Luhut on Single-Channel Exports: Boosting State Revenue
National Economic Council (DEN) Chairman Luhut Binsar Pandjaitan praised the government’s single-channel export policy for strategic commodities through Danantara Sumberdaya Indonesia (DSI), stating it would boost state revenue. He cited the successful integration of mining commodity management and oversight data via the Mineral and Coal Information System (Simbara).
‘I think this single-channel export policy is correct. Transfer pricing has been a significant issue. When I was Coordinating Minister for Maritime Affairs, we implemented Simbara for coal, which has already been done. I believe it saved up to 40%. Now, with the President’s clearer stance on natural resources exports, the figures should be substantial,’ Luhut said during the ASEAN Regional Economic Outlook and Fiscal Policy event at DEN’s office in Central Jakarta on Monday (25 May).
The government has issued a Government Regulation (PP) on the Management of Natural Resource Commodities Exports. Under this regulation, all export activities for natural resources such as palm oil, coal, and iron alloys are handled by the state-owned export company, Danantara Sumberdaya Indonesia.
Luhut also advocated for the use of the Mineral and Coal Information System (Simbara) in the single-channel export policy for strategic commodities. Simbara, he noted, is integrated with the Indonesia National Single Window (INSW) system.
‘I proposed last night to Rosan (CEO of Danantara) to inform the President to utilise Simbara’s existing traceability system. This agency (Danantara Sumberdaya Indonesia) uses that system, which links directly to INSW,’ Luhut stated.
He added that these integration processes utilise AI-based digital systems to prevent manipulation.
‘The key is to reduce face-to-face meetings. When people meet in person, even with integrity pacts, nothing is truly correct. As far as I know, there are almost always issues,’ Luhut said.
‘Therefore, with the ecosystem we are building, I believe we will significantly reduce these issues and increase state revenue,’ he added.
He cited the existing coal export system where all data is tracked during exports.
‘For coal, for example, seven criteria must be met from the moment a licence is issued. They must report reserves, calorific value, location, export quantities, and more. All of this is integrated,’ Luhut explained.
‘When you want to export, the single window checks everything and integrates it quickly. If you haven’t paid royalties, you simply cannot proceed. No one, not the military or police, can influence this system,’ he explained.