Commerce: When the import task force targets the logistics sector
This article has been translated by PwC Indonesia as part of our Indonesia Infrastructure News Service. PwC Indonesia has not checked the accuracy of, and accepts no responsibility for the content.
Bisnis Indonesia - Tata niaga: Kala Satgas impor menyasar sektor logistik
29 July 2024
By Dwi Rachmawati and Rio Sandy Pradana
The government is working to protect domestic industries by tackling the issue of illegal imports.
Last week, the Task Force for the Supervision of Certain Goods Subject to Import Trade System, established by the Trade Ministry, achieved a breakthrough.
The warehousing area in Penjaringan in North Jakarta was the main target of the import task force. During their unannounced inspection, they discovered smuggled goods from other countries valued at Rp40 billion.
The smuggled goods include smartphones, computers, tablets, clothing, toys, shoes, sandals, and other electronics.
Specifically, the total value of the seized items includes Rp20 billion worth of clothing, Rp12.3 billion worth of electronics, and Rp5 billion worth of toys.
Trade Minister Zulkifli Hasan stated that the smuggled goods were brought in by foreigners.
These foreigners rented a warehouse and used local logistics services to carry out their operations.
“The investigation revealed that the importers were foreigners. They rented a warehouse, had the goods packed, paid for them, and then sold them online,” he said on Friday (26/7).
Zulkifli mentioned that these smuggled goods, which were sold online by importers without being taxed, could negatively impact domestic industries.
Therefore, the Trade Minister is urging warehouse providers to verify the legality of their tenants' goods before offering their services.
“We urge warehouse owners to verify the legitimacy of both the goods and the tenants. Please avoid involvement in illegal activities,” he stated.
Furthermore, the import task force is committed to eradicating all smuggled goods in order to deter importers.
In addition, law enforcers within the import task force will investigate how these smuggled goods were illegally brought into Indonesia by foreigners.
“There must be something wrong. These goods do not suddenly arrive,” he said.
Consumer Protection and Trade Order Director General of the Trade Ministry Moga Simatupang added that the smuggled goods were transported to the warehouse using local logistics services.
“When an order is placed, the goods are delivered to the customer using these logistics services,” he stated.
Moga stated that the warehouse storing the smuggled goods was discovered this week after the import task force gathered information from various sources.
When asked for a statement, the warehouse owner was unable to provide documentation for the smuggled goods.
However, Moga is hesitant to disclose the name of the logistics company that rented the warehouse or the delivery services used by the importers.
He stated that further investigation would be conducted to determine whether the logistics company that rented the warehouse was involved in importing the smuggled goods.
Moga added that the Attorney General's Office and the Indonesian National Police would conduct further investigations to determine the sanctions for those involved in importing the smuggled goods.
“It will be followed up by the police and the Attorney General’s Office,” Moga stated.
Based on Bisnis’ observation, the warehouse is located on Jalan Kapuk Kamal Raya in Penjaringan Subdistrict, North Jakarta.
Upon arrival at the location, the company's sign at the warehouse had been covered with a black plastic sheet. There were no labels or company names indicating who operates the warehouse in the surrounding area.
Meanwhile, business players are prepared to join the illegal import eradication task force established by the Trade Ministry to prevent illegal imports in the country.
Indonesia Chamber of Commerce and Industry (Kadin) Chairperson Arsjad Rasjid stated that the formation of the illegal import eradication task force demonstrated the cooperation between the government and business players in addressing import issues in Indonesia.
“We are looking for a solution, not blaming each other. We welcome what was stated by Trade Minister Zulkifli Hasan. This is a solution for the future to fill in the gaps,” he stated.
Arsjad noted that the safeguard measures could not be generalised across all sectors.
He believes that the establishment of the illegal import eradication task force could support the government in preparing suitable safeguard measures.
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