Doing Business in Indonesia • Bribery and Corruption 98 • Intellectual Property 99 • Payment Risks in Indonesia

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CONTENTS

7 Indonesia overview

Welcome from Lesley Batchelor OBE, FIEx (Grad) – Director General, Institute of Export & International Trade

Foreword from Moazzam Malik, British Ambassador to Indonesia, ASEAN and Timor-Leste

13 Welcome from Mr Richard Graham MP, Prime Minister’s Trade Envoy to Indonesia, Malaysia, the Philippines and the ASEAN Economic Community

Introduction from Joel Derbyshire, Director of International Trade and Investment at the British Embassy Jakarta, Department for International Trade

Foreword from Chris Wren, CEO, BritCham Indonesia

Introduction from Ross Hunter, Executive Director, UK-ASEAN Business Council

www. China .Doing Business Guide .co.uk 3 41 27 Why Indonesia?

28 • Summary Help available 29 • Geography • General overview 30 • Government overview for you 31 • Economic overview

41 Help available for you

43 • Overview • Support from the Department for International Trade (DIT) 47 • Support from the Institute of Export & International Trade 49 • Support from the UK-ASEAN Business Council

51 Getting here and advice about your stay

52 • Entry requirements for Indonesia 53 • Travel advice • Local laws 54 • Safety and security 56 • Local travel 57 • Political situation 58 • Natural disasters 59 • Health 60 • FCO travel advice

63 Sector-specific opportunities

64 • Research • Government tenders in Indonesia • Advanced engineering and marine 65 • Consumer and retail • Defence and security 66 • Education 67 • Financial services • ICT and creative industries 68 • Infrastructure and transportation • Oil and gas 69 • Power generation • Renewable energy

71 Preparing to export

73 • Consultation and bespoke research 74 • Start-up considerations CONTENTS

75 • Direct exports and sales in Indonesia 51 • Setting up a business entity in Indonesia 77 • Getting finance to fulfil an export contract to Indonesia • Getting paid in Indonesia • Transferring money from Indonesia

79 How to do business in Indonesia

80 • Legal considerations • Standards and technical 63 regulations in Indonesia 82 • Taxation in Indonesia 83 • Customs and documentation in Indonesia 85 • Shipping your goods to Indonesia

87 Business etiquette, language & culture

88 • Overview • Local culture 89 • Indonesian public holidays 71

95 What are the challenges?

97 • Challenges when doing business in Indonesia • Bribery and corruption 98 • Intellectual property 99 • Payment risks in Indonesia

79 87 95

www. Indonesia .Doing Business Guide .co.uk 5 CONTENTS

101 Resources

101 Resources 108 Supporting organisations contact details 102 What does membership of the Institute of Export & 110 Market experts contact details International Trade mean? 113 Useful links 104 Focusing on qualifications. Lesley Batchelor OBE, FIEx 121 Trade shows (Grad) - Director General, Institute of Export & 125 Map of Indonesia International Trade 127 Quick Facts 106 The British Embassy Jakarta

SUPPORTING ORGANISATIONS

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Visit the Website and download the free Mobile App Doing Business in Indonesia

Indonesia overview

Indonesia is a large and geographically diverse country that has abundant resources such as nickel, gold, coffee and other forest and marine resources. As part of the Association of Southeast Asian Nations (ASEAN) free trade zone, Indonesia’s strategic geographic position allows easy onward access to other Southeast Asian countries plus China, Japan and Australia for UK companies looking to expand in the region.

The UK is the seventh biggest investor in Indonesia, after Singapore, Japan, US, South Korea, Netherlands, and British Virgin Islands. The UK’s main exports to Indonesia are machinery and transport equipment, chemical and related products, manufactured goods and crude materials. Major British investors include BP, Jardine Matheson, Unilever, Shell, Standard Chartered Bank, HSBC, Premier Oil, BAT, Prudential, Rolls Royce, GlaxoSmithKline and Astra Zeneca.

International surveys show that Indonesians are trusting consumers, highly receptive to advertising and keen to try new things. Indonesia has over 100 million internet users. It is the world’s third-largest Facebook market and fifth-largest Twitter market. Demand from the new middle class is increasing for modern retail and consumer goods, healthcare, education and professional qualifications, information and communications technology (ICT), transport, construction, and manufacturing.

MARKET EXPERTS

Thank you to our Market Experts

www. Indonesia .Doing Business Guide .co.uk 7 & INTERNATIONAL TRADE

The Art of Export Choosing a great export training partner can really help your company take off in the export trade! We can help develop new ideas and find ways to drive down costs and produce sustainable improvements in your export business.

Our main aim is to help you achieve your export and international trade goals. If you do well, we do well.

THE H T E A A Join us today

• R OVER T

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I www.export.org.uk Welcome from Lesley Batchelor OBE, FIEx (Grad) – Director General, Institute of Export & International Trade

Indonesia is the world’s fourth most populous country and the largest in South East Asia. Extending over 18,307 islands with more than 742 different languages, Indonesia is currently th the world's 16 largest economy. This Doing Business in Indonesia Guide will help prepare UK businesses who are looking to trade with this important market. With a population of 253 million, Indonesia can be a highly attractive export market for UK businesses. The country's burgeoning middle class, which is larger than the population of Malaysia or Australia, are hungry for international brands and opportunities exist across the consumer and retail sectors. Other areas where British companies might tap into Indonesia's rapid growth are the creative industries, engineering, education, renewable energy, finance, infrastructure and transport. Indonesia is also an important gateway to other emerging Asian Markets and is a member of ASEAN which means that British companies producing and shipping goods within the region can also benefit from intra-ASEAN tariff reductions. Indonesia is not without its challenges however, the infrastructure has not been developed or maintained to keep pace with the booming consumer-led economy and whilst deregulation has successfully reduced some barriers, non-tariff barriers remain widespread and the bureaucracy can still be cumbersome. Although significant anti-corruption measures have been undertaken by the Indonesian Government, corruption remains a concern for many businesses and you would be well-served to ensure that you have robust due diligence processes in place before you attempt to enter the market. There are several ways to operate a business in Indonesia including setting up a joint venture company, establishing a representative office and appointing an agent or distributor. One of the most important issues when doing business in Indonesia is building a good relationship with your partners. This process is time consuming and requires that you present yourself more as a person rather than a businessman or businesswoman. For Indonesians it is very important to have a good and solid friendship with somebody before doing business, so expect to have to answer a lot of private questions about your life, family, network, hobbies, and so on whilst you get to know your Indonesian hosts. Whatever approach you decide to take in your business dealings in Indonesia, the Institute of Export & International Trade is always ready to help guide you through the ins and outs of doing business in this increasingly important country. Why not contact us and find out how you can join? Good Luck! Lesley Batchelor OBE, FIEx (Grad) Director General – Institute of Export & International Trade www.export.org.uk www. Indonesia .Doing Business Guide .co.uk 9

Foreword from Moazzam Malik, British Ambassador to Indonesia, ASEAN and Timor-Leste

The Indonesian market is huge. This is a country of 250 million people, with a fast growing middle class of 45 million; larger than the population of Australia, or Malaysia and Singapore combined; and is expected to grow to 135 million by 2030.

Indonesia is a country that has many things going for it: demography, natural resources and a geo-strategic location that will drive its progress from being the 16 th largest economy in the world to potentially a top five by 2030.

The numbers show that, alongside India and China, Indonesia will be one of the main drivers of the Asian economy through the 21 st century. As an open trading nation, the UK’s future will depend on relationships with these big Asian engines of growth.

I’m delighted therefore that the Institute of Export & International Trade has created this new guide to highlight to friends across the business world that #IndonesiaMatters.

I’m keen for more medium-sized British companies to take a serious look at the Indonesian market and visit – it is the only way to get a sense of the potential of this Asian giant.

