Ada Pertanyaan? Hubungi Kami 
Ada Pertanyaan? Hubungi Kami Fitri Novia Heriani, Mahinda Arkyasa
Recent Minister of Trade Regulation No. 07/M-DAG/PER/2/2013 on Franchise Partnership Development for Food and Beverage Businesses (Regulation)—which limits company-owned outlets that may be established by food and beverage businesses to 250 outlets—has raised further criticism.
Bije Wijayanto, Commissioner of Small-Medium Enterprises Education and Empowerment at the Indonesian Franchise Association (AFI), stated that the limitation of 250 outlets is too broad.
He also pointed out that the Regulation fails to stipulate the limitation mechanism for foreign businesses.
“As far as I know, foreign parties cannot franchise to other parties. So, if a foreign party has already established more than 250 outlets, what’s the mechanism [for the limitation to be applied]?” he asked in Jakarta, Thursday (22/3).
Bije stated that although the Regulation was issued in an effort to restrict foreign franchise businesses in Indonesia, allowing them to establish up to 250 outlets has instead given them the chance to grow.
He also informed that previously, AFI has urged the Government to regulate domestic and foreign franchise businesses in separate regulations. However, the Government argued that such distinction cannot be applied because it violates the principles stated by the World Trade Organization.
Aria Bima, Deputy Chairman of Commission IV (Commission) of the House of Representatives, agreed that domestic and foreign franchise businesses should be regulated separately. He confirmed that the Commission will regulate the matter in the new Draft Bill on Trade.
Meanwhile, in order to monitor and evaluate franchise business development, Sri Agustina, Director General of Domestic Trade at the Ministry of Trade, explained that the Government will establish an evaluation and assessment team.
She concluded that this team will assess parties that plan to establish a franchise before issuing a Certificate of Franchise Registration (Surat Tanda Pendaftaran Waralaba).
(jt)
Fitri Novia Heriani, Mahinda Arkyasa
Recent Minister of Trade Regulation No. 07/M-DAG/PER/2/2013 on Franchise Partnership Development for Food and Beverage Businesses (Regulation)—which limits company-owned outlets that may be established by food and beverage businesses to 250 outlets—has raised further criticism.
Bije Wijayanto, Commissioner of Small-Medium Enterprises Education and Empowerment at the Indonesian Franchise Association (AFI), stated that the limitation of 250 outlets is too broad.
He also pointed out that the Regulation fails to stipulate the limitation mechanism for foreign businesses.
“As far as I know, foreign parties cannot franchise to other parties. So, if a foreign party has already established more than 250 outlets, what’s the mechanism [for the limitation to be applied]?” he asked in Jakarta, Thursday (22/3).
Bije stated that although the Regulation was issued in an effort to restrict foreign franchise businesses in Indonesia, allowing them to establish up to 250 outlets has instead given them the chance to grow.
He also informed that previously, AFI has urged the Government to regulate domestic and foreign franchise businesses in separate regulations. However, the Government argued that such distinction cannot be applied because it violates the principles stated by the World Trade Organization.
Aria Bima, Deputy Chairman of Commission IV (Commission) of the House of Representatives, agreed that domestic and foreign franchise businesses should be regulated separately. He confirmed that the Commission will regulate the matter in the new Draft Bill on Trade.
Meanwhile, in order to monitor and evaluate franchise business development, Sri Agustina, Director General of Domestic Trade at the Ministry of Trade, explained that the Government will establish an evaluation and assessment team.
She concluded that this team will assess parties that plan to establish a franchise before issuing a Certificate of Franchise Registration (Surat Tanda Pendaftaran Waralaba).
(jt)