Regulation of the Trade Minister No. 48/M-DAG/PER/7/2012 on provisions on the export of non-subsidized urea fertilizers

"H.s*t.,;"4:1,47AP GOVE RNME.; ,i' RE G U T- 10"4.S ..:114,07,1iTi,.° S Jj PROVISIONS ON THE EXPORT OF NON-SUBSIDIZED UREA FERTILIZERS (Regulation of the Trade Minister No. 481M-DAG/PER/712012 dated July 18, 2012) BY THE GRACE OF GOD ALMIGHTY port of non-subsidized urea fertilizers; ; THE TRADE MINISTER OF ft that based upon the consideration in letter a, it THE REPUBLIC OF INDONESIA, is necessary to stipulate Regulation of the Trade Minister; Considering : a. that urea fertilizer is a type of fertilizer which is much used in the agricultural sector so that in an effort to increase effectiveness in the control of urea fertilizer abuses and to ensure national urea In view of : 1. Trade Ordinance of 1934 (Statute Book of 1938 No. 86); 2. Law No. 8/1962 on Trade in Goods under Surveil fertilizer stocks, it is necessary to control the ex- lance (Statute Book of 1962 No. 42, Supplement 1 22 Business News 8349/ 1-2-2013 to Statute Book No. 2469); 3. Law No. 3/1982 on Mandatory Corporate Regis tration (Statute Book of 1982 No. 7, Supplement to Statute Book No. 3214); 4. Law No. 5/1984 on Industry (Statute Book of ernment, Provincial Governments and Regency/ Municipal Governments (Statute Book of 2007 No. 82, Supplement to Statute Book No. 4737); 12. Presidential Decree No. 260/1967 on the Affir mation of Tasks and Responsibilities of the Trade 1984 No. 22, Supplement to Statute Book No. Minister in the Foreign Trade Sector; 3274); 13. Presidential Regulation No. 77/2005 on the Des 5. Law No. 7/1994 on the Ratification of Agreement ignation of Subsidized Fertilizers as Goods under Establishing The World Trade Organization (Stat- Surveillance as already amended by Presidential ute Book of 1994 No. 57, Supplement to Statute Regulation No. 15/2011; Book No. 3564); 6. Law No. 10/1995 on Customs Affairs (Statute Book of 1995 No. 75, Supplement to Statute Book No. 3612) as already amended by Law No. 17/2006 (Statute Book of 2006 No. 93, Supple ment to Statute Book No. 4661); 7. Law No. 7/1996 on Food (Statute Book of 1996 No. 99, Supplement to Statute Book No. 3656); 8. Law No. 5/1999 on Ban on Monopolistic Prac tices and Unsound Business Competition (Stat ute Book of 1999 No. 33, Supplement to Statute Book No. 3817); 9. Law No. 24/1999 on Foreign Exchange Traf fic and Exchange Rate System (Statute Book of 1999 No. 67, Supplement to Statute Book No. 3844); 10. Government Regulation No. 68/2002 on Food Se curity (Statute Book of 2002 No. 142, Supple ment to Statute Book No. 4254); 11. Government Regulation No. 38/2007 on the 14. Presidential Decree No. 84/P/2009 on the For mation of United Indonesia Cabinet II as already amended by Presidential Decree No. 59/P/2011; 15. Presidential Regulation No. 47/2009 on the For mation and Organization of State Ministries as al ready several times amended the latest by Presi dential Regulation No. 91/2011; 16. Presidential Regulation No. 24/2010 on the Posi tion, Tasks and Functions of State Ministries and the Organizational Structure, Tasks and Functions of First Echelon Officials at State Ministries as already several times amended the latest by Presi dential Regulation No. 92/2011; 17. Regulation of the Trade Minister No. 28/M-DAG/ PER/6/2009 on Provisions on the Licensing of Ex ports and Imports with Electronic System through INATRADE within the Framework of Indonesian National Single Window; 18. Regulation of the Trade Minister No. 31/M-DAG/ PER/7/2010 on the Organization and Work Mech Sharing of Government Affairs among the Gov- ( anism of the Trade Ministry; Business News 8349/1-2-2013 23 19. Decree of the Agriculture Minister in the Capacity as the Executive Chief of the Food Security Coun cil No. 669/Kpts/OT.1601212012 on the Working Group for Formulating Fertilizer Policies; 20. Regulation of the Trade Minister No. 13/M-DAG/ PER/3/2012 on General Provisions in the Export Sector; DECIDES: To stipulate REGULATION OF THE TRADE MINISTER ON PROVI SIONS ON THE EXPORT OF NON-SUBSIDIZED UREA FERTILIZERS. Article 1 Referred to in this Ministerial Regulation as 1. Export is an act of taking goods out of a customs area. 2. Urea fertilizer is chemical fertilizer containing ni trogen (N) of high content, in the form of white crystal granules, with chemical formula NH2 CONH2, easily solvable in water and easily ab sorb water (hygroskopis). 3. Non-subsidized urea fertilizer is urea fertilizer which carries no government subsidy. 