My team and I are ready to do all we can to help.

Moazzam Malik British Ambassador to Indonesia, ASEAN and Timor-Leste https://www.gov.uk/world/organisations/british-embassy-jakarta

www. Indonesia .Doing Business Guide .co.uk 11

Welcome from Mr Richard Graham MP, Prime Minister’s Trade Envoy to Indonesia, Malaysia, the Philippines and the ASEAN Economic Community

This country is a dynamic mix of strong economic growth, belief in relationship driven business partnerships and a constant search for quality and innovation.

British business in Indonesia is growing, and will go on doing so as more businesses see the huge opportunities of working with the world’s fourth most populous country. The GREAT campaign is well recognised, the Union Jack a strong brand and London the best showcase for Indonesia’s international aspirations.

Whether education, new sources of energy, modern aerospace, health insurance or creative media, Indonesia is finding the UK a rich source of reliable high tech solutions.

I hope many British investors and exporters will come to Indonesia. In an era where we all face similar challenges like cyber-crime, terrorism and economic volatility, we have much to benefit from sharing solutions and ideas and pursuing opportunities together. It’s a market where little is straightforward, but almost anything is possible – and our role (Government and Chamber of Commerce) is to help make it happen for you. Mr Richard Graham MP Prime Minister’s Trade Envoy to Indonesia, Malaysia, the Philippines and the ASEAN Economic Community

www. Indonesia .Doing Business Guide .co.uk 13 An international school with British heritage, for boys and girls from around the world aged 3 to 18.

For more information or to apply for a place, please contact Mr Patrick Moore, Head of Admissions +62 (21) 745 1670 • [email protected] • www.bsj.sch.id Introduction from Joel Derbyshire, Director of International Trade and Investment at the British Embassy Jakarta, Department for International Trade

My team at the Embassy and the British Chamber of Commerce Indonesia work in partnership to help UK companies export their goods and services to Indonesia.

Our teams identify Indonesian buyers, including Ministries, local government, state owned enterprises, aid donors and private firms. We then introduce these Indonesian buyers to UK firms.

We focus most the majority of our efforts on sectors where we think there is the strongest demand for UK goods and services. In Indonesia, these sectors include aerospace, defence, education, energy, ship building, sports and transport infrastructure.

Our support comes in many ways, including market research, organising trade missions, promoting UK companies at industry events, making introductions and advising UK companies on regulations and exporting best practice.

UK firms that succeed in Indonesia have an on the ground presence and demonstrate persistence, perseverance, and (a gentle) pushiness in their approach. They also recognise that Indonesia is a relationship based market and see my team, and our extensive network, as an extension of their own. I hope we can be part of your firm’s Indonesian success story too. Joel Derbyshire Director of International Trade and Investment at the British Embassy Jakarta, Department for International Trade https://www.gov.uk/world/organisations/british-embassy-jakarta

www. Indonesia .Doing Business Guide .co.uk 15 Foreword from Chris Wren, CEO, BritCham Indonesia

INDONESIA – Desk research won’t suffice. You must visit this market to appreciate the extent of the opportunity.

Indonesia has been through a fascinating evolution over the last two decades. Five Presidents and five peaceful national elections since the departure of the New Order dictatorship has established Indonesia as the most peaceful transition to democracy in modern times, and this is an important fact as business engages in various risk analysis ahead of new investments and new partnerships.

So, is the ease of doing business transitioning in the same way? There are certainly tangible improvements and signs of further easing. For example, entire sectors have been removed from the list limiting foreign direct investment. In the last four years Indonesia has climbed from number 128 to number 72 in the Ease of Doing Business rankings. There is plenty of recognition for the need for more and the resolve at the top of government and within BKPM is evident. The mantra is that a top 40 ranking is a government key performance indicator.

Should we therefore be surprised that BritCham Indonesia has received an unprecedented number of inquiries about market access – post-Brexit referendum? Certainly not! Indonesia is the fourth largest country in the world by population at 255 million. The middle class is set to number 90 million in the next decade. Just over 50% of the population is under 30, with a median age of 28 years. Strong and consistent domestic consumption makes the economy more resilient than most to global downturns. Indonesia represents 40% of the GDP of the 10-nation ASEAN trading block and it is the only ASEAN member that sits at the G20 table of nations.

Visit the Website and download the free Mobile App Perhaps the only surprise is that it has taken Brexit uncertainty for corporate UK to notice that Indonesia represents a huge opportunity. For decades, some of our top blue-chip brands in energy, FMCG, retail, F & B, banking and insurance, legal, accounting and other services have flourished. In spite of so many success stories, Indonesia remains relatively unknown, but through Overseas Partner Delivery grants, two major UK roadshows a year, regular webinars, GREAT campaign- funded exhibitions across a range of sectors, it is fast becoming known as the jewel in the ASEAN crown.

Before you consult your diary to book a business trip, it is important to remember that Indonesia is a developing nation. The regulatory environment can appear complicated and burdensome. A deeply embedded business and social culture values relationships highly. There is also the challenge of scale – Indonesia spans from London to Istanbul – where to begin? These factors and others require that the opportunities are approached with caution and patience, that proven professional advice is sought and a strategic journey of discovery is carefully planned.

BritCham Indonesia has the vast resource of its diverse membership, the professional leadership of its Board and the experience and track record of converting interest into successful market access. Your corporate peers recommend BritCham as your trusted partner at the earliest stages of your journey.

Please contact me personally: [email protected] Chris Wren CEO, BritCham Indonesia www.britcham.or.id

www. Indonesia .Doing Business Guide .co.uk 17 Enter the Open to Export Action Plan Competition for the chance to win £3000 cash and further support towards your plans for international growth . Complete your plan using our online planning tool.

Who are Open to Export?

We are the free online information A comprehensive webinar Quarterly competitions for the service from The Institute of Export programme covering all aspects chance to win £3000 cash and & International Trade dedicated of international trade further support to helping SMEs through our: The online Export Action Plan Step-by-step guides covering tool helping businesses create a Plan to win - start your Export the whole export journey from roadmap to successful new markets Action Plan today ‘Selecting a market’ to ‘Delivery and documentation’

Register for free on www.opentoexport.com to start your plan and enter the competition Introduction from Ross Hunter, Executive Director, UK-ASEAN Business Council

The UK has always been at the forefront of innovation by adapting to the ever-changing world. These attributes will see it thrive in the post-Brexit, ‘Asian Century’. By 2050 Asia will account for an incredible 50 percent of the world’s trade, compared with 20 percent today. As ASEAN’s powerhouse economy, Indonesia will be a key driver of this growth. Indonesia is Southeast Asia’s largest economy and on course to be a global top ten economy by 2030. Half of the 261 million Indonesians are under 30, and the middle class is expected to almost double from 74 million to 141 million by 2020. It has climbed nearly forty places in the past two years for the 2018 Ease of Doing Business rankings, making it an increasingly attractive export destination for UK businesses. Although there are always risks, the opportunities in Indonesia are good if businesses go about it the right way. There are opportunities for niche technologies and various infrastructure projects, such as coal transportation systems, mass transit, and power generating schemes. There is a massive requirement for infrastructure development in Indonesia and opportunities rival those of Brazil, Russia, India, and China. The largest economic sector in Indonesia is manufacturing and processing, which contributes around 24 percent of the GDP. Winning international business is challenging and a quote often used about Indonesia is “nothing is easy, but everything is possible”. British businesses currently operating in Indonesia stress the importance of locating and screening good partners, agents, or distributors. Taking care in selecting the right partners is crucial and can help you navigate bureaucracy and regulations to help you successfully establish yourself. The UK-ASEAN Business Council (UKABC) sits at the heart of the UK-Southeast Asia economic relationship. It aims to raise UK companies’ awareness of the region’s potential and to encourage them to trade with and invest in this dynamic market. The Union flag remains the most reproduced emblem in Indonesia and can be found almost everywhere, especially on public transport and clothing. We work closely with the British Chamber of Commerce in Indonesia who, as your in-market partner, is vital to helping you understand and then navigate the business environment. The UKABC, BritCham, and other key partners such the Institute of Export, are all here to help more UK companies consider, explore, and invest in Indonesia’s amazing economic potential. Ross Hunter Executive Director, UK-ASEAN Business Council

www. Indonesia .Doing Business Guide .co.uk 19

Department for International Trade (DIT) (formerly UK Trade & Investment - UKTI)

DIT is the British Government department that helps UK-based companies succeed in an increasingly global economy. DIT also helps overseas companies bring their high quality investment to the UK’s economy. DIT’s range of expert services are tailored to the needs of individual businesses to maximise their international success. DIT provides companies with knowledge, advice and practical support.

