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Ada Pertanyaan? Hubungi Kami Ricky Pratomo, ANT/Fathan Qorib
The Coordinating Ministry for Economic Affairs (“Ministry”) is currently preparing a new economic-policy package aimed at accelerating the implementation of six areas set out under the blueprint for the improvement of logistics and national supply-chain systems. This new policy package is expected to be issued by the end of 2016.
Edy Putra Irawadi, the Deputy of Commerce and Industries at the Ministry, stated recently that the new policy package is, among other goals, being primarily aimed at amending the issue of non-tax state revenue (Pendapatan Negara Bukan Pajak)at the Ministry of Transportation, which is considered to be a burden upon the nation’s transportation industries.
“The integration of regulations covering the areas of logistics, bureaucracy and procedures is in fact being targeted for realization by 2025. However, the government has decided that we need a breakthrough strategy in order to deal with the increasingly aggressive ASEAN competition, and so we are looking to accelerate the implementation of this blueprint,” Mr. Irawadi explained at the Jakarta International Logistics Summit and Expo (“JILSE”), which was held on Wednesday, 19 October, 2016.
Indonesia’s infrastructure, service providers and customs performance have, over the course of 2016, been ranked as poor by the World Bank’s Logistics Performance Index (“LPI”). Mr. Irawadi elaborated that in the World Bank’s view, Indonesia remains weak in terms of its multimodal transportation and has been slow to develop its infrastructure. Meanwhile, logistics service providers have only been acting as agents.
“The customs-and-excise sector has not been performing well as a result of the requirement to use electronic systems. Such systems have to date only been installed in 21 out of a total of 137 ports across Indonesia. The installation of such electronic systems is proving difficult due to telecommunications infrastructure issues,” Mr. Irawadi explained.
Hopefully, these problems will be resolved through the issuance of the new economic-policy package, which is in line with President Joko Widodo’s desire to lower logistics costs across the country.
Commenting on this issue, Darmin Nasution, the Coordinating Minister for Economic Affairs, promised that the 14th part of the President’s ongoing series of economic-policy packages would be issued in the course of the next two weeks. However, the details of the upcoming policy package have yet to be revealed in any detail, as they are currently still under discussion by the government.
Economic-Policy Packages:Performance
Since September 2015, the government has already issued some 13 economic policy packages in a bid to enhance the Indonesian investment climate, as well as overall competitiveness and national-economic performance. To date, these packages have led to a number of positive achievements for the Indonesian economy, including the establishment of a Central Bonded Logistics body (Pusat Logistik Berikat – “PLB”) last March, the implementation of a single-window risk-management system by the Directorate General of Customs and the Ministry of Finance, the introduction of a single-document tariff system at the Ministry of Transportation, as well as various deregulations over at the Ministry of Trade.
The Coordinating Minister has specifically referred to the establishment of the PLB as an important factor in terms of improving on the country’s logistics regime, as the PLB should lead to a faster and more efficient system as regards the importation of various goods. In fact, Mr. Nasution has revealed that this systemic improvement is already attracting a surprisingly large number of investors, who are being processed by the PLB.
In addition, the PLB is also offering a number of advantageous taxation facilities, specifically suspensions of import-duty payments, the abolition of value-added tax (Pajak Pertambahan Nilai) and/or the luxury-goods sales tax (Pajak Penjualan atas Barang Mewah), and other technical tax breaks. The establishment of the PLB is also expected to lower logistics costs and increase national economic competitiveness.
In line with Mr. Nasution’s statement, Mr. Irawadi suggested that the government should also strengthen industrial areas by adding facilities and implementing an Inland Free-Trade Agreement,which could become an integral part of the global-supply chain.
(cd/sp)
Ricky Pratomo, ANT/Fathan Qorib
The Coordinating Ministry for Economic Affairs (“Ministry”) is currently preparing a new economic-policy package aimed at accelerating the implementation of six areas set out under the blueprint for the improvement of logistics and national supply-chain systems. This new policy package is expected to be issued by the end of 2016.
Edy Putra Irawadi, the Deputy of Commerce and Industries at the Ministry, stated recently that the new policy package is, among other goals, being primarily aimed at amending the issue of non-tax state revenue (Pendapatan Negara Bukan Pajak)at the Ministry of Transportation, which is considered to be a burden upon the nation’s transportation industries.
“The integration of regulations covering the areas of logistics, bureaucracy and procedures is in fact being targeted for realization by 2025. However, the government has decided that we need a breakthrough strategy in order to deal with the increasingly aggressive ASEAN competition, and so we are looking to accelerate the implementation of this blueprint,” Mr. Irawadi explained at the Jakarta International Logistics Summit and Expo (“JILSE”), which was held on Wednesday, 19 October, 2016.
Indonesia’s infrastructure, service providers and customs performance have, over the course of 2016, been ranked as poor by the World Bank’s Logistics Performance Index (“LPI”). Mr. Irawadi elaborated that in the World Bank’s view, Indonesia remains weak in terms of its multimodal transportation and has been slow to develop its infrastructure. Meanwhile, logistics service providers have only been acting as agents.
“The customs-and-excise sector has not been performing well as a result of the requirement to use electronic systems. Such systems have to date only been installed in 21 out of a total of 137 ports across Indonesia. The installation of such electronic systems is proving difficult due to telecommunications infrastructure issues,” Mr. Irawadi explained.
Hopefully, these problems will be resolved through the issuance of the new economic-policy package, which is in line with President Joko Widodo’s desire to lower logistics costs across the country.
Commenting on this issue, Darmin Nasution, the Coordinating Minister for Economic Affairs, promised that the 14th part of the President’s ongoing series of economic-policy packages would be issued in the course of the next two weeks. However, the details of the upcoming policy package have yet to be revealed in any detail, as they are currently still under discussion by the government.
Economic-Policy Packages:Performance
Since September 2015, the government has already issued some 13 economic policy packages in a bid to enhance the Indonesian investment climate, as well as overall competitiveness and national-economic performance. To date, these packages have led to a number of positive achievements for the Indonesian economy, including the establishment of a Central Bonded Logistics body (Pusat Logistik Berikat – “PLB”) last March, the implementation of a single-window risk-management system by the Directorate General of Customs and the Ministry of Finance, the introduction of a single-document tariff system at the Ministry of Transportation, as well as various deregulations over at the Ministry of Trade.
The Coordinating Minister has specifically referred to the establishment of the PLB as an important factor in terms of improving on the country’s logistics regime, as the PLB should lead to a faster and more efficient system as regards the importation of various goods. In fact, Mr. Nasution has revealed that this systemic improvement is already attracting a surprisingly large number of investors, who are being processed by the PLB.
In addition, the PLB is also offering a number of advantageous taxation facilities, specifically suspensions of import-duty payments, the abolition of value-added tax (Pajak Pertambahan Nilai) and/or the luxury-goods sales tax (Pajak Penjualan atas Barang Mewah), and other technical tax breaks. The establishment of the PLB is also expected to lower logistics costs and increase national economic competitiveness.
In line with Mr. Nasution’s statement, Mr. Irawadi suggested that the government should also strengthen industrial areas by adding facilities and implementing an Inland Free-Trade Agreement,which could become an integral part of the global-supply chain.
(cd/sp)