THE Indonesian Refrigeration Cooling Companies Association (Perprindo) held an audience with the Ministry of Industry (Kemenperin) to discuss the discourse on policies to limit imported products and move import entry routes or destination ports to eastern Indonesia. On that occasion, Perprindo was attended by Deputy Secretary General Heryanto, administrators for regulation and law Dewanti and Choky Simamora, administrators for trade and industry Henry Sofian, and members of Perprindo.
During this audience, Perprindo submitted several proposals for HS Codes for Electronic Products, especially in the field of Air Conditioners (AC) and Refrigerators, which requested exceptions because there is domestic production but it is not sufficient to meet domestic needs if the government really intends to implement the transfer of import entry routes to eastern Indonesia.
Deputy Secretary General of Perprindo Heryanto said In addition, there are several cooling products that are not produced domestically so there are no local substitute products. Heryanto explained regarding the exception of HS Code category AC 8415 for commercial needs such as for buildings, offices, hotels, malls/shopping centers, restaurants, hospitals, airports, and others. While the exception of HS Code 8418 category Refrigerator because it is a commercial need such as the food and beverage industry, fisheries industry, UMKM, Supermarkets, and minimarkets.
Furthermore, the readiness factor of port infrastructure in eastern Indonesia needs careful consideration from the Government due to inadequate infrastructure for Bitung Port and Sorong Port. Not many ports outside Java Island can serve ships specifically for export-import. In addition, consideration needs to be given to feeders for transportation from the eastern region to Java Island.
It was also conveyed that the impact of moving the import entry route or destination port to the eastern region was the accumulation of excess cargo related to dwelling time, lead time supply which had an impact on increasing high economic costs, port congestion and long queues for the loading and unloading process, the scarcity of empty local containers, and triggering the potential for damage to goods during transit which caused a decrease in product quality.
Perprindo proposed that the Ministry of Industry coordinate to invite other stakeholders such as domestic shipping, forwarders, owners or service providers at TPK, Pelindo, Customs and the Ministry of Transportation to discuss the readiness of the infrastructure. For the progress and development of industry in Indonesia, Deputy Secretary General of Perprindo Heryanto stated that Perprindo supports government policies for importers who have domestic production and hopes that the government can be wise in considering import restrictions and moving import entry routes to eastern Indonesia to business actors with a grace period in the new policy.
However, the application of the reciprocal principle from the exporting country must be avoided because it will have an impact on the domestic industry that still imports raw materials. Head of Sub-Directorate and Head of Electronics and Telematics of the Ministry of Industry Einsten and Ihsan, from the Ministry of Industry, accepted the proposals given by Perprindo and will consider the proposals given by PERPRINDO by providing data transparency required by the Ministry of Industry related to Import Data Mapping. (Z-8)
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