Through a range of unique services, including participation at selected tradeshows, outward trade missions and providing bespoke market intelligence, DIT can help you crack foreign markets and get to grips quickly with overseas regulations and business practice.

With headquarters in London, DIT have professional advisers around the UK and staff across more than 100 countries.

Contact DIT

Contact your local International Trade Team or Scottish Development International (SDI), Welsh Government (WG) or Invest Northern Ireland (INI) offices to find out more about the range of services available to you.

You can find your nearest International Trade Team at: www.contactus.trade.gov.uk/office-finder/

General enquiry number: +44 (0) 207 215 5000 Department for International Trade 3 Whitehall Place London SW1A 2AW United Kingdom

Email: [email protected] www. Indonesia .Doing Business Guide .co.uk 21 www.Indonesia.DoingBusinessGuide.co.uk

Visit the Website and download the free Mobile App

View this guide online

Website and Mobile App features include:

• Latest business news • Up-to-date travel advice • Interactive ‘Supporting Organisations’ and ‘Market Experts’ proﬁles • Essential contact details • Listings with links to up-and-coming trade shows • Links to the Department for International Trade (DIT) support services.

International Market Advisor (IMA) works The guides’ contents focus on the market with British and foreign government in question, how to approach that market departments, Embassies, High and the help and support available, and Commissions and international Chambers include informative market overviews, plus of Commerce throughout the world. Our details of business opportunities, listings work helps to identify the most efficient with website links to British and Foreign ways for British companies to trade with Government support services and essential and invest in opportunity-rich overseas private sector service-provider profiles. markets. Sponsoring a ‘Doing Business Guide’ During the last ten years IMA has therefore offers a unique opportunity to worked with the British Government's positively promote your products and overseas trade and investment services to high-profile business leaders, department, the Department for specific exporters, investors and effective International Trade (DIT) [formerly business travellers who will be actively UK Trade & Investment (UKTI)], and has seeking out service providers to assist written, designed, produced, launched them in developing their business interests and distributed over one million copies of in the targeted markets. more than 100 country-specific print and multi-media based reports, guides and For more information on IMA publications, including the internationally- please visit our website: recognised ‘Doing Business Guide’ series www.DoingBusinessGuides.com of trade publications. These are composed of market and industry sector-specific, Contact IMA multi-format print and digital trade reports, together with some of the internet’s most Office address visited international trade websites - all of which are designed to advise and assist International Market Advisor UK companies looking to trade with and 1 Clough Street invest in overseas markets. These reports Buxton and guides are then distributed free-of- SK17 6LJ charge through the IMA and DIT global United Kingdom networks - over 500 distribution outlets in Email total. Further distribution takes place at global exhibitions, roadshows, conferences [email protected] and trade missions, and IMA receives daily requests for additional copies of the guides General enquiries switchboard from these networks and from businesses +44 (0) 1298 79562 considering exporting. Media enquiries Each of IMA’s 'Doing Business Guides’ is produced in three formats: a full colour, Newsdesk & out of hours glossy, paper-based brochure; a supporting +44 (0) 1298 79562 fully-interactive and updatable multi-media based website; and the website contents available as a free-of-charge downloadable smartphone/tablet app. www. Indonesia .Doing Business Guide .co.uk 23

A I S E N

O Doing Business in Indonesia D N I

ABOUT THIS GUIDE

This guide aims to provide a route map of the way ahead, together with signposts to other sources of help.

The main objective of this Doing Business in Indonesia Guide is to provide you with basic knowledge about Indonesia; an overview of its economy, business culture, potential opportunities and to identify the main issues associated with initial research, market entry, risk management and cultural and language issues.

We do not pretend to provide all the answers in the guide, but novice exporters in particular will find it a useful starting point. Further assistance is available from the Department for International Trade (DIT) team in Indonesia. Full contact details are available in this guide.

To help your business succeed in Indonesia we have carefully selected a variety of essential service providers as ‘Market Experts’.

The guide is available in 4 formats:

• website: www. Indonesia .DoingBusinessGuide.co.uk • a ‘free’ downloadable 'mobile device-friendly’ app • this full colour hard-copy brochure • PDF download/e-flipbook (available on the guide website)

Doing Business in Indonesia Guide Team:

Project Director: Craig Smith Managing Editors: Olivia Taylor / Brian Underwood Sponsorship Manager: James Clowes Creative Managers: Paul King / Claire King Creative Consultants: Twistedgifted www.twistedgifted.com Production Co-ordinator: Megan Collingwood

Printed using materials from sustainable sources www. Indonesia .Doing Business Guide .co.uk

‘Doing Business in Indonesia Guide’ published in the UK by International Market Advisor Ltd. © 2017 International Market Advisor Ltd (unless otherwise stated). All rights reserved. Contains public sector information licensed under the Open Government Licence v3.0.

25 a i s e n o d n I

, a t r a k a J n i y a w h g i h o t o r b u S t o t a G

INDONESIA

Indonesia is the largest island and archipelago country in the world, with more than 18,000 islands, about 6,000 of which are inhabited. 2 7 WHY INDONESIA? A I S E N

O Doing Business in Indonesia D N I

Why Indonesia?

Summary Annual inflation rate: 3.5% Area: 1,904,569 km 2 (735,358 mi 2) Unemployment rate: 5.6% Population: 261.1 million [Source: World Bank, 2016] General government gross debt: 27.9% of GDP Urban population: 54.5% Fiscal balance: - 2.5% of GDP Population density (people per km 2): 144.1 Current account balance: -1.8% of GDP / US $-16.8 billion Population growth rate (change): 1.3% Exports of goods to UK: £1,283 million Capital city: Jakarta Imports of goods from UK: £559 million Official language: Indonesian [Source – mostly FCO Economics Unit, Dec 2017] Currency: Indonesia Rupiah or IDR (symbol Rp)

Nominal GDP: $932.4 billion

Real annual GDP growth: 5.0%

GDP per capita: $3,604.3

Visit the Website and download the free Mobile App Geography General overview

Situated in Southeast Asia and Oceania, With 260 million inhabitants, Indonesia is between the Indian and Pacific Oceans the world’s fourth most populous country and latitudes 11°S and 6°N, and longitudes and the largest in Southeast Asia. 95°E and 141°E. Indonesia is the largest Indonesia has 18,307 islands, over 742 island and archipelago country in the different languages and a middle class world, with more than 18,000 islands, larger than the population of Malaysia about 6,000 of which are inhabited. or Australia.

th The country extends 5,120 km (3,181 mi) Currently the 16 largest economy in the from east to west and 1,760 km (1,094 mi) world, it is projected to be the seventh from north to south, and straddles the largest economy in the world by 2030. equator. It shares a land border with Malaysia (on the island of Borneo), Papua Doing business in Indonesia takes New Guinea (on the island of New Guinea) patience and perseverance. Companies and East Timor (on the island of Timor), should be prepared to invest time and plus maritime borders with Singapore, resources in regular visits over a period of Malaysia, Vietnam, Palau and the months, sometimes years, before seeing Philippines to the north, and Australia returns. to the south. Contact a Department for International Java is the most densely-populated island, Trade (DIT) export adviser at: with a population density of 940 per km 2, https://www.contactus.trade.gov.uk/enquiry nearly three times the world average. The /topic for a free consultation if you are country’s four largest cities are all situated interested in exporting to Indonesia. on Java, including the capital, Jakarta, with a population of 10 million. Contact UK Export Finance (UKEF) about trade finance and insurance cover for UK Indonesia is prone to frequent earthquakes companies, see: https://www.gov.uk/ and has over 150 active volcanoes, government/organisations/uk-export- including Krakatoa and Tambora. However, finance. You can also check the current volcanic ash combined with the tropical UKEF cover position for Indonesia at: climate provides fertile soil, and vast areas https://www.gov.uk/guidance/country-cover of tropical rainforest cover 60% of the -policy-and-indicators#indonesia. islands, supporting the world’s third- highest level of biodiversity after Brazil [Source – DIT/ UKEF/gov.uk] and Colombia.

