STIPULATION ON THE EXPORT OF SAWN TIMBER AND PROCESSED TIMBER
(Decree of the Minister of Industry and Trade No. 186/MPP/Kep/4/1998 dated April 20, 1998)
THE MINISTER OF INDUSTRY AND TRADE
Considering:
a. that in the framework of the national econemic reforms and the creation of
orderliness in business and in the context of supporting efforts to ensure the
sustainability of natural resources in support of global environmental quality, it
is necessary to lay down a stipulation on the export of sawn timber and
processed timber;
b. that the timber industry has opened up very broad employment opportunities,
particulary to the community members in the economically weak group, so that
efforts must be made to boost the exports of sawn timber and processed timber;
c. that to this end, it is necessary to issue a decree of the Minister of Industry and
Trade.
In view of :
1. The Trade Ordinate of 1934 (Statute Book No. 86/1938) as already amended
and supplemented;
2. Law No. 5/1984 on industrial affairs;
3. Law No. 5/1990 on the conservation of biological natural resources and their
ecosystem;
4. Law No. 7/1994 on the validation of the agreement astablishing the World
Trade Organization (Statute Book No. 57/1994, Supplement to Statute Book
5. Law No. 10/1995 on customs affairs (Statute Book No.75/1995, Supplement to
Statute Book No. 3612);
6. Government Regulation No. 1/1982 on the implementation of exports, imports
and foreign exchange traffic (Statute Book No. 1/1982, Supplement to Statute
Book No. 3210) as already amended by Government Regulation No. 24/1985
(Statute Book No. 33/1985, Supplement to Statute Book No. 3291);
7. Governmnet Regulation No. 20/1994 on the ownership of shares in companies established in the framework of foreign investment (Statute Book No. 28/1994,
Supplement to Statute Book No. 3552);
8. Presidential Decree No. 260/1967 on the confirmation duties and
responsibilities of the minister of trade in the foreign trade area;
9. Presidential Decree No. 44/1974 on the amendment to Presidential Decree No.
15/1984 on the organizational principles of ministries;
10.Presidential Decree No. 2/1996 on the amendment to Presidential Decree No.
15/1984 on the organizational structure of ministries, as already amended
twenty-five times, the latest by Presidential Decree No. 61/1995;
11.Presidential Decree No. 62/M/1998 on the establishment of Development
Cabinet VII;
12.Decree of the Minister of Trade No. 323/Kp/II/84 on the implementation of
compulsory registration of companies, as already amended by Decree of the
Minister of Trade No. 193/KP/VIII/1990;
13.Decree of the Minister of Trade No. 408/MPP/Kep/10/1997 on the provisions
for and the procedure for the granting of trade business registration certificate
(TDUP) and trade business licenses (SIUP);
14.Decree of the Minister of Trade No. 225/Kp/X/1995 on the export of goods
outside the general provisions in the export area jo. Decree of the Minister of
15.Decree of the Minister of Industry and Trade No. 29/MPP/SK/2/1996 jo No.
92/MPP/Kep/4/1994 on the organization and the working system of the
ministry of industry and trade’
16.Decree of the Minister of Industry and Trade No. 182/MPP/Kep/4/1998 on the
general provisions in the export area.
DECIDES:
To stipulate :
THE DECREE OF MINISTER OF INDUSTRY AND TRADE
CONCERNING THE STIPULATION ON THE EXPORT OF SAWN TIMBER AND PROCESSED TIMBER.
Article 1
(1)Sawn timber shall be wood, sawn or chipped lenghtwise, sliced or peeled,
whether or not planed, sanded or finger-jointed, of a thickness exceeding 6 cm,
without being holed, and already going through a drying process in a furnace
(KD) with the water content not exceeding 18%, included in the tariff
headings/HS 4406 and HS 4407.
Article 2
(1)The quantity of sawn timber and processed timber exported every year shall be
adjusted to the quantity which shall not pose a threat to the sustainability of
forest resources and the environment;
(2)The quantity as meant in sub-article (1) shall be stipulated by the Miniter of
Article 3
(1) The export of sawn timber and processed timber can be conducted by every
business company fulfilling the general and specific requirements.
(2) The general requirements as meant in sub-article (1) shall be the attachment to
the export documents of :
a. a copy of the trade business license (SIUP);
b. a copy of the company registration certificate (TDP); c. a copy of the taxpayer’s code number (NPWP);
d. a copy of the notary’s act on the establishment of the company;
e. a copy of the license for permanent industrial business of sawn and
processed timber and or processed timber from the technical ministry of
from a non-ministerial government institution.
(3) The specific requirements as meant in sub-article (1) shall be as follows: a. For sawn timber and processed timber originating from logs coming from
production natural forest, attach the first sheet of the processed timber
transportation letter (SAKO) for outside Java (original) and or a
transportation pass for java (original);
b. For sawn timber and proceseed timber originating from logs coming from
man-made forest, attach the first sheet of the processed timber
transportation letter (SAKO) for outside Java (original) and or a
transportation pass for java (original).
c. For sawn timber and processed timber originating from logs coming from
people’s estates, attach a letter of origin of the timber issued by the local
forestry and land conservation service/head of a second-level region
(district head) (original);
Article 4
(1) Exporters of sawn timber and processed timber shall be obligated to report the
monthly plans for the export of sawn timber and processed timber to Director
of Export of the Ministry of Industry and Trade, with a copy to be addressed
to the Director of Utilization and Distribution of Forest Products of the
Ministry of Forestry and Estates.
(2) Exporters of sawn timber and processed timber shall be obligated to report the realization of their exports at the latest 10 (ten) working days after the
shipment to the Director of Exports of the Ministry of Industry and Trade,
with a copy to the Director of Utilization and Distributiion of Forest Products
of the Ministry of Forestry and Estates, attaching a copy each of the L/C,
Export Declaration (PEB) and B/L.
Article 5
Violation of the provisions in this decree shall be subject to sanctions on the basis
of the prevailing laws.
Article 6
This decree shall take effect as from the date of stipulation.
For public cognizance, this decree shall be announced by publishing it in the State
Gazette of the Republic of Indonesia.
Stipulated in Jakarta On April 20, 1998
THE MINISTER OF INDUSTRY AND TRADE
Sgd