4. Special Working Group for Assessing Fertilizer Policies in Support of Food Security, hereinafter called Pokja, is a working group formed by the Agriculture Minister in the capacity as the Execu tive Chairman of the Food Security Council. 5. PT Pupuk Indonesia (Persero) is a holding com pany of state-owned fertilizer producers. 6. Subsidiaries of PT Pupuk Indonesia (Persero) are state-owned fertilizer producers, namely PT Pu puk Sriwidjaja Palembang, PT Petrokimia Gresik, PT Pupuk Kaltim, PT Pupuk Kujang, and PT Pupuk Iskandar Muda. 7. Written Statement of Allocations for the Export of Non-Subsidized Urea Fertilizers, hereinafter called SKAE for Non-Subsidized Urea Fertilizers, is a written statement issued by PT Pupuk Indonesia (Persero) stating the distribution of allocations for the export of non-subsidized fertilizers to its sub sidiaries. 8. Written Approval of Export of Non-Subsidized Urea Fertilizer, hereinafter called SPE for Non Subsidized Urea Fertilizer, is a written approval for the export of non-subsidized urea fertilizers. 9. Minister is the minister carrying out government tasks in the trade sector. 10. Director General is the Director General of Foreign Trade, Trade Ministry. Article 2 (1) Non-subsidized fertilizers whose export is limited are only non-subsidized urea fertilizers included in headings/HS 3102.10.00.00. (2) All types of subsidized fertilizers are banned from being exported. 24 I Business News 8349/1-2-2013 Article 3 izers shall secure SPE for Non-Subsidized Urea (1) The volume of non-subsidized urea fertilizers that Fertilizers. can be exported as referred to in Article 2 para- 1 (2) The SPE for Non-Subsidized Urea Fertilizers as re graph (2) shall be set every year by Pokja. ferred to in paragraph (1) are issued by the Min (2) The volume of non-subsidized urea fertilizers that ister. has been set by Pokja as referred to in paragraph 1 (3) The Minister can delegate the authority to is (1) can be changed any time. (3) The change in the volume of non-subsidized urea fertilizers that can be exported as referred to in paragraph (2) shall be made by considering devel opments in domestic fertilizer stocks. Article 4 (1) The volume of non-subsidized urea fertilizers that can be exported as referred to in Article 3 shall be submitted by Pokja to PT Pupuk Indonesia (Persero), with a copy addressed to the Director General. (2) Based on the volume of non-subsidized urea fertil izers that can be exported as referred to in para graph (1) PT Pupuk Indonesia (Persero) shall dis tribute export allocations of non-subsidized urea fertilizers among its subsidiaries. (3) Based on the export allocations of non-subsidized urea fertilizers as referred to in paragraph (2) PT Pupuk Indonesia (Persero) shall issue SKAE for Non-Subsidized Urea Fertilizers. Article 5 (1) The subsidiaries of PT Pupuk Indonesia (Persero) sue SPE for Non-Subsidized Urea Fertilizers as referred to in paragraph (2) to the Director Gen eral. Article 6 (1) To obtain SPE for Non-Subsidized Urea Fertilizers as referred to in Article 5, the subsidiaries of PT Pupuk Indonesia (Persero) shall file written appli cations to the Director General, along with : a. a photocopy Industrial Business Permit (IUI) or other similar permit issued by the authorized technical agency; b. a photocopy of Corporate Registration Certifi cate (TDP); c. a photocopy of Taxpayer Code Number (NPWP); d. SKAE for Non-Subsidized Urea Fertilizers; and e. a written statement with a duty stamp stating that the urea fertilizers to be exported are not subsidized urea fertilizers. (2) The Director General shall issue SPE for Non Subsidized Urea Fertilizers no later than 5 (five) working days after the applications as referred to in paragraph (1) have been received in a complete that intend to export non-subsidized urea fertil- and correct way. Business News 8349/1-2-2013 25 to *te eaN St" GOVLRNMF . NT Rtuu LATIONS • (3) If the applications as referred to in paragraph (1) ferred to in paragraph (1) have been received in a are not complete and correct, the Director Gen- r complete and correct way. eral shall reject the applications for SPE for Non Subsidized Urea Fertilizers no later than 5 (five) Article 9 working days after the applications have been re- I (1) If after the validity period of SPE for Non-Subsi ceived. dized Urea Fertilizers has expired part of non-sub Article 7 SPE for Non-Subsidized Urea Fertilizers issued by the Director General as referred to in Article 6 paragraph (2) shall be valid for a maximum of 6 (six) months since the date of issuance. Article 8 (1) If documents of the applications as referred to in Article 6 paragraph (1) letter a up to letter