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labour is prevalent in Indonesia, in 2016 and almost 60% of GDP is particularly in informal employment and generated on Java Island. Although the in the agricultural and domestic service economy expanded by 5.02% in 2016, the sectors. Girls under 15 are often employed economy slowed in the fourth quarter and as domestic workers, sometimes with long compared poorly to previous years. This hours and no holiday. is due in part to the state’s budget cuts policy, which aims to lower the country’s Women make up approximately 40% of deficit. the employed population in Indonesia; however, they are disproportionately Exports are expected to stay weak due represented in certain occupations, for to unfavourable external conditions, example in the informal economy, and especially given China’s economic as unpaid family workers. Women are slowdown. From this standpoint, positive significantly under-represented in senior improvement in infrastructure disbursement, professional positions but there has been business-friendly regulations and stable some recent progress demonstrated by an food prices were essential to achieve its increase in women’s participation in poli - growth target in 2017 of 5.1%. tics and management. This gap is largely because of cultural and social barriers, Fuel subsidy reform has improved public education attainment and lack of work spending capacity to boost growth, but it experience. The National Commission on is uncertain whether this reform can be Violence against Women states that there sustained when oil prices go back up. are 389 local bylaws which intentionally Stagnant tax collection remains a or in practice discriminate against women. challenge to achieve fiscal sustainability. Improvement in tax administration and [Source – FCO Overseas Business Risk/gov.uk] reducing informality in the economy are key factors to collect more tax revenue.

Economic overview Indonesia remains an open economy but in recent years there has been an increase Indonesia, with a GDP of US $941 billion in legislation and government regulations in 2016, is the largest economy in that place limits on foreign investment and Southeast Asia. Indonesia’s GDP is ranked imports, many of the latter being non-tariff th 16 globally and is larger than that of most barriers. The Parliament has also become EU countries. Average annual economic increasingly nationalistic and looks set to growth of 5.5% over the last six years has stay this way. The recent decision to reduced unemployment (from 7.1% in increase foreign ownership in several 2010 to 5.5% in 2016) and the poverty rate sectors and to open up sectors previously (from 13.3% in 2010 to 10.9% in 2016). closed to foreign investors, however, has sent a positive signal for greater openness Indonesia is facing two major challenges: in the future. widening income and regional disparity, and gradual economic slowdown. Its Gini coefficient rose from 0.35 in 2006 to 0.40

www. Indonesia .Doing Business Guide .co.uk 31 A I S E N O D N I

Indonesia’s open economy and high given positive results. Key reforms dependence of foreign portfolio inflows are in place to improve the business (foreign investors account for nearly 40% environment, access to electricity, of Indonesian Government bond ownership registering property, acquiring finance, and 40% of trading value on the stock paying taxes, cross-border trade and exchange), and reliance on commodity establishing contracts. Structural reforms exports makes it vulnerable to global and solid macroeconomic fundamentals economic developments, notably will see Indonesia continue its positive normalisation of US monetary policy growth trajectory in 2017. and the declining demand from China. Indonesia is a large and geographically The government’s priority is to increase diverse country that relies heavily on the Indonesian exports and increase the export of natural resources. Geographical share of manufacturing exports and and infrastructure constraints can cause processed commodities rather than the logistical challenges. Companies should raw commodities that dominate exports research the market and prospective at present. Improving the business partners thoroughly and seek professional environment, particularly improved advice before entering into contracts. regulatory and licensing processes, is another top priority that will benefit foreign [Source – FCO Overseas Business Risk/gov.uk] and Indonesian businesses alike, but there are hints that the focus on developing and Industries importing into Indonesia supporting Indonesian business may mean The top ten industries importing into continuing restrictions on imports and Indonesia are: foreign investment. Despite these challenges Indonesia offers good • oil opportunities for foreign businesses and those that are present generally • machines, engines, pumps achieve good returns. • electronic equipment Indonesia’s economy has high rates of informality particularly in the labour market. • plastics The International Labour Organization (ILO) estimates that 60% of non-agricultural • iron and steel jobs in Indonesia are informal. Rigid labour market regulation (stringent hiring and • organic chemicals firing rules) has encouraged Indonesian firms, micro enterprises in particular, to run • vehicles unregistered business to avoid compliance with local labour law. • iron or steel products

A complex and dynamic legal and • cereals regulatory environment can present challenges for business. However, the • food waste, animal fodder economic reform programme has slowly

Visit the Website and download the free Mobile App Doing Business in Indonesia

You can read more about what Indonesia • world’s largest producer and exporter imports at World’s Top Exports: of crude palm oil http://www.worldstopexports.com/ indonesias-top-10-imports/. • second largest exporter of coal

Free Trade Agreements (FTAs) • second largest producer of cocoa and Indonesia is a member of the Association tin of Southeast Asian Nations (ASEAN). • fourth largest exporter of natural gas The ASEAN Free Trade Area (FTA) is part of the Asian Economic Community (AEC) Indonesia also has abundant resources agreement among ten ASEAN countries such as nickel, gold, coffee and other which allows free movement of goods and forest and marine resources. services with 0% tax. The country of origin must be one of the ASEAN countries. Benefits for UK businesses exporting to Indonesia include: The AEC will benefit British companies operating in the region. The AEC agenda • growing middle class helps promote reform and raise economic growth in the region. See: http://asean.org/ • strong domestic consumption for more information. • largest economy in Southeast Asia Improved trade facilitation, regulatory reform and financial development will • population increasing by 4.5 million a benefit all domestic and foreign firms. year British firms producing and shipping goods within the region can also benefit from • high proportion of working-age people intra-ASEAN tariff reduction. There will be some areas where the AEC gives other • political stability following transition to ASEAN countries better market access democracy in 1998 than UK firms have, but these are likely to be fairly limited. Indonesia’s economic growth is driven by a middle class of 75 million – more than Through ASEAN, Indonesia has trade twice the entire population of Canada. This agreements with a number of countries, has been projected to double by 2020. including negotiations with the EU on an ASEAN-EU free trade agreement.

Benefits of the Indonesian market Domestic consumption makes up 55.8% of Indonesia’s GDP. This helped to protect Indonesia from the global economic crisis. Indonesia is the:

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Doing Business in Indonesia

• The World Economic Forum’s Global Competitiveness report 2017-18 ranks th Indonesia 36 out of 137, (the UK is th ranked 8 ): https://www.weforum.org/ reports/the-global-competitiveness- report-2017-2018

Contact a DIT export adviser at: https://www.contactus.trade.gov.uk/ enquiry/topic for a free consultation if you are interested in exporting to Indonesia.

Contact UK Export Finance (UKEF) about trade finance and insurance cover for UK companies. You can also check the current UKEF cover position for Indonesia. See: https://www.gov.uk/guidance/country- cover-policy-and-indicators#indonesia.

