ANNOUNCEMENT 22 Dec 2016

On 22 December 2016, the Indonesian Ministry of Trade issued regulation 84/M-DAG/PER/12/2016 providing new licensing requirements for the export of industrial forestry products.

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising
Inception date: 01 Jan 2017 | Removal date: open ended

Export licensing requirement

The regulation scraps the previous industry-specific export license (ETPIK) in favor of universal export licenses: TDI or IUI and TDP for producers, and SIUP and TDP for companies specializing in exports. At the same time, the listed products will also require an additional document (LVLK) proving the legality of the used timber.

Updates 1

On 1 March 2017, the Ministry of Trade issued regulation 12/M-DAG/PER/2/2017 (cf. Sources) partially reclassifying the products into the different categories which require different documentation.

Updates 2

On 27 February 2020, the Ministry of Trade issued regulation 15/2020 scrapping the need to provide the legality document (LVLK) when exporting the specified timber products. As the new regulation will come into force on 27 May 2020, that has been set as the removal date of the underlying intervention. The scrapping of the document has been criticised by Indonesian experts to threaten the country's forest management (see secondary source). Furthermore, on 13 March 2020, regulation 15/2020 was announced as part of the second stimulus package of the Indonesian government to counter the economic impact of the COVID-19 pandemic by removing import and export barriers (see related state acts).

Updates 3

On 11 May 2020, Indonesia issued the Minister of Trade Regulation No.45/2020 to remove the Minister of Trade Regulation No.15/2020. With the issuance of this new regulation, the requirement of the additional export document (LVLK) followed the initial regulation of the Ministry of Trade issued regulation 12/M-DAG/PER/2/2017.