Reaping controversy, Trade Minister Zulhas will revise foreign baggage regulations

Reaping controversy, Trade Minister Zulhas will revise foreign baggage regulations

JAKARTA: Minister of Trade (Mendag) Zulkifli Hasan or who is familiarly called Zulhas said that he would soon hold further discussions regarding the evaluation of Minister of Trade Regulation (Permendag) Number 36 of 2023 concerning Import Policies and Regulations.

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There is a possibility that the import regulations which will come into effect on March 10 2024 will be revised.

“Permendag 36 may be (revised), because there were a lot of complaints, right,” said Zulhas, quoted by CNBC Indonesia when met at the Block A Lobby of Tanah Abang Market, Central Jakarta, Thursday (14 March).

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The plan to carry out this revision is in line with the Ministry of Trade (Kemendag) listening to every complaint arising from the policy of restricting luggage from abroad which is considered to be burdensome for several parties.

The 61-year-old minister previously defended Minister of Trade Regulation 36 solely to protect domestic industry.

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Zulhas said that he had sent a letter to the Coordinating Minister for Economic Affairs, Airlangga Hartarto, to review the revision of the Minister of Trade Regulation.

CUSTOMS FOR JASTIP

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Currently, there is a boom in the business of entrusting services (jastip) for goods from abroad. This service is usually provided by people who travel abroad and deliberately visit shopping centers, some of which are difficult to find in Indonesia.

These various jastip products are carried by passengers in their suitcases without going through the goods delivery process and avoiding customs fees.

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With the Minister of Trade Regulation 36, goods that exceed the maximum limit and are intended for resale must pay customs duties.

In addition, luxury goods purchased from abroad such as bags and watches with complete packaging and proof of payment will be subject to levies.

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“So, if you shop, you will be charged when you come in here. If you buy a Chanel bag here, you will also be subject to customs duties,” said Zulhas, as reported in a press release from the Ministry of Trade.

This luggage restriction applies to all passengers traveling abroad, including Indonesian Migrant Workers (PMI) who will return to their hometowns in Indonesia.

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However, Zulhas added that passenger luggage from abroad that is used as souvenirs or souvenirs will not be subject to customs duties.

Zulhas said that goods subject to customs duties were goods that exceeded the regulatory limits, such as two pairs of footwear products, two bags, five finished textile goods, five units of electronic goods with a total price of 1,500 US dollars.

“If you buy it new, you’ll have to sell it again. If you’re making a trade, you have to have a cardboard box and a receipt. If you’re making souvenirs, you don’t use cardboard,” said Zulhas.

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