[Source – DIT/UKEF/gov.uk]

www. Indonesia .Doing Business Guide .co.uk 35 British School Jakarta

British School Jakarta (BSJ) is an international school with British heritage, for children aged three to 18. The School was founded in 1974 with support from the British Embassy, and was originally intended to educate the children of British and Commonwealth nationals.

Today, about 1,400 children study at BSJ; 40% come from the United Kingdom and its Commonwealth, 30% are Indonesian, and around 40 nationalities comprise the rest of the School. There are over 130 members of academic staff and around 230 employees in other supporting roles.

BSJ employs more British-trained teachers than any other school in Indonesia. A British education is globally reputed to offer a broad and balanced curriculum, and teaching that enables students to exceed their highest goals. British schools also provide exceptional extra-curricular opportunities and prioritise the welfare of their students.

The international pianist, Mr Sam Haywood, gives a masterclass to a BSJ student. These areas are strengthened and applied through a concurrent focus on four specific areas: literacy; mathematics; understanding the world; and expressive arts and design.

Age 5 to 11: Years One to Six In Years One to Six, BSJ teaches a blend of the National Curriculum in England and the International Primary Curriculum (IPC).

The National Curriculum introduces The Campus children to the essential knowledge that they need to be educated Established initially in the city centre, citizens, and helps engender an BSJ moved to a green, 18-hectare appreciation of human creativity and estate in Bintaro, south-west of the achievement. With the IPC, their learn - capital, in 1994. The campus was ing takes a global approach; helping opened in part by their Royal Britannic them to connect to where they live, as Highnesses Prince Edward and Prince well as looking at the perspective of Andrew, and it includes an Olympic- other people in other countries. sized swimming pool and theatre complex. Together, these curricula teach children core knowledge (facts and BSJ’s new sports centre and all- information), skills (practical and weather pitches, which opened in transferable abilities) and understand - 2017, make the School one of the best- ing (deeper awareness of concepts resourced for sport in South-East Asia. that develops over time). The new facilities include two floodlit football fields with the latest surface Age 11 to 14: Years Seven to Nine technology, three basketball courts Students aged 11 to 14 follow a broad that convert into six volleyball or 12 and balanced programme, based on badminton spaces, a gym and weights the National Curriculum of England room, a rock-climbing wall and a and Wales and adapted to an dance studio. international context.

The Curriculum All students study the following subjects: English; Mathematics; Age 3 to 5: Foundation Stage Science; Design Technology; History; Foundation Stage prepares young Geography; Modern Foreign children for success later in life by Languages (a wide choice of promoting their early development. European and Asian Languages); There are seven inter-connected Art; Drama; Music; Information and aspects of the Foundation Stage Communication Technology; Physical curriculum. Education; Personal, Social and Health Education; and Indonesian Studies. Three prime areas ignite children’s curiosity and enthusiasm for learning, These three years of study provide the and build their capacity to learn, form foundation for the IGCSE programme relationships and thrive. These are that follows. communication and language; physical development; and personal, social and emotional development. Age 14 to 16: Years Ten and 11 sciences; mathematics; and the arts). The curriculum in Years Ten and 11 is a These are complemented by the two-year course of study culminating in ‘core’, which comprises theory of external IGCSE examinations. These are knowledge; creativity, activity, set by the Cambridge International community service; and the independ - and London (EDEXCEL) examinations ently-researched extended essay. boards. Through the IB, BSJ develops students The core programme comprises who: Mathematics; English Literature; English Language; Sciences; Physical Educa - • have excellent breadth and depth tion; and Personal, Social and Health of knowledge; Education. Students then select five • flourish physically, intellectually, options from Art; Business Studies; emotionally and ethically; Drama; Food Technology; Design • study at least two languages; Technology; Economics; French; • excel in traditional academic Geography; German; Global subjects; Perspectives; Graphics; History; • explore the nature of knowledge. Indonesian Language (native and non-native); Indonesian Studies; The Results Information and Communications Technology; Japanese; Mandarin; International Baccalaureate Music; Resistant Materials; Spanish; In 2017, the School’s Year 13 leavers and Textiles. achieved an average score of 35 in their International Baccalaureate - In 2016, the School’s rate of A*/A nearly one point greater than the awards (the highest grades) remained previous year. 80% of BSJ students on the upward trajectory of the exceeded the IB Organisation's most previous three years, peaking at 56%, recently published world average (30 while 78% of students’ grades were A* points). Two in the 80-strong cohort to B. 10 students achieved 100% A/A* gained 43 points out of a possible 45, and 17 subjects achieved more than while 13 scored 40 points or higher. 60% A* grades. Over 50% of BSJ’s students' entries were Age 16 to 18: Years 12 and 13 awarded a 6 or a 7 (the top grade at Students in Years 12 and 13 study for IB), with particular highlights in Business the International Baccalaureate (IB) and Management, Economics, diploma, through an academically- Geography, Environmental Systems challenging programme designed in and Societies, Computer Science, Geneva, Switzerland. Higher Level Mathematics, Visual Art, Theatre and several Modern Foreign The balanced and broad curriculum Languages. In another increase on last is made up of six subject groups year, the average point score per (language and literature language subject was 5.5. acquisition; individuals and societies; Leavers’ University Destinations The University of British Columbia The IB Diploma is respected by leading California College of the Arts universities across the globe, and BSJ UCLA (University of California, Los students go on to attend universities all Angeles) over the world. University of California Davis University of California San Diego The offers received by the 2017 cohort Claremont McKenna College were the best on record, with highlights Emerson College including an offer to read Philosophy, Fordham University Politics and Economics (PPE) at Oxford LMU (Loyola Marymount University) University and another for Computer Maryland Institute College of Art Science at Stanford University. Several University of Michigan students applying to North America Northeastern University received significant scholarships Northwestern University alongside their place. OTIS College of Art & Design Pratt Institute Notable Offering Institutions (UK) Purdue College of Engineering University of Bath USC (University of Southern California) University of Bristol School of the Art Institute Chicago Durham University Stanford University Edinburgh University Suffolk University University of Exeter Vanderbilt University Goldsmiths, University of London Imperial College London Notable Offering Institutions (Asia) King’s College London Yale-NUS (National University of Lancaster University Singapore) Loughborough University HKU (Hong Kong University) University of Leeds HKUST (Hong Kong University of Science University of Oxford and Technology) The University of Nottingham SCAD (Savannah College of Art and Queen Mary, University of London Design, Hong Kong) Royal Holloway, University of London SOAS, University of London Notable degree subjects popular with University College London (UCL) BSJ students this year include Biological The University of Warwick and Biomedical Sciences; Computing and Computer Science; Economics, Notable Offering Institutions Business and Management; Interna - (North America) tional Relations and Politics; Philosophy, Babson College Politics and Economics; Sport and Exer - Bentley University cise Science; and Veterinary Medicine. Boston College Boston University Brandeis University t h g i N t a k r a m d n a L a t r a k a J

I H n a r a d n u B

INDONESIA

Taking part in overseas exhibitions is an effective way for you to test markets, attract customers, appoint agents or distributors and make sales. w w w . I n d o n e s i a . D o i n g B u s i n e s s G u i d e . c o . u k 4 1 HELP AVAILABLE FOR YOU THE H T E A A

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We can help develop new ideas and find ways to drive down costs and produce sustainable improvements in your export business. • Membership supports all aspects of your international trade • Leading UK authority on trading globally • Tailored training to support your business needs • Expert solutions for international trade

Exporting great ideas to you. Join us today Call: +44(0)1733 404 400 email: [email protected] Help available for you Whether you are a UK company brand new to exporting, or newly-considering ASEAN as an export destination, they can Overview provide practical advice and guidance on how to do business in ASEAN markets The UK Department for International Trade such as Indonesia. See: http://www.ukabc. (DIT) provides tailored support packages org.uk/ for further information. for companies who are: The World Bank has a guide: “Doing • first time exporters (FTEs) Business 2017, Equal Opportunity for All, Economy Profile 2017 Indonesia” available • small- and medium-sized enterprises from: http://www.doingbusiness.org/ (SMEs) reports/global-reports/~/media/WBG/ DoingBusiness/documents/profiles/ • medium-sized businesses (MSBs) country/IDN.pdf.

