW) in electronically through the Inatrade system, directly after publication.

(6) Costs incurred for V-Legal Document issuance activities service as intended in paragraph (1) is charged to exporters that the amount is determined by cost benefit principle.

Article 15

Obligation to comply with V-Legal Document as intended in Article 14 paragraph (1) is:

Article 16

(1) Export of Forestry Industry Products as intended in Article 12 paragraph (1) may only be made after verification or technical inquiry before loading of goods.

(2) The technical verification as intended in paragraph (1) shall be conducted by an independent surveyor that is appointed by the Minister.

(3) To be determined as the implementer of verification or technical inquiry of Forestry Industry Products, Surveyor must meet the following requirements:

(4) Verification of technical inquiry or forestry industry products includes:

(5) The results of verification as intended in paragraph (4) shall be in the form of Surveyor Report (LS) to be used as a customs complementary documents required for submission of export customs notification to the customs office.

(6) LS as intended in paragraph (5) shall be submitted by the surveyor no later than 15 (fifteen) of the ensuing month to the Director General with a copy to the Director General of Agro Industry and Director General of Forestry Business Development Ministry of Forestry.

(7) Costs arising from the verification or technical inquiry as intended in paragraph (4) are charged to the Government.

Article 17

(1) Company owner of ETPIK or ETPIK Non Producer as intended in Article 3 shall reports:

(2) The report as intended in paragraph (1) shall be submitted at the latest end of February to:

(3) Report form as intended in paragraph (2) is listed in Attachment III, Attachment IV, Attachment V, and Attachment VI that are integral part of this Ministerial Regulation.

(4) The report as intended in paragraph (1) shall be submitted to the Director General with a copy to the Director General of Agro Industry Ministry of Industry and the Director General of Forestry Business Development Ministry of Forestry.

Article 18

Recognition as ETPIK or ETPIK Non Producer as intended in Article 4 paragraph (1) and Article 5 paragraph (1) frozen if the company and/or the management / directors of the company owner or pemiik ETPIK ETPIK Non Producer:

Article 19

(1) Recognition as ETPIK ETPIK or non-Producer that have been frozen as intended in Article 18 can be reactivated if the company and/or the management / directors of the company owner or owners ETPIK ETPIK Non Producer:

(2) reactivation ETPIK or ETPIK Non Producer as intended in paragraph (1) may only be made by written application and trustees / directors of the company or the owner ETPIK pemiik ETPIK Non Producers to the Director.

(3) Application reactivation ETPIK or ETPIK Non Producers comes with the following documents:

Article 20

Recognition as ETPIK or ETPIK Non Producer as intended in Article 4 paragraph (1) and Article 5 paragraph (1) shall be revoked if the company and/or management/directors of the company owner or owners ETPIK ETPIK Non Producer:

Article 21

(1) Freezing, activation, and revocation or ETPIK ETPIK Non Producer as intended in Article 18, Article 19 and Article 20 carried out by the Director.

(2) Directors submit notification clotting, activation, and revocation or ETPIK ETPIK Non Producer as intended in paragraph (1) to the owner or ETPIK ETPIK Non Producer with a copy to the Director General, the Director General of Customs and Excise, Ministry of Finance, the Director General Agro Industry Ministry of Industry, and Director General of the Ministry of Forestry Enterprises, and technical institutions in the region to foster forestry industry and trade.

Article 22

Against surveyors:

Article 23

The export of forestry products industry is an example of goods, materials research and consumer goods exhibitions abroad excluded and the provisions of this regulation after obtaining the approval of the Director General.

Article 24

Technical guidelines implementing this regulation may be prescribed by the Director General.

Article 25

Recognition as ETPIK issued based on Regulation of the Minister of Trade Number 20/M-DAG/PER/5/2008 shall remain valid until December 31, 2013.

Article 26

At the time of this regulation comes into force:

Article 27

This Ministerial Regulation shall come into force on January 1, 2013.

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

Stipulated in Jakarta
on October 22, 2012
MINISTER OF TRADE,
signed.
GITA IRAWAN WIRJAWAN