Indonesian Political, Business & Finance News

Ministry of Trade Issues Two Regulations to Facilitate Export of Strategic Commodities

| Source: ANTARA_ID Translated from Indonesian | Trade
Ministry of Trade Issues Two Regulations to Facilitate Export of Strategic Commodities
Image: ANTARA_ID

Jakarta (ANTARA) - The Ministry of Trade (Kemendag) has issued two new regulations in the export sector to accelerate deregulation and provide business facilitation, particularly for several strategic commodities such as tin, coal, and oil and gas through Minister of Trade Regulation (Permendag) Numbers 5 and 6 of 2026.

Minister of Trade Budi Santoso stated that the issuance of both Permendags is part of efforts to simplify the export process while enhancing the competitiveness of businesses amid global trade dynamics.

“Both Permendags relax export policies by eliminating several obligations and sanctions, as well as reducing prohibition and restriction documents (lartas),” Budi said in a statement in Jakarta on Tuesday.

Permendag 5/2026 covers export policies and arrangements. Meanwhile, Permendag 6/2026 regulates goods prohibited from export. Both regulations were promulgated on 26 March 2026 and will take effect on 1 April 2026.

Director General of Foreign Trade at Kemendag, Tommy Andana, stated that the improvements to export policies are designed to meet the needs of the business world, which desires faster and more efficient export processes.

“This revision aims to simplify regulations and adjust policies to global trade dynamics and business needs,” Tommy said.

The forms of export policy relaxation in both Permendags include the simplification of export instruments for several strategic commodities.

For industrial tin commodities, the requirements are now limited to Export Approval (PE) and Surveyor Report (LS), while the Registered Exporter (ET) requirement has been eliminated.

Meanwhile, in the oil and gas sector, the provisions have been simplified to only PE and LS, from the previous requirement of ET, PE, and LS. However, an exception applies to natural gas exports via pipeline, which still requires ET.

Coal exports have also been simplified by removing the cooperation agreement requirement in ET applications and the obligation to realise at least one export within two years along with its sanctions.

This policy is accompanied by flexibility in raw material sources to support industrial tin downstreaming.

On the other hand, technical specification requirements for tin solder, such as limits on iron (Fe) content, dimensions, weight, and packaging methods, have also been eliminated to simplify processes and increase efficiency for business actors.

Furthermore, the government is promoting digitalisation and automation of export licensing services through the modernisation of integrated systems across ministries and agencies. One step taken is the implementation of electronic and automatic PE issuance for certain commodities such as rice and fishery products.

The export licensing system has also been integrated with the Indonesia National Single Window (SINSW) to accelerate technical data verification processes from relevant ministries and agencies.

One major change is the transfer of authority to issue Natural Plants and Wildlife Transport Documents (TASL) for aquatic species from the Ministry of Forestry to the Ministry of Marine Affairs and Fisheries in accordance with Law Number 32 of 2024.

In addition, the government has stipulated that PE for ilmenite and rutile concentrates can only be applied for by holders of Mining Business Licences (IUP) and Special Mining Business Licences (IUPK) for Operation Production. This new provision eliminates the Industrial Business Licence (IUI) requirement because these commodities are categorised as mining by-products.

Tommy added that the preparation of these regulations has gone through a cross-ministerial and agency coordination process, including input from business associations. These policies are expected to strengthen the performance of the national trade balance while maintaining economic stability amid global uncertainties.

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