{
    "success": true,
    "data": {
        "id": 1888136,
        "msgid": "importers-must-absorb-local-salt-that-meets-standards-1785319123",
        "date": "2026-07-29 16:11:49",
        "title": "Importers Must Absorb Local Salt That Meets Standards",
        "author": "",
        "source": "TEMPO_ID",
        "tags": "",
        "topic": "Economy",
        "summary": "The Indonesian government is being urged to tie salt import permits to mandatory absorption of locally produced salt that meets quality standards. This push aims to protect domestic producers and align import policies with the national target of achieving salt self-sufficiency by 2027. Economists warn that without such obligations, rising local production may lack market certainty.",
        "content": "<p>The government is being urged to ensure that any salt import policy\nincludes an obligation to absorb locally produced salt that meets\nquality standards. This requirement is considered crucial so that\nimports do not weaken domestic producers and remain aligned with the\nnational salt self-sufficiency target for 2027.<\/p>\n<p>According to planning documents from the Ministry of Marine Affairs\nand Fisheries, the national salt production target is set to increase\nfrom 2.25 million tonnes in 2025 to 2.5 million tonnes in 2026. This\nincrease indicates that the government is pushing to strengthen domestic\nproduction towards self-sufficiency. However, data from the Central\nStatistics Agency shows that imports of industrial salt under HS code\n25010093 reached approximately 936,000 tonnes in January\u2013May 2026, a\n13.1 percent year-on-year increase.<\/p>\n<p>This situation suggests that rising local production must be\naccompanied by an obligation for importers to absorb local output.\nWithout such an obligation, local salt production might increase but\nwithout guaranteed market certainty. Muhammad Rizal Taufikurahman, Head\nof the Macro Economy and Finance Centre at the Institute for Development\nof Economics and Finance, stated that salt import policy must be based\non accurate industrial needs and conducted selectively according to\nspecifications that cannot yet be met domestically. He added that import\npolicies must be accompanied by distribution monitoring to prevent\nleakage into the consumer market and integrated with the obligation to\nabsorb locally produced salt that meets quality standards.<\/p>\n<p>The principle of local absorption obligations for importers was\npreviously regulated in the Minister of Marine Affairs and Fisheries\nRegulation Number 66 of 2017 concerning Import Control of Salt\nCommodities. However, this regulation was later revoked by Ministerial\nRegulation Number 27 of 2022. Despite the revocation, the principle of\nlocal absorption should not disappear from import governance. The\ngovernment is expected to ensure that every import access is accompanied\nby an obligation to absorb local salt that meets quality standards, so\nthat imports do not suppress the domestic producer market.<\/p>\n<p>In the current context of salt import governance, import control\nrequires cross-ministerial coordination. The Coordinating Ministry for\nFood is responsible for ensuring that the balance of salt needs and\nsupply is compiled transparently, while the Ministry of Trade ensures\nthat import approvals do not stop at procedural and document\ncompleteness. The Ministry of Industry is tasked with testing industrial\nneeds based on specifications that cannot yet be met domestically, while\nthe Ministry of Marine Affairs and Fisheries ensures that local salt\nproduction capacity is included in import policy calculations.<\/p>\n<p>Presidential Regulation Number 17 of 2025 on the Acceleration of\nNational Salt Development sets salt self-sufficiency by 2027 as a\nnational mandate. However, this mandate must be translated into more\nconcrete implementation instruments, particularly the obligation to\nabsorb local salt as part of import licensing. Article 15 of the\nregulation opens the possibility of meeting national salt needs from\nother sources under certain circumstances, such as supply disruptions or\nshortages. However, this provision requires clear, transparent, and\ndata-based parameters to prevent it from becoming a loophole for imports\nwithout local absorption obligations.<\/p>\n<p>Therefore, any determination of certain circumstances should not only\nbe based on demand data from businesses but must also consider stock\nlevels, production capacity, and the realisation of local salt\nabsorption. This mechanism would remain consistent with the 2027\nself-sufficiency target and not weaken the market for domestic\nproducers.<\/p>\n<p>Economist Hardy Hermawan from the Praxa Institute stated that the\ngovernment must ensure imported salt does not leak into the household\nmarket, including through adulteration practices. He emphasised that\ndistribution monitoring is key to preventing industrial salt imports\nfrom pressuring the consumer salt market and local production. Hardy\nalso stressed that the import process must be transparent, fair, and\nclean, with no privileges granted to certain actors. He added that\nimports can still be directed towards industrial needs as long as they\ngenerate added value for the economy, but the government must\ntransparently and continuously disclose industry and trade data while\nstrengthening support for local salt farmers.<\/p>\n<p>Ultimately, salt import policy must go beyond merely regulating\nvolumes and permits. Importers granted access should be required to\ndemonstrate the realisation of local salt absorption, especially for\nspecifications that domestic producers can already meet. Amid the 2027\nself-sufficiency target, the government is urged to ensure that import\npolicies do not operate in isolation from efforts to strengthen local\nproduction. Without clear absorption obligations, increased production\ntargets risk not being matched by market certainty for domestic\nsalt.<\/p>",
        "url": "https:\/\/jawawa.id\/newsitem\/importers-must-absorb-local-salt-that-meets-standards-1785319123",
        "image": ""
    },
    "sponsor": "Okusi Associates",
    "sponsor_url": "https:\/\/okusiassociates.com"
}