Govt. Regulates Shipping Agencies

The Minister of Transportation(“Minister”)has issued Regulation No. PM 11 of 2016 on the Organization and Management of Shipping Agencies(“2016 Regulation”).The 2016 Regulation sets out a number of provisions relating to requirements for the establishment and organization of shipping-agency businesses, including business licensing procedures, rights and obligations, the establishment of branch offices, and administrative sanctions for non-compliance.The 2016 Regulation is of relevance to companies which are currently engaged in, or who wish to become engaged in the shipping-agency sector.Shipping AgenciesShipping agencies (“Agency”) are responsible for assisting and representing the interests of ships owned by foreign or domestic transportation companies (“Clients”) when they enter, berth, and finally leave Indonesian waters. [1] This assistance includes: [2]