Central Bonded Logistics Facilities Regulated in Detail

The Minister of Finance (“Minister”) has issued Regulation No. 272/PMK.04/2015 (“2015 Regulation”) on Central Bonded Logistics Facilities. The 2015 Regulation sets out further provisions relating to central bonded logistic facilities, which are a new type of bonded storage area first introduced in Government Regulation No. 32 of 2009 , which was most recently amended by Government Regulation No. 85 of 2015 . [1] The 2015 Regulation sets out detailed guidelines on the establishment of central bonded logistic facilities, the requirements that have to be met in order to be appointed as an organizer of a central bonded logistic facility, procedures for loading and unloading goods to/from central bonded logistic facilities, and applicable provisions on customs and excise in central bonded logistic facilities.The 2015 Regulation is of relevance to businesses seeking to establish central bonded logistics facilities, or which are intending to store goods in central bonded logistics facilities, as well as to exporters and importers of goods in general.Central Bonded Logistic FacilitiesA central bonded logistics facility (Pusat Logistik Berikat–“PLB”) is defined as an area, zone, or building used to store goods on a temporary basis after they have been sent from other areas within Indonesia or from overseas, before these goods are eventually re-exported or transferred to other areas. [2] A PLB is organized by an incorporated entity residing within Indonesia (“PLB Organizer”). The 2015 Regulation sets out two main obligations for any entity wishing to be appointed as a PLB Organizer, namely: 1) the proposing of an area to be determined as a PLB; and 2) the securing of a PLB Organizer’s License.Applications for PLB area proposals and for the securing of PLB Organizer’s Licenses are to be submitted to the Director General of Customs and Excise (“Director General”) via the relevant Head of Customs Office. [3] Requirements for an area to be determined as a PLB, as well as the requirements for securing a PLB Organizer’s License, are set out in the table below: