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Government Implements New Import Regulations to Address Port Congestion

The Jakarta Globe
May 18, 2024 | 8:43 pm
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Chief Economic Affairs Minister Airlangga Hartarto (middle), Finance Minister Sri Mulyani (right), and Deputy Trade Minister Jerry Sambuaga (left) visited Jakarta International Container Terminal (JICT) Tanjung Priok Port on Saturday to address a controversial regulation that has left thousands of containers stranded at Indonesia
Chief Economic Affairs Minister Airlangga Hartarto (middle), Finance Minister Sri Mulyani (right), and Deputy Trade Minister Jerry Sambuaga (left) visited Jakarta International Container Terminal (JICT) Tanjung Priok Port on Saturday to address a controversial regulation that has left thousands of containers stranded at Indonesia

Jakarta. In response to delays in imported goods, the government has revised the Trade Ministry Regulations No. 36 of 2023, No. 3 of 2024, and No. 7 of 2024 on Import Policy and Regulation. Additionally, the Finance Ministry has issued a new decree reinstating the List of Prohibited and Restricted Import Goods.

The tightening of import regulations and the addition of technical requirements have caused delays in import licensing processes, leading to container congestion at major ports, including Tanjung Priok Port. Currently, at least 17,304 containers are held up at Tanjung Priok Port due to pending import documents and a lack of issued import approvals and technical considerations.

"Following the President's directive yesterday to resolve the import licensing issues, the Trade Ministry Regulation No. 8 of 2024 has been issued. Today, we expect this regulation to address the congestion of the 17,000 containers," said Coordinating Minister for Economic Affairs Airlangga Hartarto during an inspection of the import relaxation policy implementation at the Jakarta International Container Terminal, Tanjung Priok Port, Jakarta, on Saturday.

The Trade Ministry Regulation No. 8 of 2024, effective from May 17, includes key policy points such as import licensing relaxation for seven product groups previously subjected to import restrictions, including electronics, footwear, ready-made clothing, accessories, cosmetics and household supplies, bags, and valves.

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Today, the import relaxation policy has led to the release of several commodity groups that have met the import licensing relaxation requirements stipulated in the Ministry of Trade Regulation No. 8 of 2024, including iron and steel products, textiles, bags, and electronics. These commodities were imported by 10 companies and have been at Tanjung Priok Port since May 10.

Accompanied by Finance Minister Sri Mulyani Indrawati and Deputy Trade Minister Jerry Sambuaga, Minister Airlangga also directly observed the release of five containers of iron and steel commodities.

"We at the Finance Ministry, Directorate General of Customs and Excise, welcome the change from Regulation 36/2024 to Regulation 8/2024, which simplifies the requirements for container release, now requiring only a Surveyor Report," said Sri Mulyani Indrawati.

During a doorstop session with the media, Minister Airlangga further explained that the five containers to be released include four containers from Denso Indonesia, which have the required Surveyor Report and comply with Regulation No. 8 of 2024, and one container from Pandu Equator Prima, which directly meets Regulation No. 8 of 2024 requirements due to its status as a Main Customs Partner (MITA).

Minister Airlangga also emphasized the need for related Ministries and Agencies to support the accelerated resolution of the import licensing issues, such as expediting the issuance of import approvals and the completion of technical considerations.

"I also request all Customs officials at the port, the Head of Main Service Office, Director of Industrial Services Sucofindo, Indonesia Surveyor, and JICT Management to work on a Saturday, Sunday, and holiday included basis so that all work is 24 hours to release these 17,000 containers until this issue is resolved. The President's directive is for these goods to be released as soon as possible," concluded Minister Airlangga.

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