Thu, 10 Oct 2002

Govt to review 150 conflicting regulations

The Jakarta Post, Jakarta

The government will review some 150 regulations on imports and exports issued by various ministries, because many are reported to be in conflict with each other and are confusing customs officials.

A government official has said the conflicting regulations have hampered the flow of goods in and out of the country and have hurt many businessmen.

Erman Rajagukguk, the head of the special team established by the government to solve customs problems, said the team would review and give recommendations to the related ministries to revise the conflicting regulations.

"There are some 150 regulations which need to be registered. Many of them should be revised because they are in conflict with each other," Erman told Antara, while accompanying Coordinating Minister for the Economy Dorodjatun Kuntjoro-Jakti to inspect loading and unloading activities at Tanjung Priok port.

He did not provide any further details, but a source at the Directorate General of Customs and Excise told The Jakarta Post that the regulations in question included those issued by the Ministry of Industry and Trade and the Ministry of Agriculture on the import of chicken drumsticks.

The Ministry of Industry and Trade allows the importation of chicken drumsticks, saying that banning its import would conflict with World Trade Organization rulings.

However, the Ministry of Agriculture has issued a decree to ban its importation, arguing that drumstick imports would hurt local poultry farmers.

The source said the conflicting regulations had caused significant losses for hundreds of local importers as they were forced to return imported chicken drumsticks soon after they arrived at Tanjung Priok.

There are also conflicting regulations on the importation of secondhand clothing.

The Ministry of Industry and Trade bans the import of used clothing, but many regional governments, relying on the power given to them by the Autonomy Law, have issued decrees to allow its importation.

The massive import of secondhand clothes has sparked an outcry from the local textile industry, which considers used clothes a threat to their business.

There are also conflicting regulations on the export of logs.

Last year, the Ministry of Industry and Trade, along with the Ministry of Forestry, issued a decree to ban the export of logs, but again, many regional administrations, referring to the Autonomy Law, have issued their own regulations to allow the export of this commodity.

The government issued Presidential Decree No. 54/2002 early this year to set up a special team to solve the various customs problems in response to public complaints about rampant smuggling and alleged fraud by customs officials.

The "presidential decree 54 team" includes top officials from the Ministry of Finance, the Ministry of Industry and Trade, the Ministry of Forestry, the State Ministry of Communications and Information, the National Police and the Armed Forces.