DECREE OF THE
MINISTER OF INDUSTRY AND TRADE
NO. : 111/MPP/Kep/2/2002 DATED FEBRUARY 21, 2002 ON
CERTIFICATE OF ORIGIN OF INDONESIA'S EXPORTED GOODS
THE MINISTER OF INDUSTRY AND TRADE OF THE REPUBLIC OF INDONESIA,
Considering :
a. that with regard to various changes in the framework of regional autonomy and changes in agreements concerning Certificate of Origin, either based on bilateral, regional, or multilateral agreements, or the one decided unilaterally by certain countries, it is necessary to review provisions on the Certificate of Origin od Indonesia's Exported Goods;
b. that procedures for the issuance of Certificate of Origin as one of the documents on exported goods, which has been valid to date, has not fully supported efforts to boost exports;
c. that based on the matter specified in paragraphs a and b above, it is necessary to stipulate a decree of the Minister of Industry and Trade regarding Certificate of Origin of Indonesia's Exported Goods.
In view of :
1. Law No. 7/1994 on the Ratification of the Agreement on the Establishment of the World Trade Organization (Statute Book of 1994 No. 57, Supplement to Statute Book No. 3564);
2. Law No. 22/1999 on Regional Administration (Statute Book of 1999 No. 60, Supplement to Statute Book No. 3839);
3. Law No. 37/2000 on the stipulation of Government Regulation in lieu of Law No. 2/2000 on Sabang Free Trade Area and Free Port of Sabang into a Law (Statute Book of 2000 No. 252, Supplement to Statute Book No. 4054);
4. Government Regulation No. 1/1982 on the Implementation of Exports, Imports, and Foreign Exchange Traffic (Statute Book of 1982 No. 1, Supplement to Statute Book No. 3210), which has been amended by Government Regulation No. 24/1985 (Statute Book of 1985 No. 33, Supplement to Statute Book No. 3291);
5. Government Regulation No. 22/1986 on Bonded Zones (Statute Book of 1986 No. 30, Supplement to Statute Book No. 3334);
(Persero) PT Pengelola Kawasan Berikat Indonesia into Perusahaan Perseroan (Persero) PT Kawasan Berikat Nusantara (Statute Book of 1994 No. 67);
7. Presidential Decree No. 260/1997 on the Affirmation of the Tasks and Responsibility of the Minister of Industry and Trade in Foreign Trade;
8. Presidential Decree No. 58/1971 on the stipulation of officials authorized to Issue Certificate of Origin;
9. Presidential Decree No. 34/1989 on the Ratification of Agreement on the Global System of Trade Preference (GSTP) Among Developing Countries;
10.Presidential Decree No. 3/1995 on the Ratifiction of International Coffee Agreement of 1994;
11.Presidential Decree No. 85/1995 on the Ratification of the Protocol To Amend The Agreement on the Common Effective Preferential Tariff (CEPT) Scheme for the ASEAN Free Trade Area;
12.Presidential Decree No. 228/M/2001 on the Establishment of the Mutual Cooperation Cabinet;
13.Presidential Decree No. 102/2001 on the Status, Tasks, Functions, Authority, Organizational Structure, and Working Arrangements of Ministries;
14.Presidential Decree No. 109/2001 on First-echelon Organizational Units and Tasks of Ministries;
15.Minister of Finance's Decree No. 1012/KMK.00/1991 on Export Declaration, which has been amended by Minister of Finance's Decree No. 87/KMK.01/1995;
16.Minister of Trade & Industry's Decree No. 124/MPP/Kep/5/1996 on the General Provisions on Exports;
17.Minister of Trade & Industry's Decree No. 120/MPP/Kep/5/1996 on the Import and Export of Goods from and into the Productions Entreports for Export Purposes (EPTE); 18.Minister of Trade & Industry's Decree No. 121/MPP/Kep/5/1996 on the Import and
Export of Goods from and into the Productions Entreports for Export Purposes (EPTE); 19.Minister of Trade & Industry's Decree No. 86/MPP/Kep/3/2001 on the Organization and
Working Arrangement of the Ministry of Industry and Trade. DECIDES :
To revoke :
1. Decree of the Minister of Industry and Trade No. 130/MPP/Kep/6/1996 on Certificate of Origin of Indonesia's Exported Goods, which has been perfected by Decree of the Minister of Industry and Trade No. 101/MPP/Kep/2/1998 on the Improvement of Decree of Minister of Industry and Trade No. 130/MPP/Kep/6/1996 on Certificate of Origin of Indonesia's Exported Goods;
Regions. To stipulate :
THE DECREE OF THE MINISTER OF INDUSTRY AND TRADE ON CERTIFICATES OF ORIGIN OF INDONESIA'S EXPORTED GOODS.
