{
    "success": true,
    "data": {
        "id": 1514763,
        "msgid": "new-customs-system-creates-uncertainty-1447893297",
        "date": "1997-06-25 00:00:00",
        "title": "New customs system 'creates uncertainty'",
        "author": null,
        "source": "JP",
        "tags": null,
        "topic": null,
        "summary": "New customs system 'creates uncertainty' JAKARTA (JP): Importers are concerned by uncertainties in some areas of the new customs clearance system, analysts said here yesterday. I Nyoman Moena, a former president of PT Surveyor Indonesia and currently a trade analyst, and Munti Yarso of PT SGS Services Indonesia identified four elements of the new system which were causing problems in the customs clearance of imports.",
        "content": "<p>New customs system 'creates uncertainty'<\/p>\n<p>JAKARTA (JP): Importers are concerned by uncertainties in some<br>\nareas of the new customs clearance system, analysts said here<br>\nyesterday.<\/p>\n<p>I Nyoman Moena, a former president of PT Surveyor Indonesia<br>\nand currently a trade analyst, and Munti Yarso of PT SGS Services<br>\nIndonesia identified four elements of the new system which were<br>\ncausing problems in the customs clearance of imports.<\/p>\n<p>They are related to the transaction value of imported goods,<br>\ntariff classification, customs' decision to direct imported goods<br>\nto green or red lanes and the post entry-auditing of imports.<\/p>\n<p>\"Uncertainties could jeopardize the conducive to business<br>\nclimate that we are building up,\" Moena told a business luncheon<br>\nat the World Trade Center.<\/p>\n<p>The government implemented a combination of on-arrival<br>\ninspection and post-entry audit systems with self assessment of<br>\nimport duties in April as part of its enforcement of the new<br>\ncustoms law.<\/p>\n<p>The system replaced the pre-shipment inspection of imports<br>\nsystem which was started in mid-1985 to bypass the then<br>\ncorruption-infested customs service.<\/p>\n<p>Munti said the post-entry audit part of the new customs<br>\nclearance procedures created the most uncertainties for<br>\nimporters.<\/p>\n<p>Worse still, importers were still completely in the dark about<br>\nthe criteria for post auditing, he said.<\/p>\n<p>\"As the criteria for post auditing are not yet clear, you<br>\nimporters must be ready at all times to receive the customs<br>\nauditors who will come knocking at your doors in the near<br>\nfuture,\" Munti said at the meeting.<\/p>\n<p>Moena said that the post auditing of imports created a high<br>\ndegree of uncertainty because importers never knew when it would<br>\nbe conducted or whether they had to pay additional import duties.<\/p>\n<p>Director of Verification Roy Ronald Lino has said that the<br>\ncustoms office would use risk management to determining post<br>\nauditing of imports and it would notify importers beforehand<br>\nabout any audit to be conducted.<\/p>\n<p>Munti said transaction value and tariff classification also<br>\nworried importers.<\/p>\n<p>Transaction value and tariff classification determine the duty<br>\nimporters have to pay.<\/p>\n<p>The new customs clearance system follows the international<br>\nharmonized system on tariff classifications and General Agreement<br>\non Tariffs and Trade (GATT) valuation code in determining the<br>\ntransaction value of imported goods.<\/p>\n<p>\"Most importers still do not know what kind of animal the GATT<br>\nvaluation code is,\" Munti said.<\/p>\n<p>He said customs officials and importers often differed on<br>\ntariff classification -- they were not sure whether a tariff<br>\nshould be five percent or 10 percent or even 40 percent.<\/p>\n<p>Moena added: \"tariff classification can always be corrected<br>\nand corrections depend on who is in charge. So, here again it is<br>\nfull of uncertainties for importers.\"<\/p>\n<p>He said importers also never knew when their goods would be<br>\ntaken to the red lane for physical inspection or the green lane<br>\nfor direct clearance.<\/p>\n<p>\"Again there are no clear-cut criteria here and this is<br>\nanother source of uncertainty,\" Moena said.<\/p>\n<p>The customs office has said it will send imported goods to the<br>\nred lane only if it receives an intelligence note which<br>\nnecessitates physical inspection.<\/p>\n<p>And director general of customs and excise, Soehardjo<br>\nSoebardi, has repeatedly said that importers had no need to worry<br>\nin their dealings with customs officials, provided they declare<br>\ntheir goods correctly.<\/p>\n<p>Moena said the customs office should clear up the<br>\nuncertainties by explaining the procedures and criteria to<br>\nimporters and the general public.<\/p>\n<p>\"Whatever the system, it should be fully transparent and<br>\nshould not create uncertainties in the business sector,\" Moena<br>\nsaid.<\/p>\n<p>Moena suggested the customs office give importers the freedom<br>\nto choose either pre-shipment inspection or on-arrival inspection<br>\nfor their consignments.<\/p>\n<p>He said the customs office could also contract inspection work<br>\nto PT Surveyor Indonesia which has extensive branches overseas.<\/p>\n<p>Rudy J. Pesik, president of trading firm Pinter Pesik<br>\nInternational and freight forwarding firm PT Birotika Semesta,<br>\nsaid the customs office should also improve its electronic data<br>\ninterchange system.<\/p>\n<p>He said the system was too simple and could not yet<br>\ndisseminate simultaneously information on imports to all<br>\nconnected parties, including banks, the port and airport<br>\nauthorities.<\/p>\n<p>\"The customs electronic data interchange system is more like<br>\nan electronic transfer system than a data interchange system,\" he<br>\nsaid. (rid)<\/p>",
        "url": "https:\/\/jawawa.id\/newsitem\/new-customs-system-creates-uncertainty-1447893297",
        "image": ""
    },
    "sponsor": "Okusi Associates",
    "sponsor_url": "https:\/\/okusiassociates.com"
}