THE MINISTRY OF INDUSTRY CUTS LICENSING

company
Nov 14, 2018
3512

JAKARTA - The Ministry of Industry simplifies licensing by eliminating a number of recommendations and permits.

In this simplification kemenperin undelete on some existing regulations. This removal is due to the current state of industry is no longer require rules or already covered in the administration of other technical ministries.

The purpose of this simplification is to encourage investment into the manufacturing sector. Kemenperin expects that this simplification can stimulate the growth of Indonesian industry. However this abolition does not eliminate the role of the Ministry of Industry as a watchdog of the industry rate in Indonesia. Precisely with the simplification of a regulation must be accompanied by increased supervision by the authorities of it.

Several entrepreneurs have already supported the simplification of the permits of this Ministry of Industry. Johan Tandanu, Secretary General of the Indonesian Toys Entrepreneur Association (APMI), said simplification of regulations will allow the industry to grow.

"If good regulations on our industry from the association definitely support," said Johan, Monday (Bisnis Indonesia - 21/5/2018).

The administrative requirements deleted by the Ministry of Industry include:

Deleted permissions:

1.       License to the principle of industrial estate development

2.       Recommendation of business license of optical disc industry

 

Deleted recommendations:

1.       Registration of business license of optical disc industry

2.       Electronic industry technical considerations for irons

3.       Consideration of water pump imports

4.       Consideration of chemical sector for fertilizer product

5.       Consultation letter for baby clothes and toys

6.       Recommendation of bottled drinking water (AMDK) for non-AMDK drinking water products

7.       Recommendations for the fertilizer industry

8.       Recommended import of steel

9.       Registration letter of peleg

10.   Letter of bicycle list

11.   Recognition of vehicle agency letter

Sanny Iskandar, Chairman of the Indonesian Industrial Estate Association (HKI), said that although the recommendation from the Ministry of Industry will be eliminated, the business actors must complete the requirements of the industrial estate development.

"There should be a technical guideline for building industrial zones," said Sanny, Monday (5/21/2010).

So far, long licensing bureaucracy has caused investors to lose momentum. Because the permit has not yet been issued, the planned investment plan can not be realized until the project becomes unsettled. Easy licensing alone will not necessarily make investors invest their money in building manufacturing into the region.