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JOINT DECREE OF THE MINISTER OF FORESTRY

NO. 1132/KPTS-II/2001 AND THE MINISTER OF INDUSTRY AND TRADE NO. 292/MPP/Kep/10/2001 DATED OCTOBER 8, 2001

THE DISCONTINUATION OF LOG/CHIP RAW MATERIAL EXPORTS

THE MINISTER OF FORESTRY AND THE MINISTER OF INDUSTRY AND TRADE,

Considering :

a. that policies on the export of logs/chip raw materials have been misused by illicit timber companies and illegal traders that threaten the conservation of forestry resources and the environment;

b. that is this connection, it is necessary to stipulate a policy to put an end on the export of logs/chip raw materials.

In view of :

1. Law No. 5/1990 on the conservation of bio-natural resources and their ecosystem (Statute Book of 1990 No. 49, Supplement to Statute Book No. 3419);

2. Law No. 7/1994 on the ratification of Agreement Establishing The World Trade Organization (Statute Book of 1994 No. 57, Supplement to Statute Book No. 3564); 3. Law No. 10/1995 on customs (Statute Book of 1995 No. 75, Supplement to Statute Book

No. 3612);

4. Law No. 41/1999 on forestry (Statute Book of 1999 No. 167, Supplement to Statute Book No. 3888);

5. Presidential Decree No. 228/M/2001 on the formation of the Mutual-Help Cabinet. DECIDES :

To stipulate :

THE JOINT DECREE OF THE MINISTER OF FORESTRY AND THE MINISTER OF INDUSTRY AND TRADE ON THE DOSCONTINUATION OF LOG/CHIP RAW MATERIAL EXPORTS

Article 1

(1) The export of logs/chip raw materials from the whole territory of the Republic of Indonesia shall be stopped.

(2)

Article 2 Referred to as :

(1) Log shall be part of tree cut into a trunk or trunks excluding branch or twig, with a minimum diameter of 30 cm and with the length not limited, of all types of wood contained in headings number 4403.

(2) Chip raw material (BBS) shall be wood with a diameter of 29 cm or below and with the length not limited, of all types of wood contained in headings number 4403 up to 4404. (3) Export shall be the act of releasing goods from the customs area.

(4) Log/chip raw materials exporter shall be corporate body already obtaining a recommendation of fulfilling special requirements to export logs/chip raw materials and notification on export plan.

Article 3

(1) All recommendation of fulfilling special requirements to export logs/chip raw materials issued by the Ministry of Forestry without notification on export plan issued by the Minister of Industry and Trade shall be declared null and void.

(2) All notifications on export plan issued by the Minister of Industry and Trade without L/C (Letter of Credit) from a foreign buyer shall be declared null and void.

Article 4

Log/chip raw material exporters that are already in possession of L/C from a foreign buyer, before the stipulation of this joint decree, shall :

(1) report their export plan to the Ministry of Industry and Trade and the Minister of Forestry;

(2) realize their export no later than October 31, 2001. Article 5

Violation of Article 1 of this joint decree shall lead to the imposition of criminal sanction pursuant to Law No. 10/1995.

Article 6

This joint decree shall begin to take effect on the date of stipulation.

Stipulated in Jakarta On October 8, 2001

THE MINISTER OF INDUSTRI AND TRADE THE MINISTER OF FORESTRY

sgd. sgd.

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