Article 1 In this decree, what is meant by :
1. Certificate of Origin, which is hereinafter called "SKA" is a document based on an agreement under a bilateral, regional, or multilateral contract, and unilateral agreement of a certain country, that must be completed at the time exported goods will enter into the area of a certain country, the certificate of which will evidence that the goods are originated, produced, and/or processed in Indonesia.
2. SKA Form is a list on how to fill SKA, which is specified in Attachments I and II of this decree and has been standardized either in form, size, paper color, purpose, and the content in accordance with the provisions stipulated under a bilateral, regional, or multilateral agreement, or decided unilaterally by a certain country.
3. Rules of Origin is the criteria/conditions required based on a bilateral, regional, or multilateral agreement, or decided unilaterally by a certain country.
4. Issuing institution is an institution decided to issue SKA, i.e. :
a. The institution or service in charge of trading affairs within a provincial government, hereinafter called provincial institution or service;
b. Institution or service in charge of trading affairs within a regency/city government, hereinafter called regent/mayoralty institution or service;
c. PT. (Persero) Kawasan Berikat Nusantara, including their Jakarta branches; d. The Management Board of Sabang Free Trade Area and Free Port (BPKS);
e. Tobacco Institution's branches in Surakarta, Medan, Quality Certification Agency (BPSMB), and Tobacco Institutions in Surabaya and Jember;
f. Other institutions, which will be stipulated by the Minister of Industry and Trade.
1. Preference SKA is an SKA document as a prerequisite for obtaining preference to certain exported goods in order to obtain facilities (in the form of exemption from import duty partly or wholly), which is granted by a certain country/groups of countries as referred to in Attachment IV to this decree.
2. Non-preference SKA is a document of SKA functioning as a supervisory document and/or an attachment to the document of origin of goods, which shall be completed for exported goods so that they can enter a territory of a certain country, as referred to in Attachment V to this decree.
Article 2
(1) SKA shall be issued upon request of an exporter or an other party requiring SKA, either being obliged by the government of the export-destination country, or by the buyer.
(2) The issuance of SKA for certain exported goods, as specified in paragraph (1), must comply with the origin of the goods that have been designated and other applicable regulations.
(3) Exporters or other parties requiring SKA can file an application for the issuance of SKA to the issuing institution, completed with the supporting documents, as follows :
a. For exports that must comply with general provisions regarding exports :
1) Photo Copy of Export Declaration (PEB) issued by the Customs Office at the Port of Loading; and
2) Bill of Lading (B/L) or Air Way Bill, or other evidences, if the goods are not exported by air or sea transportation.
b. Exports of goods not requiring compliance with the general provisions on exports, as set forth in Article 1 of Minister of Trade's Decree No. 225/Kp/X/1995 in conjunction with the said minister's Decree No. 317/MPP/Kep/9/1997 :
1) Purchasing Invoice of Goods; and
2) Photo Copy of Identity Card for Indonesian citizens or photocopy of passport for expatriates/foreign tourists.
c. For goods set forth in paragraph (3).b, which are delivered by courier service companies, the conditions specified in paragraph (3).b.2 can be replaced by a power of attorney issued by owner of the goods.
d. Especially for the issuance of Forms A and D of the SKA, the exporters or other parties requiring SKA, other than submitting the documents specified in paragraph (3).a, must also furnish :
1) A statement and cost structure of goods by unit as in the format specified in Atatchment VI to this decree;
2) With regard to similar exported goods, the application for the second SKA and so forth shall be completed with :
(a) A certificate regarding productions process of percentage of import/local content; or
(b) A confirmation letter of the Form A SKA Application as specified in Attachment VII to this decree.
