Tag Archives: indonesiabusiness

Encouraging Exports of Agricultural and Forestry Products, Policy Relaxation Enacted

Indonesia3000: Indonesian Business Services Provider Posted on by

Exports of various types of non-oil and gas products, including agricultural and forestry products, which are Indonesia’s main export products after mineral fuels, fats and oils, iron and steel, metal ores, and footwear are currently being boosted by the government.

As sourced from the Ministry of Trade, Jerry Sambuaga as Deputy Minister of Trade, mentioned this during his working visit to CV Sono Putro, Klaten, Central Java. In order to boost export performance, the Ministry of Trade has taken several strategic steps, including providing policy relaxation for this type of product.

The Vice Minister of Trade emphasized the importance of efforts to increase exports, especially of agricultural and forestry products, by relevant stakeholders. Thus, policy relaxation will be applied as a solution.

“In the future, efforts to increase exports, especially for agricultural and forestry products, need to be carried out in a sustainable manner by relevant stakeholders, bearing in mind that the characteristics of Indonesian agricultural and forestry products receive special attention from the international market,” concluded the Vice Minister of Trade.

Policy for export

The Ministry of Trade has issued regulations related to verification or technical tracing in foreign trade and export policies and regulations in the forestry industry.

For wood products S4S (surfaced on 4 sides), E2E (easy 2 edges), and E4 (easy 4 edges), relaxation of cross-sectional areas is applied from 15 July 2023 to 14 July 2024. The maximum cross-sectional area that can be exported previously was 10,000 mm² , but now it is 15,000 mm². In addition, facilitation of subsidized financing for the management of Surveyor Reports (LS) for small and micro enterprises (UKM) is also provided.

Regarding forestry industry products to be exported, verification or technical tracing must be carried out by an independent surveyor appointed by the Minister of Trade. PT Sucofindo is commended as a surveyor who carries out technical verification and tracing for the issuance of Surveyor Reports (LS), to ensure that the products exported comply with the applicable technical criteria.

The main export destination countries for Indonesia’s forestry industry products include China, the United States, India, Japan, South Korea, Malaysia, Australia, Vietnam, Taiwan and the Philippines.

Improving export performance must be carried out seriously, precisely, and systematically through strengthening export facilitation and information which includes export promotion, business matching, and strengthening trade in export destination countries. Trade representatives in various countries can be empowered to promote Indonesia’s export commodities.