Sabtu, 12 Maret 2016

INVESTORS WELCOME INDONESIA'S BONDED LOGISTICS CENTERS

By Andi Abdussalam
          Jakarta, March 12 (Antara) - Investors have lauded the government's efforts to establish Bonded Logistics Centers (PLB) which offer facilities to businesses and are expected to transform the country into the Asia-Pacific logistics hub.
         "We hail the government's breakthrough to issue a legal umbrella and establish PLBs in Indonesia," Benny Woenardi, the director of PT Gerbang Teknologi Cikarang said Friday.
         PT Gerbang Teknology Cikarang is one of the 11 companies allowed by the Indonesian government to utilize the bonded logistic center whose operation was kicked off by President Joko Widodo (Jokowi) at Cipta Krida Bahari industrial zone in Cakung, North Jakarta Friday.
         "We will begin to operate with the facility through a cotton bonded logistics center in cooperation with the Indonesian Textile Business Association (API) to support the national textile and textile product industries," Benny Woenardi, added.
          President Jokowi, when inaugurating the bonded logistics zone Thursday, expressed his intent to make Indonesia the logistics "hub" in the Asia-Pacific region.



          The Indonesian government has offered incentives to companies using the Bonded Logistics Center to attract investors. A total of 11 companies will enjoy PLB facilities.
          The 11 companies granted the facilities include PT Gerbang Teknologi Cikarang (Cikarang Dry Port), PT Cipta Krida Bahari Cakung, PT Petrosea Tbk Balikpapan, and PT Pelabuhan Panajam (Eastkal-Astra Group) Balikpapan, in addition to PT Kamadjaja Logistics Cibitung, PT Toyota Motor Manufacturing Indonesia Karawang, PT Agility International Halim dan Pondok Ungu, as well as PT Dunia Express Sunter and Karawang.
        Additionally, PT Khrisna Cargo of Benoa and Denpasar, PT Vopak Terminal of Merak, and PT Dahana (Persero) of Subang can also utilize the facilities at the logistics center.
         The Cikarang Dry Port through PT Gerbang Teknologi Cikarang (a subsidiary of PT Jababeka), is ready to operate the modern warehouse as the center of the cotton PLB in Cikarang, Bekasi, West Java, according to Benny Woenard.
         His company expressed its readiness in connection with the inauguration by the President of the PLB in Cipta Krida Bahari, Cakung, North Jakarta Thursday (March 10).
         Apart from the PLB on cotton, dairy products and derivatives in Cikarang, the government also designs PLBs on automotive in Karawang (West Java), upstream oil supporting devices in Balikpapan (East Kalimtan), and agricultural tools and heavy equipment in Marunda (North Jakarta), in addition to a fuel storage facility in Merak, Banten.
         His side is taking follow up on the PLB cotton facility by preparing an 11,960-square meter warehouse that could be put into operation as soon as the government issues technical implementing rules, Benny said.
         The present state of the bonded warehouse or logistics center was an implementation of the second deregulation policy declared by the President recently, Finance Minister Bambang Brodjonegoro said.
        The government has supported the development of the logistics center through a governmental regulation issued in 2015 that regulates the bonded warehouse facility.
        Some industries in Indonesia needed capital goods from the logistics centers located in in Malaysia and Singapore, the minister remarked.
        Therefore, the government is determined that Indonesia should reduce the gap by building a domestic logistics center to cater to the needs of the industry.
        The bonded warehouse center can store the capital goods needed by domestic industries, Brodjonegoro stated. "Despite the high demand for goods from Indonesia, most of the logistics centers in the Southeast Asian region are located in Malaysia and Singapore," Brodjonegoro pointed out.
        With the launch of the PLBs, Indonesia hopes to become the logistics in the Asia Pacific region.
        "In the current era of competition, acceleration of work, and accelerated development, let us make Indonesia a logistics hub in the Asia-Pacific region," the President remarked after inaugurating the operation of the PLB in Cipta Krida Bahari industrial area, Cakung, North Jakarta, Thursday.
         As a country with the largest gross domestic product (GDP) in the ASEAN, having almost 45 percent of the population of the region, and the largest consumption in the ASEAN of some 40-45 percent, Indonesia should have had such a logistics center for a long time, according to the Head of State.
        "But, in reality, we have to go to another country if we want to buy anything. For me, it should not happen again since the production is in Indonesia and the warehouse should not be in another country," Jokowi emphasized.
         President Joko Widodo (Jokowi) is targeting to relocate the logistics center of the Association of Southeast Asian Nations (ASEAN) to Indonesia following the inauguration of the Bonded Logistics Center (PLB) in the country. "Hopefully, everything can be relocated here as consumption and production takes place here in Indonesia and constitutes 45 percent of the nation's gross domestic product," he said.
         Therefore, the government has issued a PLB package offering at least five types of incentives.
         As part of the first incentive, the government will not apply the customs entry charge for a certain period for investors keen on storing their goods in the PLB. Second, the government will not impose import taxes on those companies.
         In accordance with the third incentive, the Directorate General of Customs and Excise of the Finance Ministry would have to lift excise fees for companies keen on entering the PLB areas.
        Fourth, goods transferred from one PLB to another would be offered similar facilities, plus the value added tax (VAT) or luxury sales tax would not be applicable.
       Based on the fifth incentive, VAT and luxury sales tax will not be imposed on export-oriented goods transferred from customs areas or other economic zones to PLB areas.***3***
(A014/INE)(T.A014/A/BESSR/A. Abdussalam) 12-03-2016 16:13:3

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