Home NEWS Amidst Much Controversy, the Government Will Revise carry-on Import Restrictions

Amidst Much Controversy, the Government Will Revise carry-on Import Restrictions

Imported Luxury Branded Goods Stock
The Import Restriction Policy Might Lead to Scarcity of Imported Luxury Branded Goods Stock

Amidst widespread discontentment, the government has announced revisions to its import policies, initially established under Minister of Trade Regulation No. 36/2023, especially for carry-on import restriction policy. These changes come in response to mounting protests from various sectors, prompting authorities to reassess and refine their approach.

The new guidelines, outlined in Minister of Trade Regulation No. 03/2024, came into effect on March 10, 2024, signaling a concerted effort to address concerns and streamline import procedures.

The decision to overhaul the import regulations was reached during a Limited Coordination Meeting held at the Ministry of Economic Affairs headquarters on Tuesday (16/4/2024). The meeting, chaired by Ministerial officials, aimed to evaluate the implementation of Minister of Trade Regulation No. 36/2023 jo. 03/2024 and chart a course for future adjustments.

Key agreements emerged from the discussions, notably concerning the importation of carry-on import or personal belongings by non-Indonesian migrant workers (PMI). Haryo Limanseto, Spokesperson of the Ministry of Economic Affairs, elaborated on these decisions in an official statement released on Tuesday evening.

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“In addition to PMI shipments, regulations pertaining to passengers’ personal effects will be excluded from the provisions of Minister of Trade Regulation No. 36/2023 jo. No. 03/2024. Instead, they will be comprehensively regulated under the Ministry of Finance Regulation (PMK),” emphasized Limanseto.

Among the identified priorities is the revision of Minister of Trade Regulation No. 36/2023 jo. 03/2024 to accommodate the evolving needs and challenges. Specifically, adjustments will be made to Appendix III, which delineates the types and quantities of goods permissible for import by Indonesian migrant workers.

Furthermore, transitional arrangements will be established to ensure a smooth transition to the revised regulations, minimizing disruptions and logistical challenges.

Looking ahead, further deliberations on the Amendment to Minister of Trade Regulation 36/2023 jo. No. 03/2024 will be undertaken in Technical Coordination Meetings involving relevant ministries and agencies. These discussions will be coordinated by the Deputy Minister of Economic Affairs to ensure coherence and effectiveness in policy implementation.

The decision to revisit the import policies follows Minister of Trade Zulkifli Hasan’s acknowledgment of the widespread discontentment surrounding the implementation of Minister of Trade Regulation No. 36/2023.

“In practice, Minister of Trade Regulation 36/2023 has faced significant opposition. Therefore, a month ago, I called for a review to align and refine the regulations,” stated Zulkifli Hasan during an interview at the Ministry of Economic Affairs headquarters in Jakarta on Tuesday (16/4/2024).

Reflecting on the collaborative efforts with Minister of Economic Affairs Coordinator Airlangga Hartarto, Directorate General of Customs and Excise, Indonesian Migrant Workers Protection Agency (BP2MI), and Ministry of Industry, Zulkifli Hasan outlined the decision to revert restrictions on goods shipments by Indonesian migrant workers to previous regulations.

“The consensus from the meeting is that the essence of Minister of Trade Regulation 36/2023 will revert to Minister of Trade Regulation 25/2022 for the time being. Additionally, the importation limit for each PMI will be capped at US$1,500 per year. Customs will oversee the types of goods, while the Ministry of Finance Regulation (PMK) will provide further guidance, removing them from the purview of the Minister of Trade,” concluded Zulkifli Hasan.

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