See: https://www.gov.uk/government/ The following details are a selection of organisations/department-for-international- support services for you: trade/about-our-services for further information. Support from the Department for In addition, the British Chamber of International Trade (DIT) Commerce in Indonesia (BritCham Indonesia) promotes trade and investment Business opportunities opportunities and co-operation between If you are a UK-registered company you the UK and Indonesia. See: http://www. can benefit from a unique new five-year britcham.or.id/page/4/who-we-are for programme ‘Exporting is GREAT’, further information. presenting real-time export opportunities that you can apply for online. Also the UK-ASEAN Business Council (UKABC) works closely with the UK ‘Exporting is GREAT’ is part of the UK and ASEAN Governments, key partner Government’s GREAT campaign, and organisations including the British presents live export opportunities to UK Chambers of Commerce in ASEAN, businesses across a range of media influential corporates, experienced SMEs, outlets and digital channels. Hundreds of market experts, and professional services these export opportunities, with a potential providers to create an extensive total value of more than £300 million, are UK-ASEAN business network that allows hosted on: https://www.great.gov.uk/. them to provide unique market insights, and links UK innovation and expertise with ASEAN’s vast commercial developments.

www. Indonesia .Doing Business Guide .co.uk 43 A I S E N O D N I

‘Exporting is GREAT’ provides business • experienced in online sales, but are advice and expertise to support you at looking to sell on multiple platforms every step on your exporting journey, from globally initial interest to selling in-market and using the latest technology to connect these The programme enables you to: businesses with live export opportunities. • arrange a free meeting through your Selling online overseas local DIT office to get expert Use this service to help choose a suitable international trade advice and support, online marketplace to sell your products and access to DIT’s global network of overseas. contacts. See: https://www.contactus. trade.gov.uk/office-finder You can: • meet a Digital Trade Adviser where • find major online marketplaces in other relevant, to help you develop and countries implement an international online strategy • see whether these online marketplaces are suitable to sell your products • set up on e-marketplaces quickly and also identify new e-marketplaces • discover how to list your products on around the world an online marketplace • access better-than-commercial rates • get information about costs of listing to list on some e-marketplaces, on the marketplace and how logistics including lower commission fees and are fulfilled ‘try for free’ periods. See: https://www. gov.uk/guidance/e-exporting# • access special terms negotiated by the preferentialrates UK Government • access the ‘E-Expertise Bank’, a E-Exporting Programme community of over 175 B2B/B2C DIT’s E-Exporting Programme aims to help service providers offering free advice. you get your brand to millions of global See: https://www.gov.uk/guidance/ consumers and grow your business e-exporting#eexpertise through online exports. DIT’s E-Exporting Programme helps you if you are a UK • join DIT’s mailing list for opportunities company: to hear from industry experts, network with like-minded individuals and find • new to selling online out about e-commerce trends

• already selling online, but need help with specific issues

Visit the Website and download the free Mobile App Doing Business in Indonesia

Find a Buyer service The calendar can be filtered and searched This is the place to let international buyers by sector and/or market. know all about your business – highlight the vital facts about your company to give There are also detailed events websites buyers confidence to get in touch; show which include more information about each off your company's experience and event, and also allow you to register for an outstanding projects to give potential event. buyers more insight; get emails from international buyers straight to your sales The DIT Events Portal is your central hub or business development teams; see for business and networking opportunities. relevant government-supported export Search for future events and missions, development events where overseas register online and network with fellow buyers will be attending. delegates. See: https://www.events.trade. gov.uk/. Events and missions Taking part in overseas exhibitions is DIT webinars an effective way for you to test markets, The DIT webinar service runs hundreds attract customers, appoint agents or of free hour-long internet events covering distributors and make sales. DIT's topics, sectors and countries around the Tradeshow Access Programme (TAP) world, helping you shape your export plan. provides grant support for eligible SMEs These events allow you to interact with the to attend trade shows overseas. experts in specific sectors and countries and allow you to ask questions to enhance Participation is usually as part of a group your knowledge. – a great advantage for inexperienced businesses – and is usually led by one To see upcoming DIT webinars, please of DIT's Accredited Trade Associations visit: https://www.events.trade.gov.uk/ and (ATOs). ATOs work with DIT to raise the search for webinars. profile of UK groups and sectors at key exhibitions.

The DIT calendar of events has some 400 core events and missions, and 1,000 opportunities across the Trade Access Programme and the English national regions.

DIT Events Portal The DIT Events Portal provides a single calendar view of all DIT events and missions, and has been developed to provide you with more-detailed information on each event in order to help you decide on the most appropriate event to attend.

www. Indonesia .Doing Business Guide .co.uk 45 A I S E N O D N I

Other DIT services • access to major buyers, local DIT assists new and experienced government and supply chains in exporters with information, help and advice Indonesia on entering overseas markets such as Indonesia. These services include: • advice on forming international joint ventures and partnerships • an Export Health Check to assess your company’s readiness for • exploratory visits to Indonesia exporting and help develop a plan of action • alerts to the latest and best business opportunities • training in the requirements for trading overseas To find out more about commissioning any of these services, contact a DIT Export • access to an experienced local Adviser at: https://www.contactus.trade. International Trade Adviser gov.uk/enquiry/topic for a free consultation, or see further details at: • help to grow your business through https://www.gov.uk/government/ online exports organisations/department-for-international- trade/about-our-services. • specialist help with tackling cultural issues when communicating with Indonesian customers and partners In-market support If you already export, and have decided • advice on how to go about market Indonesia is part of your business strategy, research and the possibility of a grant you are advised to contact the DIT team at towards approved market-research the British Embassy Jakarta prior to your projects visit, to discuss your objectives and what help you may need. See: https://www.gov. • ongoing support to help you continue uk/world/organisations/department-for- to develop overseas trade, and look at international-tradeindonesia#contact-us. dealing with more-sophisticated activities or markets They can provide a range of Indonesia- specific services for you, including the • information, contacts, advice, provision of market information, validated mentoring and support from DIT staff lists of agents/potential partners, key in the UK and their network of staff in market players or potential customers; Indonesia establishing interest from such contacts; and arranging in-market appointments for • support to participate in trade fairs in you. In addition, they can also organise Indonesia events for you to meet contacts in Indonesia, or to promote your company • opportunities to participate in sector- and your products/services. based trade missions and seminars [Source – DIT/gov.uk] Visit the Website and download the free Mobile App Doing Business in Indonesia

Support from the Institute of Export See: https://www.export.org.uk/page/ & International Trade qualifications.

