Retailers urge government to simplify licensing
Retailers urge government to simplify licensing
JAKARTA (JP): The Indonesian Retailers Association called on
the government yesterday to simplify licensing procedures for
retailers.
Association secretary general Suryadharma Ali said the
government must revamp its long and complicated retail licensing
procedures.
Speaking at a hearing with House Commission VI, Suryadharma
said retail licensing should be handled by one government agency
through a one-stop service.
He said retailers had to get more than a dozen licenses before
they could operate, including so-called principle licenses from
governors and operational licenses from governors and the
Ministry of Industry and Trade.
Retailers should obtain additional licenses for specific
products from other government agencies such as a butchers
license from the husbandry supervisory office; a fish shop
license from the fishery supervisory office; and an alcohol
license from the customs and excise office, provincial tax
office, police and health office.
The licenses cost retailers much time and money, he said
adding that the association was investigating the costs.
"The licensing procedure is different from one area to
another," Suryadharma said.
The association asked the government to simplify licensing
procedures into a one-stop service, which could be stipulated in
the trade bill which is being drafted by the government.
The association regretted that many wholesalers were acting as
retailers, and hoped the future law would forbid it, Suryadharma
said.
The association hoped the future trade law would more clearly
regulate franchising.
Existing investment regulations forbid foreign franchisers
buying into their local partners' businesses but allow them to
give technical assistance to their franchisees.
The association considered the regulations were too weak to
prevent franchisers from investing in their franchisees because
the regulations did not clearly identify an agency to supervise
retailers, Suryadharma said. (jsk)