Govt limits rattan exports

JAKARTA (JP): A new regulation has limited exports of processed rattan and sawn timber in a bid to protect local companies.

Only designated types of processed rattan can be exported under a decree issued by Minister of Trade and Industry Rahardi Ramelan last week.

The Ministry of Forestry and Plantations will also set a yearly export quota to ensure exports would not threaten the environment and natural resources, the decree said.

In another decree, the ministry required all foreign buyers of Indonesia's sawn timber to open letters of credit (L/Cs) through state-owned commercial banks, and prices quoted must not be lower than the export ceiling prices.

Exporters must also notify the Director of Export at the Industry and Trade Ministry on their monthly export plan, with attachments relayed to the Director of the Utilization and Distribution of Forestry Products at the Ministry of Forestry and Plantation.

Both decrees took effect on Sept. 25. (das)