Raising the profile of international trade • A range of short courses giving you qualifications and experienced members is the skills and expertise you need to only part of how IOE&IT membership is gain a competitive advantage in the essential for any individual or business challenging and complex world of involved with global trade. export, import and international trade. See: https://www.export.org.uk/page/ Importantly, the IOE&IT also offer access TrainingCourses. to a unique range of benefits and services specific to international trade: • An extensive events programme to help you share information and • Help with any export issues you come connect at every level in the across. Our team of experts can help international trade community, whether with questions on documentation, it is sector-specific or regional. See: export controls, the UK Bribery Act, https://www.export.org.uk/events/ customs & VAT procedures, regulatory event_list.asp. and compliance issues, insurance issues, payment terms, transport and • Inclusion in surveys to research the logistics. Members get free access to attitudes and changes to world trade. our experts via a Technical Helpline. See: https://www.export.org.uk/page/ For more information on how the IOE&IT Export_Helpline. can help you, or on becoming a member, contact the IOE&IT at: https://www. • A voice for your ideas and concerns. export.org.uk/page/about. We represent your point of view and feed back to government, HMRC and Open to Export other influencing bodies on issues that Open to Export is the IOE&IT’s free, online impact you, plus participate in Institute advice service for UK companies looking responses to central government with to grow internationally. It offers free regard to proposed legislative information and support on anything changes. to do with exporting and hosts online discussions via its forum, webinars and • A complete range of international trade social media, where businesses can ask qualifications – for those that have no any export question, and learn from each experience, up to those who wish to other. Open to Export can be accessed at: qualify themselves to take a business http://opentoexport.com/. degree. The Institute's qualifications are widely recognised as providing [Source – Institute of Export & International both employers and employees with Trade] the necessary international business practice linked to satisfying career planning and development.

www. Indonesia .Doing Business Guide .co.uk 47

The UK-ASEAN Business Council (UKABC) is the leading UK-based organisation promoting trade and investment between the UK and ASEAN’s dynamic markets.

We are passionate about helping UK companies, of all sizes build new contacts across the region, providing market insights and raising awareness of the vast commercial developments in what is undoubtedly one of the most exciting, vibrant, and fastest growing markets in the world.

We bring Southeast Asia to the UK UK innovation and expertise with through a sustained calendar of ASEAN’s commercial developments. country briefings across the UK, targeted meetings with ASEAN The UKABC’s exclusive corporate decision-makers, and promotional partnership programme offers events. Our ASEAN Export Specialists priority access to exclusive events, provide practical advice and business intelligence and access guidance to UK companies on to senior figures in the UK-ASEAN how to do business in the region. Business Network. Whether you are new to exporting, or newly considering ASEAN as an Through the UKABC’s signposting export destination, we are here to of in-depth information, relevant help. events, visits to the markets, and connections to local delivery Working closely with the UK and partners, UK companies are in a ASEAN governments, key partner better position to make informed organisations including the British choices about their investment Chambers of Commerce across and export strategies in ASEAN. ASEAN, influential corporates, experienced SMEs, market experts, and professional services providers, We look forward to hearing from you we have created an extensive and helping you start doing business UK-ASEAN business network that links with this fantastic region.

www.ukabc.org.uk | Email: [email protected] | Tel: +44 (0)20 7828 3431 INDONESIA

All visitors must have a valid passport and visa. Your passport should be valid for a minimum period of six months from the date of your departure from Indonesia. You do not need a visa to enter Indonesia for visits of up to 30 days. Visa-free visits cannot be extended or transferred to another type of visa. w w w . I n d o n e s i a . D o i n g B u s i n e s s G u i d e . c o . u k 5 1 GETTING HERE AND ADVICE ABOUT YOUR STAY A I S E N

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Getting here and advice about sure that you have the correct permits your stay for local travel within Indonesia, as some areas may require special permits in addition to your visa. You should check Entry requirements for Indonesia with the Indonesian Embassy in London at: http://indonesianembassy.org.uk/en/. All visitors must have a valid passport and visa. UK Emergency Travel Documents UK Emergency Travel Documents (ETDs) Passport validity are accepted for entry, airside transit and Your passport should be valid for a exit from Indonesia. If you are entering minimum period of six months from the Indonesia using an ETD you must apply date of your departure from Indonesia. for a visit visa before travelling. You will not be able to get a visa on arrival. The Visas processing time for an Indonesian visa You do not need a visa to enter Indonesia can vary depending on where you apply. for visits of up to 30 days. Visa-free visits Some Indonesian Embassies do not issue cannot be extended or transferred to Indonesian visas in ETDs. Contact your another type of visa. For a list of airports, nearest Indonesian Embassy to check seaports and land border crossings for before you apply. entering/exiting Indonesia under this visa waiver scheme, and more information Entry requirements may differ if you live about entry requirements, visit the website in Indonesia. Contact your nearest of the Indonesian Embassy in London at: Indonesian Embassy to confirm whether http://indonesianembassy.org.uk/en/ or you need to apply for a visit visa before your nearest Indonesian Embassy. you travel to Indonesia using an ETD.

If you are travelling to Indonesia for more Proof of onward travel than 30 days, you should apply for a visa Immigration officials in Indonesia may ask before you travel, or get a visa on arrival you for proof of onward travel (e.g. a return at a cost of US $35, or the equivalent in or onward air ticket). You should make all Indonesian Rupiah. This type of visa is reservations before leaving for Indonesia. valid for 30 days, and can be extended Some airlines have refused to board once (for a maximum of 30 days) by passengers without evidence of onward applying to an immigration office within travel. Indonesia. Departure and airport tax The visa waiver scheme and visas on Airport tax is included in the cost your arrival are not available if you are a British ticket for all domestic flights within Overseas Citizen, British Subject, or British Indonesia. For some international flights Overseas Territory citizen, or if you are departing Indonesia, airport tax may not travelling to Indonesia for journalistic be included in the price of the ticket. purposes. Instead, you must apply for a Please check with your airline or travel visa before you travel, and should make agent before you travel.

Visit the Website and download the free Mobile App Overstaying your visa Local laws Overstaying without the proper authority is a serious matter and visitors can be held in Do not get involved with illegal drugs. detention or refused permission to leave Possession, trafficking and manufacture the country until a fine of Rp 300,000 per of any illegal drugs are serious offences day is paid. After overstaying for 60 days, in Indonesia. The Indonesian authorities you will be detained and possibly have a zero-tolerance policy and those imprisoned. caught face lengthy prison sentences or the death penalty, usually after a Registering protracted and expensive legal process. If you stay in private accommodation in British nationals have been caught and Indonesia (not a hotel) you must register jailed for drug offences in Indonesia. your presence with the local police or you could face a fine of Rp 5 million. If you Police often raid venues (particularly in stay in a hotel you will be registered Bali) known to be frequented by foreigners. automatically. You may have to take a urine or blood test if there is a reasonable suspicion that Yellow fever certificate requirements drugs have been used. Criminal gangs Check whether you need a yellow fever in the UK and elsewhere are known to certificate by visiting the National Travel coerce people into carrying drugs across Health Network and Centre’s TravelHealth - borders. Do not allow yourself to be Pro website at: https://travelhealthpro.org. persuaded. uk/country/106/indonesia-including- bali#Vaccine_recommendations. It is illegal to buy, sell, kill or capture any protected wild animal or trade its parts [Source – DIT/gov.uk] without a licence. Indonesia is a signatory to the Convention on International Trade in Endangered Species of Wild Fauna and Travel advice Flora (CITES), which includes bans on trade in ivory and tiger parts. If you are Around 330,000 British nationals visit caught purchasing or trafficking illegal Indonesia every year. Most visits are goods you will be prosecuted and could trouble free. However, if you are travelling receive a prison sentence and fine. to Indonesia for business, check the Foreign and Commonwealth Office (FCO) Gambling is illegal in Indonesia. There travel advice page first, for up-to-the- have been cases where tourists have lost minute travel information, at: large amounts of money to organised https://www.gov.uk/foreign-travel-advice/ gambling gangs. indonesia.

The following information was current at the time of October/November 2017, but may change at short notice.

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You must be able to show your valid travel Silverbird vehicles from ‘lookalike’ document (passport) or stay permit (e.g. competitors. Do not use unlicensed taxi KITAS or KITAP) at any time when drivers at the airport or anywhere else. required to do so by an active immigration Their vehicles are usually in poor officer. condition, unmetered and do not have a dashboard identity licence. They have [Source – FCO Travel Advice/gov.uk, Sept 2017] been known to charge extortionate fares and to rob passengers.