d change, the subsidiaries of PT Pupuk Indonesia (Persero) shall apply for revised SPE for Non-Sub sidized Urea Fertilizers in writing to the Director General by attaching the following documents to the applications: a. the original of SPE for Non-Subsidized Urea Fertilizers; b. a plan for a change in the export of non-subsi dized fertilizers; c. a written statement from PT Pupuk Indonesia (Persero); and d. a export realization report. (2) The Director General shall issue revised SPE for Non-Subsidized Urea Fertilizers no later than 5 sidized urea fertilizers remains unexported, the subsidiaries of PT Pupuk Indonesia (Persero) can apply for the extension of SPE for Non-Subsidized Fertilizers. (2) SPE for Non-Subsidized Urea Fertilizers can be extended for a maximum of 3 (three) months ac cording to the volume of non-subsidized urea fer tilizers that remain unexported and a recommen dation from Pokja. (3) To extend SPE for Non-Subsidized Urea Fertil izers as referred to in paragraph (1), the sub sidiaries of PT Pupuk Indonesia (Persero) shall file written applications to the Director General, along with : a. the original of expired SPE for Non-Subsidized Urea Fertilizers; b. a written statement from PT Pupuk Indonesia (Pe rse r0) ; c. a recommendation from Pokja; and d. a export realization report. (4) The Director General shall issue extended SPE for Non-Subsidized Urea Fertilizers no later than 5 (five) working days after the applications as re ferred to in paragraph (3) have been received in a (five) working days after the applications as re- complete and correct way. Business News 834911-2-2013 M.'S% c %glib 'into Cc , ' Rr c i - et7:* . gtgg‘ • t (5) If the applications as referred to in paragraph (3) are not complete and correct, the Director Gen eral shall reject the applications for SPE for Non Subsidized Urea Fertilizers no later than 5 (five) working days after the applications have been re ceived. be submitted to the Director General, with a copy addressed to Pokja no later than the 15th of the ensuing month after the expiry of SPE for Non-Subsidized Urea Fertilizers manually and/or through http://inatrade.kemendag.go.id . Article 13 Article 10 When the subsidiaries of PT Pupuk Indone sia (Persero) whose SPE for Non-Subsidized Urea Fertilizers has expired intend to export another non (1) The subsidiaries of PT Pupuk Indonesia (Persero) that violate provisions in Article 2 and Article 11 shall have their permits revoked and/or are liable to other sanctions according to the legislation. subsidized urea fertilizers, they shall file written ap- I (2) The subsidiaries of PT Pupuk Indonesia (Persero) plications for new SPE for Non-Subsidized Urea Fertil izers according to provisions as referred to in Article 6 paragraph (1). Article 11 The subsidiaries of PT Pupuk Indonesia (Per sero) that export non-subsidized urea fertilizers shall meet provisions in Article 2 in addition to technical provisions and conditions related to the export of non-subsidized urea fertilizers stipulated in other reg ulation. Article 12 (1) The subsidiaries of PT Pupuk Indonesia (Persero) that have secured SPE for Non-Subsidized Urea Fertilizers shall report in writing the export of non that violate provisions in Article 12 shall not be given SPE for Non-Subsidized Urea Fertilizers to export non-subsidized urea fertilizers again. (3) The subsidiaries of PT Pupuk Indonesia (Persero) that receive sanctions as referred to in paragraph (2) can apply for another SPE for Non-Subsidized Urea Fertilizers after submitting a writ-ten report on the export of non-subsidized urea fertilizers as referred to in Article 12. Article 14 The Director General can stipulate technical provisions to implement this Ministerial Regulation. Article 15 Urea fertilizer export approvals issued based subsidized urea fertilizers, either realized or not on Decree of the Industry and Trade Minister No. realized. 558/MPP/Kep/12/1998 on General Provisions in the (2) The report as referred to in paragraph (1) shall I Export Sector as already several times amended the Business News 8349/1-2-2013 27 latest by Regulation of the Trade Minister No. 01/M DAG/PER/1/2007, shall remain valid until the expiry of urea fertilizer export approval. Article 16 This Ministerial Regulation shall come into force as of July 19, 2012. For public cognizance, this Ministerial Regula tion shall be promulgated by placing it in the State Gazette of the Republic of Indonesia. Stipulated in Jakarta On July 18, 2012 THE TRADE MINISTER OF THE REPUBLIC OF INDONESIA sgd GITA IRAWAN WIRJAWAN (S) 28 Business News 8349/1-2-2013