Three Companies Received Import Duty Exemptions for Sugar in 2015-2016, Witness Tells Tom Lembong Corruption Trial
TEMPO.CO, Jakarta - Director of Business Facility Services at the Ministry of Investment and Downstreaming/BKPM, Roro Reni Fitriani, revealed that PT Andalan Furnindo, PT Medan Sugar Industry, and PT Berkah Manis Makmur received import duty exemption facilities for sugar importation during 2015-2016.
She stated that, based on import duty exemption data held by the Ministry of Investment and Downstreaming/BKPM, the three companies received import duty exemption facilities for raw materials.
"Based on the data, they received import duty exemptions for raw materials," Roro said whilst giving testimony at the trial of former Trade Minister Thomas Trikasih Lembong, known as Tom Lembong, at the Central Jakarta Corruption Court on Monday, 21 April 2025.
She explained that the three companies received import duty exemption facilities because the imported product was crystallised sugar. She disclosed that import duty exemption facilities are governed by Minister of Finance Regulation No. 176 of 2009 and BKPM Regulation No. 4 of 2021.
In practice, she said, there is a term known as the "negative list" — goods that cannot receive import duty exemption facilities. According to the Minister of Industry Regulation, the negative list comprises goods that can already be produced domestically. Consequently, when goods can be produced domestically, import duty exemption facilities cannot be granted.
During Tom Lembong's tenure as Trade Minister, refined crystallised sugar was included on the negative list and therefore could not be granted import duty exemption facilities. However, other types of sugar, such as white crystallised sugar and raw crystallised sugar, could be granted import duty exemption facilities for importation activities. This was in accordance with Minister of Industry Regulation No. 19 of 2010.
In this case, prosecutors at the Attorney General's Office charged that Tom Lembong, as Trade Minister during the 2015-2016 period, issued 21 import approvals for raw crystallised sugar as part of an assignment to build sugar stocks and stabilise sugar prices, granted to ten companies.
Prosecutors assessed that the import approvals were issued without accompanying recommendations from the Ministry of Industry. Tom Lembong has been charged under Article 2 paragraph (1) or Article 3 in conjunction with Article 18 of the Corruption Eradication Act, in conjunction with Article 55 paragraph (1) point 1 of the Criminal Code.
She stated that, based on import duty exemption data held by the Ministry of Investment and Downstreaming/BKPM, the three companies received import duty exemption facilities for raw materials.
"Based on the data, they received import duty exemptions for raw materials," Roro said whilst giving testimony at the trial of former Trade Minister Thomas Trikasih Lembong, known as Tom Lembong, at the Central Jakarta Corruption Court on Monday, 21 April 2025.
She explained that the three companies received import duty exemption facilities because the imported product was crystallised sugar. She disclosed that import duty exemption facilities are governed by Minister of Finance Regulation No. 176 of 2009 and BKPM Regulation No. 4 of 2021.
In practice, she said, there is a term known as the "negative list" — goods that cannot receive import duty exemption facilities. According to the Minister of Industry Regulation, the negative list comprises goods that can already be produced domestically. Consequently, when goods can be produced domestically, import duty exemption facilities cannot be granted.
During Tom Lembong's tenure as Trade Minister, refined crystallised sugar was included on the negative list and therefore could not be granted import duty exemption facilities. However, other types of sugar, such as white crystallised sugar and raw crystallised sugar, could be granted import duty exemption facilities for importation activities. This was in accordance with Minister of Industry Regulation No. 19 of 2010.
In this case, prosecutors at the Attorney General's Office charged that Tom Lembong, as Trade Minister during the 2015-2016 period, issued 21 import approvals for raw crystallised sugar as part of an assignment to build sugar stocks and stabilise sugar prices, granted to ten companies.
Prosecutors assessed that the import approvals were issued without accompanying recommendations from the Ministry of Industry. Tom Lembong has been charged under Article 2 paragraph (1) or Article 3 in conjunction with Article 18 of the Corruption Eradication Act, in conjunction with Article 55 paragraph (1) point 1 of the Criminal Code.