The Indonesian government has launched its First Phase Deregulation Package, which revokes the controversial Trade Minister Regulation (Permendag) No. 8/2024 concerning import policies. This move aims to ease import rules and simplify business permits, addressing widespread protests from the manufacturing industry.The deregulation was announced by Coordinating Minister for Economic Affairs Airlangga Hartarto, alongside other key ministers, emphasizing the government's commitment to strengthening the domestic economy and fostering a more competitive business environment. While the new policy relaxes import regulations for 10 specific commodities (including some forestry products, subsidized fertilizers, plastic raw materials, and certain chemicals), it maintains strict controls on others. Specifically, strategic goods, items related to security, safety, health, environment, and moral hazard (K3LM), and products from strategic or labor-intensive industries (totaling over 2,500 HS codes) remain subject to import restrictions. For the textile and textile product (TPT) sector, including finished garments and batik textiles, import restrictions (Lartas) will continue. There's a new, stricter policy for finished clothing and accessories, requiring import approvals (PI), surveyor reports (LS), and technical considerations from relevant ministries, with all oversight conducted at the border. Deputy Minister of Industry Faisol Riza expressed satisfaction with the deregulation, stating it aligns with the aspirations of various industry associations. He believes it will significantly help businesses by relaxing rules on raw materials and auxiliary goods, reduce pressure on domestic labor-intensive industries (especially textiles), and ultimately enable local producers to capture a larger share of the domestic market. The government's overarching goal for this deregulation is to bolster Indonesia's economic resilience amidst global trade uncertainties, enhance business competitiveness, drive job creation, attract and retain investment, and maintain national economic growth. This initiative will be supported by future presidential decrees establishing task forces for trade protection, investment, and employment expansion. (ICE GIACARTA)

Fonte notizia: CNBC - 30/06