Trade Minister: New IPSA to Boost Regional Exports
The Minister of Trade, Budi Santoso, stated that the presence of new Certificate of Origin Issuing Agencies (IPSKA) in various regions is expected to drive an increase in regional exports and strengthen the competitiveness of Indonesian products in international markets.
“If the import duties are zero per cent, the price of our products in destination countries becomes cheaper, allowing them to compete with other countries that do not have trade agreements,” he said after simultaneously inaugurating IPSKA in seven regions across Indonesia, centred at the Pendopo Si Panji in Purwokerto, Banyumas Regency, Central Java, on Thursday.
According to him, the Certificate of Origin (SKA) is a document that indicates the origin of an exported good and serves as the basis for destination countries to provide preferential tariff facilities in accordance with applicable trade agreements.
He provided an example that if Indonesia has a trade agreement with a partner country providing zero per cent import duties for certain products, the SKA serves as proof that the goods truly originate from Indonesia, thereby entitling them to such facilities.
Budi noted that without an SKA, destination countries would find it difficult to verify the origin of goods, as international trade involves products from various nations. Therefore, he stated, the SKA is a vital instrument for meeting rules of origin requirements while providing certainty for exporters.
According to the Minister, the presence of IPSKA in the regions will make it easier for business actors to access SKA issuance services, which can increase the utilisation of various international trade facilities and impact national export growth.
Meanwhile, the Director General of Foreign Trade at the Ministry of Trade, Tommy Andana, stated that the government has established seven new IPSKA based on the Decree of the Minister of Trade Number 404 of 2026 regarding Certificate of Origin Issuing Agencies and the Decree of the Minister of Trade Number 405 of 2026 regarding Authorized Signatories for Certificates of Origin.
He explained that the designation of IPSKA was carried out in accordance with the Minister of Trade Regulation Number 25 of 2018, considering several criteria, including adequate export activities, the presence of export ports, industrial zones, and export-oriented or special economic zones.
“With the establishment of these new IPSKA, there are now 103 agencies distributed throughout Indonesia,” he said.
The seven newly inaugurated IPSKA are located in Banyumas Regency, Natuna Regency, Garut Regency, Semarang City, North Halmahera Regency, Morowali Regency, and Southwest Papua Province.
He added that IPSKA plays a strategic role as issuers of SKA as well as implementers of verification and supervision regarding the fulfilment of Indonesian export rules of origin, acting as the frontline in guaranteeing the validity of export documents.
The addition of new IPSKA is expected to bring services closer to exporters and micro, small, and medium enterprises (MSMEs) in the regions, allowing more business actors to utilise the trade facilities Indonesia possesses.
Specifically in Banyumas, he noted that flagship products such as coconut sugar, woven crafts, and essential oils have great potential to increase exports if supported by continuous supply and maintained product quality.
He stated that the utilisation rate of SKA for national exports to partner countries with Free Trade Agreements (FTA) has currently reached 75.6 per cent.
The Ministry of Trade also continues to develop the SKA issuance system, including through automation features that have been implemented for exports to the United Arab Emirates, Hong Kong, Japan, Australia, China, and South Korea.
Tommy expressed hope that the addition of IPSKA and the strengthening of these services would increase the use of international trade facilities while bolstering the competitiveness of Indonesian exports in the global market.