Article 3
(1) SKA applications only can be processed by the issuing institution if it is filled in the English language, clearly, comprehensively, and accurately, complete with the supporting documents set forth in Article 2 paragraph (3) of this decree.
of the documents furnished by the exporters or other parties requiring SKA.
(3) Regarding applications that have compiled with the conditions set forth in paragraph (1), the issuing institution must issue SKA not later than one (1) working day from the date of receipt of the application from the exporters or another party requiring SKA.
(4) With regard to applications that have not met the conditions set forth in paragraph (1), the issuing institution must notify the applicant not later than one (1) working day from tha date of receipt of the application from exporter or the party requiring SKA.
Article 4
(1) Procedures for the completion of the form of each type of SKA and the validity period of SKA are as specified in Attachment VII to this decree.
(2) Exporters or other parties requiring SKA must be responsible for the originality of the data and information contained in the SKA, as referred to in paragraph (1).
Article 5
(1) The authority and responsibility with regard to the issuance of SKA are decided as follows :
a. Within institutions or agencies in the provinces : 1) Head of institution or service;
2) Head of Trading Sub Agency acting as Substitut Official I;
3) Head of Exports Section within the Trading Sub Agency acting as Substitute Official II.
b. Within institutions or agencies in regencies/mayoralties : 1) Head of Sub-institution or service;
2) Head of Trading Sub Agency acting as Substitute Official I;
3) Head of Exports Section within the Trading Sub Agency acting as Substitute Official II.
c. Within PT (Persero) Kawasan Berikat Nusantara including their Jakarta branches :
1) Director for Marketing and Services;
2) Head of Territorial Business Division acting as Substitute Official I; 3) Head of Documentation Division acting as Substitute Official II.
d. Within the Management Board for Sabang Free Trade Area and Free Port (BPKS) :
1) Deputy for Trading and Industrial Services;
2) Deputy for Financial Affairs acting as Substitute Official I;
e. Regarding SKA for Tobacco (Certificate of Authenticity), within the Tobacco Institutions Surakarta and Medan branches :
1) Head of the Tobacco Institution;
2) Examiner acting as Substitute Official I;
3) Tobacco Institution Secretary/Examiner acting as Substitute Official II.
f. Regarding SKA for Tobacco (Certificate of Authenticity), within the Quality Certification Agency (BPSMB) and Tobacco Institutions in Surabaya and Jember :
1) Head of the Quality Certification Agency and Tobacco Institution; 2) Head of the Examining Section acting as Substitute Official I;
3) Head of the Administrative Sub Division acting as Substitute Official II.
(2) If Head of Institution or Service in provinces or regencies/mayoralties, Director for Marketing & Services, Deputy for Trading and Industrial Services, Head of the Tobacco Institution or Head of the Quality Certification Agency (BPSMB), and the Tobacco Institution, as referred to in paragraph (1), is absent, he or she must assign his or her duties and responsibilities for the signing of SKA to the Substitute Officials I and/or II.
(3) Head of Institution or Service in provinces or regencies/mayoralties, Director for Marketing & Services, Deputy for Trading and Industrial Services, Head of the Tobacco Institution or Head of the Quality Certification Agency (BPSMB), and the Tobacco Institution, as referred to in paragraph (1), can divide the works of the officers authorized to sign SKA by considering the volume of work regarding the issuance of SKA in their respective institutions.
(4) The division of works with regard to the signing of SKA, as set forth in paragraph (3), shall be done in writing.
(5) The authority regarding issuance of SKA as referred to in Article 1 paragraph 4.d and Article 5 paragraph (1) d shall be assigned to the BPKS and implemented in accordance with applicable laws and regulations.
Article 6
Exporters or other parties requiring SKA can choose one of the following issuing institutions : a. With regard to export activity set forth in Article 2 paragraph (3) a :
1) The issuing institution covering the location of productions of the goods;
2) The issuing institution covering the location for registration of PEB with a foreign exchange bank; or
3) The issuing institution covering the location of approval of PEB by the customs & excise hangars within the port of exports; or
4) A nearby issuing institution.
