Business Owners who want to obtain an export-import license are required to have a Business Identification Number (“NIB“) and comply with the required documents, unless for certain goods and for those who are not eligible to have NIB based on the prevailing laws and regulations. For the Importer, NIB also functions as an Importer Identification Number (“API“) after the activation.
Since the passing of Law Number 6 of 2023 on Job Creation (“Law 6/2023“), several provisions regarding international trade, especially export and import are also amended. Now, the regulations are regulated by Minister of Trade Regulation Number 23 of 2023 on Export Policies and Procedures (“MoTR 23/2023“) and Minister of Trade Regulation Number 20 of 2021 on Import Policies and Procedures was amended by the Minister of Trade Regulation Number 25 of 2022 (“MoTR Import“).
Export-Import Business Actors and NIB Obligation
Export business in Indonesia can be conducted by individual, institution, and business entity in the form of legal entity and non-legal entity. In order to conducting export activities, according to MoTR 23/2023, exporter must have Business License Number. For those who want to conduct export activities are obliged to have a Business License Number first.
To conducting export on certain goods, exporter also obliged to have an export license. The business license in the export business are consists of Registered Exporter and Export Approval. According to Article 2 MoTR 23/2023, on certain goods, the NIB obligation for the exporter can be excluded. Exporter on certain goods also can have more than one approval and the approval can be valid for more than one notification submission of export customs.
Meanwhile in order to conduct a import business in Indonesia, can be conducted by individual, institution, and business entity in the form of legal entity and non-legal entity. According to Article 3 MoTR Import, Importer is obligated to have a NIB that also serves as Importer Identification Number (Angka Pengenal Impor/API). So, in order to conduct an importing business, the business actors is obliged to have a NIB. This NIB as API are consists of:
- API-U: is given to the importer that conducts import on certain goods for trade
- API-P: is given to the Importer that conducts import on certain goods for personal usage as capital goods, raw materials, auxiliary materials, and/or materials to support the production process.
In order to carry out Import activities in Indonesia, Importers are required to have a business license in import sector from the Minister of Trade before the goods enter Indonesia. This business license in import business are consists of Register Registered Importer, Producer Importer, and Import Approval. This Business Licensing in the Import sector will later be used for complementary customs documents whose inspection is carried out in the customs area and Import requirements documents whose inspection is carried out after passing through the customs area.
Application System and Export Documents Requirement
In order to obtain the export license, exporter must submit an application to the Minister of Trade via System Indonesia National Single Window (SINSW). Exporters are also obliged to obtained the Access Rights to the SINSW by registering and submitting the required documents. The documents that required to be submitted are:
- Tax ID Number or ID Number for individual exporters
- Tax ID Number for State-Owned Enterprises and foundation
- Business License Number and Tax ID Number for business entities and cooperatives.
- Tax ID Number for Exporters that excluded to obtain NIB
Beside the required documents that stated above, the exporter is also required to submit scanned export license according to each goods requirement.
Application System and Import Documents Requirement
As stipulated in Article 5 MoTR Import, before the issuance of the import license, importers must confirm their taxpayer status according to the tax law and regulations. The import license application must be submitted to the Minister of Trade through SINSW. Every importer must obtain Access Rights to the SINSW by registering the required documents as follows
- Tax ID Number or ID Number for individual importers
- Tax ID Number for State-Owned Enterprises and foundation
- Business License Number and Tax ID Number for business entities and cooperatives.
Beside the required documents that stated above, the importer is also required to submit scanned importer license according to each goods requirement
Time Period for Issuance of Export and Import License
In essence, if all the required documents above are complete according to the requirement, Directorate General in the name of the Minister then issued the Export License through INATRADE system and forwarded to the SINW using e-signature and include a QR code that does not require a stamp and signature. The import license will be issued through of five working days since the application are submitted. If the documents are complete but have not been issued after five working days, the license are automatically issued via INATRADE system and forwarded to the SINSW. While the documents that are declared incomplete according to the requirements, the Minister will issue a rejection through the SINSW within five working days.
The same procedure will be applied to Import License as well. If all the required documents are complete according to the requirement, Directorate General in the name of the Minister then issued the Export License through INATRADE system and forwarded to the SINW using e-signature and include a QR code that does not require a stamp and signature. The export license will be issued through of five working days since the application are submitted. If the documents are complete but have not been issued after five working days, the license are automatically issued via INATRADE system and forwarded to the SINSW. While the documents that are declared incomplete according to the requirements, the Minister will issue a rejection through the SINSW within five working days.
Author: Daffa Zidan
Do you need an assistance and/or further discussion in obtaining an export import license in Indonesia?
Let’s contact us through:
WhatsApp Hotline: 0812-1111-8608
Email: info@ylpconsulting.com
Our experienced Consultant will be delighted to assist you.