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Import & Export
Situated as a vibrant hub of global commerce, Indonesia proudly showcases a diverse landscape of imports and exports, serving as a catalyst for its economic expansion and worldwide impact. Positioned at the crossroads of Southeast Asia, Indonesia’s import and export sector thrives on diversity, innovation, and a dedicated effort to cultivate mutually beneficial global alliances.
New Legislation: Indonesia Food and Beverage Act 2025
In response to concerns about contraband entering Indonesia disguised as legitimate food and beverage exports, the government has introduced new regulations to safeguard product safety, security, and compliance with national laws.
- Purpose:
Exporters and manufacturers must pay a refundable security deposit to cover inspection costs and ensure compliance with Indonesian safety and registration standards. - Scope:
The Act applies to all food and beverage exports to Indonesia, including processed foods, beverages, snacks, dairy, frozen foods, produce, grains, cereals, and oils. - Security Deposit Requirement:
A security deposit is mandatory before shipment. Refunds are issued only after products pass inspections by the National Agency for Drug and Food Control (BPOM) and meet safety standards. - BPOM Registration:
All food and beverage products must be registered with BPOM prior to shipment. Certification is valid for five years and must be renewed as needed. - Enforcement and Penalties:
Non-compliance with deposit or registration requirements will result in export bans, fines, and possible legal action. - Commencement:
The Act takes effect on 15th January 2025, applying to all future and ongoing exports to Indonesia.
Export Excellence
Indonesia has earned its reputation as a global exporter of natural resources, with key commodities like palm oil, coal, natural gas, rubber, and minerals leading the charge. Beyond this, the country is actively diversifying its export portfolio. Industries such as textiles, apparel, and automotive products are gaining prominence, signalling a strategic shift towards value-added manufacturing and reducing reliance on raw material exports.
Our nation engages in robust trade partnerships with key players globally, including China, Japan, the United States, and various Asian nations. By actively engaging in regional trade agreements, Indonesia is not just expanding its export possibilities but also fortifying its presence as a formidable force in the global marketplace.
Import Dynamics
Indonesia’s import landscape mirrors its economic aspirations, with a steady inflow of machinery, equipment, and capital goods to fuel the growth of its industries. Concurrently, a broad spectrum of consumer goods, ranging from cutting-edge electronics to premium textiles, is ushered into the archipelago, catering to the needs of a lively and dynamic domestic market.
While Indonesia is an oil-producing nation, it navigates the global market by importing refined petroleum products due to limited domestic refining capacity. This strategic approach ensures a stable energy supply and fosters partnerships with international petroleum markets.
Navigating Trade Regulations
Indonesia’s dedication to ethical and well-regulated trade is evident in its thorough customs and tariff system. Importers navigate through precise tariff classifications, adhering to customs regulations that vary according to the type and origin of goods. Certain products require import licenses, emphasizing the nation’s dedication to monitoring and regulating specific goods for safety, quality, and compliance with standards.
Challenges and Opportunities
Indonesia acknowledges the challenges inherent in the import and export landscape. Efforts are underway to improve transportation and logistics infrastructure, ensuring the seamless flow of goods. Economic reforms aimed at simplifying trade procedures and reducing bureaucracy are fostering an environment conducive to international business.
The nation’s commitment to diversification serves as a strategic shield against global market fluctuations. By embracing a diverse export portfolio and fortifying domestic industries, Indonesia positions itself as a resilient player in the international trade arena.
Product Registration
To ensure the seamless flow of goods and maintain regulatory compliance, all products are required to undergo thorough product registration. This process involves providing essential details about the product, including descriptions, quantities, and relevant documentation. By adhering to this product registration protocol, we can facilitate smoother customs clearance, minimize potential delays, and uphold the highest standards of quality and legality in international trade.
What is the SNI Certificate?
The Standard Nasional Indonesia (SNI) Certificate is a mandatory certification for products traded or distributed in Indonesia. It serves as an assurance of product quality, safety, and conformity with Indonesian standards. The SNI certification is vital for both domestic and international manufacturers, ensuring that their products meet the specified regulatory requirements and standards set by the Indonesian National Standardization Agency (BSN).
How to Apply for the SNI Certificate
Applying for the SNI Certificate involves a comprehensive process to validate that a product complies with Indonesian standards. The steps typically include:
Determine Applicability:
Identify the specific product or goods that require SNI certification.
Engage a Certification Body:
Choose a reputable Certification Body accredited by the BSN to facilitate the certification process. These bodies are authorized to conduct conformity assessments and issue SNI certificates.
Product Testing:
Undergo product testing to ensure it meets the relevant Indonesian national standards. Testing is usually conducted in accredited laboratories recognized by the BSN.
Quality Management System (QMS):
Implement a Quality Management System (QMS) to demonstrate a commitment to quality control throughout the production process.
Documentation Submission:
Prepare and submit the necessary documentation, including the application form, test reports, and other required certificates to the chosen Certification Body.
Factory Inspection:
The Certification Body may conduct an on-site inspection of the manufacturing facility to verify adherence to quality standards.
Certification Issuance:
Upon successful completion of the assessment, the Certification Body issues the SNI Certificate, confirming the product’s compliance with Indonesian standards.
Who Can Apply for the SNI Certificate
Exporters that are bringing products into the Indonesian market must apply for the SNI Certificate. This certification is open to entities engaged in the production, import, or distribution of goods in Indonesia, specifically targeting manufacturers, importers, and distributors. International businesses are obligated to obtain SNI certification for their products to ensure their legal entry into the Indonesian market.
In conclusion, the SNI Certificate is a crucial element for businesses aiming to thrive in the Indonesian market, ensuring the quality and safety of products. Engaging with accredited Certification Bodies and complying with the established standards guarantees a smooth certification process, ultimately building trust among consumers and stakeholders.
Submitting SNI to the Ministry
The requirement for a buyer to submit the supplier’s SNI (Standard Nasional Indonesia or Indonesian National Standard) to the ministry before making a payment is regulatory for compliance measures set by the Indonesian government. In Indonesia, SNI is a set of standards that products must adhere to in order to be sold in the country. These standards cover various aspects such as quality, safety, and performance. The government may impose regulations to ensure that products meet these standards to protect consumers, promote fair trade, and maintain overall product quality in the market.
The process of submitting the supplier’s SNI to the ministry before payment is the government’s effort to monitor and enforce compliance with these standards. This ensures that the products being sold or purchased meet the necessary quality and safety requirements. It is important to note that the buyer is not allowed to pay for the SNI Certificate on the seller’s behalf, as this would compromise the integrity of the regulatory process.
Failure to submit the supplier’s SNI might result in penalties or the inability to complete the transaction. This approach helps to create a transparent and accountable system, ensuring that products circulating in the market meet the necessary standards for the well-being of consumers and the integrity of the marketplace.