Background
Ministry of Trade issued new regulations, namely Regulation Ministry of Trade Regulation No. 70 Year 2015 on Importer Identification Number (“Permen 70/2015”), which became effective on 1 Januari 2016. Permen 70/2015 revokes Regulation Ministry of Trade No. 27 Year 2012.
Importer Identification Number
Importer Identification Number (“API”) is the identification as an importer to which each import activities in the entire territory of Indonesia, which consists of two types, namely General API (“API-U”) and API Producer (“API-P”). Each importer may only have one type of API and can only be owned by the company’s headquarters that is able to be used for all branches of the holder of the API with similar business activities.
General Importer Identification Number
API-U is given only to the companies that import certain goods for trading purposes.
Producer Importer Identification Number
API-P is given only to companies that import goods to be used directly as capital goods, raw materials, auxiliary materials, and/or materials to support the production process. The imported goods are prohibited to be traded or transferred to other parties. If the imported goods are goods that has been granted exemption from import duty and has been self-used in a period of at least two years from the date of import customs notification, the import goods may be transferred to other parties.
Issuance of API-U and API-P
If the administrative requirements are complete and correct, API-U and API-P are issued by minister of trade delegating its mandate to:
a.Head of the Investment Coordinating Board (BKPM) for the investment company which its business license is subject to government’s authority;
b.Director-General of Trade for enterprises or contractors in the fields of energy, oil, and gas, minerals and other natural resource management having its business based on contractual agreements with the government of the Republic of Indonesia;
c.Head of the Provincial Office for domestic investment companies other than the company which its issuance of the business license is subject to government’s authority; and
d.Head of the Concession for the company, business entity, or contractor incorporated and domiciled in the Free Trade Zone and Free Port.
API-U and API P issued as described in letters a, b, and c above are signed for and on behalf of the minister of trade.
Issuance of API-U and API-P by the relevant agencies are issued no later than five working days after receipt of the complete and correct manner.
Period of API
API is applicable to importer as long as it still performs its business activities. Holder of API shall re-register at the issuing agency every 5 (five) years no later than 30 (thirty) days from the date of publication.
Sanctions for Violations of API
Related to the sanctions, the API may be freezed if companies holding API:
a.Not to re-register;
b.Does not carry out the reporting obligations of the realization of the import;
c.Does not carry out the reporting requirements change.
API may be revoked if the company holding API:
a.Had been sanctioned for the freezing of API twice;
b.To convey incorrect information or data in the application document of API;
c.Is not responsible for the goods imported;
d.Violate the provisions of the legislation;
e.Misuse the import documents and papers relating to imports; and/or
f.Been convicted of a crime related to the misuse of API and has been legally binding.
With the revocation of the API if the company wants to re-apply for a new API, it can do it after between 1 (one) year and 2 (two) years from the date of revocation of API.
