Customs promises to reduce red tape

JAKARTA (JP): The customs administration resumed its inspection authority yesterday, promising to uphold law, minimize red tape and expedite import and export flows.

The implementation of new customs procedures at Jakarta's Tanjung Priok port -- Indonesia's biggest port -- ran smoothly although some importers and freight forwarders looked ill at ease clearing their goods through customs.

Some importers and customs brokers said they found customs officials helpful and quick in processing documents.

"Our imported goods arrived this morning, and we cleared them by midday although they went through the red lane," said importer Lucky Herikajiman from PT Hesson Trijaya.

Imported goods going through the red lane are subject to physical inspections.

Physical inspections are to be carried out randomly or if an intelligence note necessitates physical inspection.

The customs director, Permana Agung, said the customs office had established a standard ratio of 10 to 7, whereby seven of every 10 intelligence notes issued should prove correct upon inspections.

"So, if a customs official issues 10 intelligence notes, but four of them turn out to be false or groundless, we should sack or remove that person," Permana said.

In the past, customs officials had been accused of issuing too many intelligence notes or even memos to extort money from importers.

All high-ranking customs officials inspected the first day implementation of the new customs procedures, which involve self- assessment of import duties and taxes by importers, selective on- arrival inspections and post-release audits at Tanjung Priok port and Soekarno-Hatta airport.

The new customs procedures replaced the preshipment inspection of imports, which had been in place since mid-1985.

"Today, we enter a new era in our customs service as we start implementing the 1995 customs law," said Directorate General of Customs and Excise Soehardjo Soebardi.

He pledged to take tough measures against unscrupulous customs officials and importers to ensure smooth flows of imports and secure import tax and duty revenues.

"We do not want to be blamed as the ones who hinder the flow of goods anymore," Soehardjo said.

But Soehardjo has a long way to go to convince importers who still remember the trauma of dealing with notoriously corrupt customs officers before mid-1985.

Most businessmen, especially foreign investors, seem to worry that the customs officials, excited about the reinstatement of their inspection authority, may perform well in the first few weeks before slipping back into their old habits.

"I don't think the general bureaucratic environment is conducive for the customs officials to work efficiently for a long time," a foreign business analyst said yesterday.

He wondered how the customs service could be clean while most other government offices were engaged in malfeasance.

Quicker

Soehardjo promised that all documents processed at the customs office would not take longer than four hours and would be much quicker when the importers subscribed to the customs electronic data interchange.

Soehardjo said any delay in clearing imported goods should be traced to other parties involved like the port authority, which oversees the cargo terminals, or freight forwarders.

"If there is anything to be blamed on us, we open our doors for complaints. I myself, all directors and heads of customs provincial offices will be happy to take all complaints," he promised.

Soehardjo also released the names of 102 importers which submitted fictitious addresses.

The customs office will blacklist them.

"It is important to issue their names publicly to deter other companies from playing hide and seek with us. We will block them," Soehardjo said.

"In this era of globalization, everybody must be transparent. If not, they will be overrun and killed by tight competition," he said.

The chairman of the Indonesian Importers Association, Amirudin Saud, said he supported blacklisting importers using fictitious addresses.

"We totally support the customs office in this matter. Through my quick look at the list, I found no association members there. But if later I found our members on the list, we will ask the Ministry of Industry and Trade to revoke their licenses," Amirudin said.

The association has been the toughest critic of the customs services which it says is highly corrupt. (rid)