M Julnis Firmansyah, Jakarta – The E-commerce Logistics Entrepreneurs Association (APLE) chairperson Sonny Harsono rejected the planned revision of Trade Minister's Regulation (Permendag) No. 50/2020, which will prohibit importers from selling goods less than US$100 or Rp1.5 million per unit in the marketplace.
"This new policy does not reflect the real conditions. For example, if the government bans imported goods, such as cellphone accessories and/or electronics that are not produced domestically, it will actually create a risk of illegal import activities," Sonny said in a statement, Wednesday, August 2, 2023.
Sonny explained that in the principle of economics, the supply will continue when there is demand. Moreover, he claimed there are many imported goods sold by non-importer sellers in local e-commerce.
According to him, platforms facilitating cross-border transactions do not only exist in Indonesia but in many countries. Yet other countries impose a tax on those goods, instead of restricting the sale.
Sonny also said there is a large platform conducting MSME cross-border export transactions to six countries with volumes exceeding import figures.
"This means, the transaction actually increases the current account or the gap between exports and imports in a country. Therefore, restricting cross-border import transactions will actually threaten the existence of MSME players if the shopping platform stops all cross-border transactions to Indonesia," Sonny reiterated.
Sonny further mentioned that entrepreneurs joining APLE admit there is rapid progress in cross-border imports to Indonesia. Imports are carried out 100 percent digitally and automated.
Additionally, Sonny said Customs has applied the e-catalog, offering transparency on state revenues originating from import duties, value-added tax (VAT), and income tax (PPh). APLE thus hoped that the government would keep supporting shopping platforms to carry out cross-border transactions.
Source: https://en.tempo.co/read/1755363/entrepreneurs-reject-price-restriction-on-imported-good