2) The issuing institution covering the place of departure/delivery of goods; or 3) A nearest issuing institution.
Article 7
(1) With regard to goods, which exports are ruled and/or are subject to export limitations in the form of quota based on an international contract, the SKA only can be issued by the institution or service in the province or regency/mayoralty, or PT (Persero) Kawasan Berikat Nusantara and their Jakarta branches, or the Management Board for Sabang Free Trade Area and Free Port (BPKS) according to their respective work territories where the goods are shipped (port of exports) or an allocation/mutation of the export quota.
(2) Goods, which exports are ruled and/or are subject to export limitations in the form of quota, as set forth in paragraph (1) are :
a. Coffee;
b. Maniocs (destination Europe); and c. Textile and textile products (TPT).
(3) On quota of exports of TPT the SKA is known as Certificate of Exports of Textile and Textile Products (SKET) issued by the Institution Issuing Certificate of Exports of Textiles and Textile Products (IPSKET) in accordance with applicable regulations ruling about the quota of exports of textiles and textile products.
Article 8
The seal used for the issuance of SKA is a special seal bearing code no. of region as set forth in Attachment XI to this decree.
Article 9
The information mechanism regarding names of officials authorized and responsible for the signing of SKA & the substitute officials, as set forth in Article 5 paragraph (1), and procedures for the application of specimens of signatures and SKA special seal will be further decided by the Director General for Foreign Trading.
Article 10
The issuing institution must report the issuance of SKA once in every one (1) month to the Director General for Foreign Trading, in case, the Director for the Facilitation of Exports and Improts, using the format of report specified in Attachment X to this decree.
Article 11
(1) The issuing institution, as set forth in Article 1 paragraph (1), and exporters or other parties requiring SKA, must settle each request for a verification of SKA from the government of the export destination countries.
(2) Settlement with regard to the verification of SKA is ruled as follows :
Institution, Head of the Quality Certification Agency (BPSMB), and Tobacco Institution or substitute officials, as set forth in Article 5, and/or special SKA seal, as referred to in Article 8, the issuing institution must give an answer to the authorized institution in the export destination country with regard to the said validity of SKA.
b. If the request for verification is related to the originality of data and information contained in the SKA, the issuing institution must inform the exporter or another party requiring SKA, which is subject to verification, and must give an answer to the authorized institution in the export destination country, with a copy furnished to the Director General of Foreign Trading, in this case, Director for the Facilitation of Exports and Imports.
(3) Results of the verification specified in paragraph (2) as long as they are :
a. in relation to the provisions of paragraph (2) a constituting a mistake of the issuing institution, the responsibility for the full settlement of which shall be assigned to the officer signing the SKA;
b. in relation to the falsification of SKA and the provisions of paragraph (2) b constituting an unoriginality of data and information contained in the SKA, which is subject to verification, the full responsibility of which shall be assigned to the exporter or another party requiring SKA.
Article 12
Violations against the provisions of this decree and its enforcing regulations are subject to :
a. administrative sanctions in the form of disciplinary actions imposed on the officer of the issuing institution based on the regulations regarding government officials or other applicable regulations;
b. postponement of the issuance of SKA to exporters and/or freezing and/or revocation of : • Trading Business Licence (SIUP);
• Industrial Business Licence (IUI); • Industrial Registry Number (TDI).
Article 13
The signing of SKA by an authorized officer and the use of the seal of the issuing institution shall be decided based on applicable regulations valid to the effective date of this decree.
Article 14
Due to the effectiveness of this decree, all regulations in violations with this decree shall be declared invalid.
Article 15
Guidelines on the issuance, submission of specimens of signatures, verification, and reporting of the Certificate of Origin will be decided by the Director General for Foreign Trade.
This decree will come into full force and effect six (6) months from the date of stipulation.
For public cognizance, this decree shall be published by placing it in the State Gazette of the Republic of Indonesia.
Stipulated in Jakarta On February 21, 2002
THE MINISTER OF INDUSTRY AND TRADE sgd.
RINI M.S. SOEWANDI
Note :
