Indonesian Political, Business & Finance News

Customs Office Boosts Industry in Central Java, Semarang Bag Manufacturer Secures Bonded Zone Facility

| | Source: REPUBLIKA Translated from Indonesian | Business
Customs Office Boosts Industry in Central Java, Semarang Bag Manufacturer Secures Bonded Zone Facility
Image: REPUBLIKA

The Central Java and DI Yogyakarta Customs Regional Office continues to drive export-oriented industrial growth through the provision of bonded zone facilities. Most recently, this facility was granted to PT Inwa Bags Group, a bag producer in Semarang that manufactures backpacks and travel bags with significant global market potential, on Wednesday (22/4/2026). Head of the Central Java DI Yogyakarta Customs Regional Office, Agus Yulianto, emphasised that the granting of this facility represents a concrete step by the government to enhance the competitiveness of the national industry. “We provide this facility to offer fiscal and procedural ease for business actors, allowing them to focus more on increasing production and exports,” he stated in a press release on Friday (24/4/2026). Through this facility, PT Inwa Bags Group gains various benefits, such as the suspension of import duties and taxes on imports. This scheme is considered capable of suppressing production costs while enhancing the company’s operational efficiency. From an economic perspective, the presence of PT Inwa Bags Group brings positive impacts to the surrounding area. The company is projected to absorb 374 local workers in 2026, increasing to 470 people by 2030. “This workforce absorption demonstrates that the provided facility not only impacts the industry but also directly touches the community,” Agus explained. The company’s investment value also shows an upward trend, from Rp 20 billion in 2026 to Rp 30 billion in 2030. Agus noted that this reflects investor confidence in the increasingly conducive business climate in Central Java and Yogyakarta. Moving forward, the Central Java DI Yogyakarta Customs Regional Office will continue to conduct supervision and assistance to ensure the utilisation of the Bonded Zone facility proceeds in accordance with regulations. Agus emphasised that synergy between the government and the business world is key to driving inclusive and sustainable economic growth.

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