Trade Ministry Issues Three Regulations for Strategic Natural Resources Export Governance

The Ministry of Trade has issued three Minister of Trade Regulations (Permendag) governing the export of coal, palm oil, and ferroalloys. The regulations are Permendag Number 15 of 2026 on the Policy and Regulation of Strategic Natural Resources Commodity Exports for Coal; Permendag Number 16 of 2026 on the Policy and Regulation of Strategic Natural Resources Commodity Exports for Palm Oil; and Permendag Number 17 of 2026 on the Policy and Regulation of Strategic Natural Resources Commodity Exports for Ferroalloys. The regulations aim to strengthen export governance for strategic natural resources (SDA) and support national downstreaming. The three Permendags will take effect on 1 June 2026. Minister of Trade Budi Santoso affirmed that the three Permendags aim to further strengthen trade governance for strategic commodities so that the utilisation of national natural resources can provide more optimal economic benefits. “The Ministry of Trade is implementing various export regulation instruments to ensure that the export of strategic SDA commodities by the State-Owned Enterprise (BUMN) Exporter proceeds in an orderly, transparent, and accountable manner, in accordance with prevailing laws and regulations,” he said. Permendag Numbers 15, 16, and 17 of 2026 are a follow-up to Government Regulation (PP) Number 24 of 2026 on the Governance of Strategic SDA Commodity Exports. This PP regulates the implementation of exports for the three commodities by the BUMN Exporter and takes effect on 1 June 2026. Director General of Foreign Trade at the Ministry of Trade, Tommy Andana, stated that the strategic SDA export governance policy is designed to ensure Indonesia’s natural resources provide greater benefits for the national economy. These Permendags also aim to balance export interests and domestic needs. “Through this policy, the government strengthens the export governance of strategic SDA commodities, optimises economic benefits for the state, ensures domestic needs are met, and supports downstreaming and national economic stability,” Tommy said. Tommy explained that the policy’s implementation will be phased to ensure a smooth transition and provide room for adjustment for stakeholders. In Phase I, from 1 June to 31 December 2026, exports can still be conducted using previously issued permits. However, there is an additional obligation to submit export reports and documents to the BUMN Exporter. The government will also conduct an evaluation within three months of PP Number 24 of 2026 taking effect. Subsequently, in Phase II, which begins no later than 1 January 2027, exports of strategic SDA commodities will only be conducted by the BUMN Exporter. All export processes, from pre-clearance, customs clearance, to post-clearance, are carried out in accordance with mechanisms stipulated in the legislation. For coal commodities, the scope of regulation includes anthracite, thermal coal, lignite, and peat, some of which fall under HS codes 2701 to 2703. During Phase I, export activities will continue using Registered Exporters (ET) and Surveyor Reports (LS) on behalf of business actors. ET permits that have been issued remain valid until no later than 31 December 2026. For palm oil commodities, the regulation covers the same commodities previously regulated under Permendag Number 26 of 2024 on Export Provisions for Palm Oil Derivative Products, in conjunction with Permendag Number 2 of 2025. The export regulation continues to consider the fulfilment of domestic needs through the Minyakita Domestic Market Obligation (DMO) mechanism, including distribution obligations to second-tier distributors and allocations to the Food SOE in accordance with applicable provisions. Meanwhile, the export regulation for ferroalloys covers 15 eight-digit tariff lines under HS 7202, consisting of groups of goods prohibited from export, goods whose export requires an LS, and goods that can be exported without an LS. With the enactment of the three Permendags, the export provisions for coal and ferroalloys in Permendag Number 23 of 2023, as last amended by Permendag Number 12 of 2026, are revoked and declared invalid. In addition, the export provisions for palm oil in Permendag Number 26 of 2024, as amended by Permendag Number 2 of 2025, are also revoked and declared invalid. Tommy emphasised that strengthening the governance of strategic SDA exports is part of the government’s efforts to ensure Indonesia’s natural resources can provide long-term benefits for national development. “The government wants to ensure that the management of strategic commodity exports is not only oriented towards increasing exports but is also capable of encouraging downstreaming, maintaining domestic supply, increasing added value, and strengthening national economic resilience,” Tommy said.