ANNOUNCEMENT 05 Mar 2010

In March 2010, the government of Indonesia announced a change in production support.

NUMBER OF INTERVENTIONS

1

  • 0 harmful
  • 0 neutral
  • 1 liberalising

SOURCE



Regulation 30/M-IND/PER/3/2010 (in Bahasa Indonesia):
http://regulasi.kemenperin.go.id/site/baca_peraturan/732


Inception date: 08 Mar 2010 | Removal date: 06 Jan 2011
Still in force

Production subsidy

 On 5 March 2010, the Indonesian Ministry of Industry announced amendment 30/M-IND/PER/3/2010 to regulation 15/M-IND/PER/3/2008 changing the scope of the revitalistion programme for Indonesia's textile industry. With the new regulation, Indonesian companies may be supported only through reimbursements of 10% (in the case of local products 15%) of purchased machinery and equipment (art. 5 of regulation 30/M-IND/PER/3/2010).
Prior to this amendment, the textile industries were also supported through low-interest loans to local companies.
The regulation came into force on 8 March 2010 and was replaced by regulation 123/M-IND/PER/11/2010 on 1 January 2011.
A state measure in the GTA database is assessed solely in terms of the extent to which its implementation affects the extent of discrimination against foreign commercial interests. The subsidy recipient produces internationally tradable goods. On this metric, the state aid proposed here is discriminatory.