Customs Supports Pulp and Paper Industry Export Expansion Through KITE Facility

The Directorate General of Customs and Excise, through its Banten Regional Office, has granted a KITE (Kemudahan Impor Tujuan Ekspor) facility to PT Indah Kiat Pulp & Paper. Head of the Banten Regional Office, Ambang Priyonggo, explained that the KITE facility allows PT Indah Kiat Pulp & Paper to import raw materials without paying import duty, and with exemption from Value Added Tax (VAT) and Sales Tax on Luxury Goods (PPnBM), provided the materials are processed into goods destined for export.

To obtain the licence, the applicant company must present its business process and meet the criteria as a KITE company. If the company passes the eligibility assessment, the licence approval can be granted no later than one working hour after the presentation is completed. PT Indah Kiat Pulp & Paper is a manufacturing company producing pulp, paper and derivative products, located in Serang Regency, so the service and supervision of the facility’s utilisation will be carried out by the Merak Customs Office.

PT Indah Kiat Pulp & Paper has successfully marketed its products to various countries, especially in Asia and the Americas. With this facility, the company is projected to support investment realisation worth more than US$3 million and open up the potential for thousands of new jobs. The company’s President Director, Didi Harsa Tanaja, expressed his appreciation to Customs for the continuous assistance during the licensing process. The granting of this KITE facility is a concrete manifestation of Customs’ role in providing industrial assistance and trade facilitation to support national industrial growth and enhance the competitiveness of Indonesian products in the international market.