Safety and security Alcohol and drugs Drinks served in bars can be stronger Crime than those in the UK. In some cases, Be aware of the risk of street crime and over-drinking and taking drugs has pick-pocketing, particularly in busy tourist resulted in accidents, injuries, robbery, areas in Bali, where there have been assaults and lost travel documents and reports of bag-snatching. Take sensible some British nationals have suffered measures to protect yourself and your psychiatric problems caused by alcohol, belongings. Avoid having bags obviously drugs and a lack of sleep. You should drink on show and carry only essential items. responsibly and be aware of your limits. Take particular care of your passport and bank cards and avoid travelling around Drink spiking alone. There have been reports of sexual assaults and drink spiking in Bali, Lombok Credit card fraud is common. Do not lose and the Gili Islands. Make sure drinks are sight of your card during transactions. prepared in your sight and be careful about Criminals sometimes place a fake accepting drinks from strangers at clubs telephone number on ATMs advising and parties, or leaving drinks unattended. customers to report problems. Customers Tourists have also been robbed after dialling the number are asked for their PIN taking visitors to their hotel rooms, and in and their card is then retained within the some cases have found that their drinks machine. were drugged.

Beware of thieves on public transport. Methanol poisoning If you are travelling by car keep doors There have been a number of deaths and locked at all times. Only book taxis with cases of serious illness of locals and a reputable firm. You can ask your hotel foreigners in Indonesia caused by drinking to book one for you, or use taxis from alcoholic drinks contaminated with Bluebird, Silverbird or Express groups. methanol. These cases have occurred in bars, shops and hotels in popular tourist These are widely available at hotels and areas like Bali, Lombok, the Gili Islands shopping malls in central Jakarta and at and Sumatra. Criminal gangs have been Soekarno-Hatta International Airport. reported to manufacture counterfeit replicas of well-known brands of alcohol Take care to distinguish Bluebird and containing high amounts of methanol.

Visit the Website and download the free Mobile App Take extreme care when buying spirit- Attacks could be indiscriminate, including based drinks, as bottles may appear to in places frequented by foreigners. Beach be genuine when they are not. resorts, bars and restaurants, hotels, markets, shopping malls hosting major There have also been cases of methanol international brand outlets, tourist poisoning from drinking adulterated attractions, places of worship, foreign arak/arrack, a local rice or palm liquor. embassies, ferry terminals and airports are all potential targets. If you or someone you are travelling with show signs of alcohol-induced methanol Be vigilant and take care at all times. You poisoning or drink-spiking, seek immediate should regularly review your security medical attention. arrangements and be particularly vigilant during holiday periods including the Terrorism threat Christmas and New Year period, Chinese Terrorists are very likely to try to carry out New Year, Nyepi (Balinese New Year), th attacks in Indonesia. Terrorist groups have Easter and Independence Day (17 the capacity and intent to carry out attacks August), which can be a time of at anytime and anywhere in the country. heightened tension and increased risk. Types of attacks have included suicide bombings and small-arms fire, targeting There is a risk of kidnapping at sea in and public and crowded places. around the waters of Indonesia. This risk is higher in the Sulu and Celebes seas. The threat from Islamist extremism remains high, although the Indonesian There is considered to be a heightened authorities continue to disrupt attack threat of terrorist attack globally against UK planning, including arresting alleged interests and British nationals, from groups terrorists reportedly in the advanced or individuals motivated by the conflict in stages of preparation. Iraq and Syria. You should be vigilant at this time. th On 24 May 2017 there were bomb explosions at the Kampung Melayu bus Find out more about the global threat from station in east Jakarta. Three police terrorism, how to minimise your risk and officers were killed. what to do in the event of a terrorist attack, at: https://www.gov.uk/guidance/reduce- th On 14 January 2016 a terrorist attack took your-risk-from-terrorism-while-abroad. place near the Sari Pan Pacific Hotel and Sarinah Plaza on Jalan M.H. Thamrin in [Source – FCO Travel Advice/gov.uk] central Jakarta. The attack included a number of explosions and gun battles. Eight people died and a number were injured, including foreigners. The last major th attack before this was on 17 July 2009 when the JW Marriot and Ritz-Carlton hotels in Jakarta were bombed. One British national was killed. Small-scale attacks occur on a regular basis and further attacks are likely.

Indonesian Government, law enforcement interests and places of worship are regularly targeted by extremists. Western interests are also at risk.

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Local travel Keep up to date with local developments and avoid large crowds, especially political Use a reliable and reputable guide for any rallies. adventure trips, otherwise you may have difficulties with local authorities if you need Papua and West Papua their help. For longer journeys, notify Political tensions in Papua province have friends of your travel plans, contact them given rise to occasional violence and on arrival and where possible travel in armed attacks between Free Papua convoy/with others. Always carry a reliable Movement (OPM) and the Indonesian means of communication with you. authorities, particularly in the Central Highlands area around Puncak Jaya Central Sulawesi Province (including Wamena), but also including The political situation in Central Sulawesi in Jayapura, Abepura, and Sentani on the Province is unsettled. Take particular care north coast, and Timika town on the south in Palu, Poso and Tentena and be alert to coast. the potential for politically-motivated violence. Clashes in previous years have at times resulted in civilian deaths. If you are Maluku Province travelling in the region, you should Maluku Province has experienced unrest exercise extreme caution. Papuan and violence between different religious separatists have kidnapped foreigners and tribal groups. Take particular care in in the past. There is a heavy security Ambon, including Haruku Island (Pulau presence in some areas, especially along Haruku). the border with Papua New Guinea. Political tensions have also given rise to Aceh occasional mass demonstrations in cities Aceh has emerged from a long period of in Papua. internal conflict. Although violence against foreigners is rare, a British national was Should you need medical attention, there abducted in June 2013 and there were are limited hospital facilities in Papua and three separate incidents in November West Papua provinces and the likely 2009 targeting foreigners. There have destination for a medical emergency is been reports of Sharia (religious) police Darwin, Australia. harassing foreigners. The situation in West Papua province Be alert to the risk of politically-motivated is calmer although there remains the violence and take particular care in remote possibility of unrest. Monitor the situation areas. Sharia law is in force, visitors and be alert to changing circumstances. should be particularly careful not to offend local religious sensitivities (e.g. not Road travel drinking alcohol, not gambling, avoid You cannot drive in Indonesia using a UK wearing tight fitting or revealing clothing). driving licence. You can drive using an

Visit the Website and download the free Mobile App International Driving Permit issued in Sea travel Indonesia. International Driving Permits Inter-island travel by boat or ferry can be issued in the UK may need to be endorsed dangerous as storms can appear quickly, by the Indonesian licensing office in vessels can be crowded and safety Jakarta. Before driving, riding or hiring any standards vary between providers. type of vehicle, ensure that you have the appropriate licence to do so, and check In 2015, the Indonesian Search and with your travel insurance company to Rescue Agency recorded 633 boat confirm that you are covered. accidents (of which 24 were in Bali and Lombok), resulting in injuries and deaths. Traffic discipline is very poor. Foreigners involved in even minor traffic violations or Make sure you are satisfied with safety accidents may be vulnerable to exploitation. standards before travelling, including Consider employing a private driver safety equipment and life-jackets. or hiring a car with a driver. Some Life-jackets suitable for children are not multinational companies do not allow always available and you should consider their expatriate staff to drive in Indonesia. bringing your own. Make sure you wear a helmet if you are riding a motorbike or moped. There have been attacks against ships in and around the waters of Indonesia. If you are involved in an accident or Mariners should be vigilant, reduce breakdown, make sure someone remains opportunities for theft, establish secure with your vehicle. If you have any concerns areas on board and report all incidents for your security, move to another location to the coastal and flag state authorities. safely. You should make yourself available for questioning by the police if requested to do so. Political situation

Air travel The overall political situation is stable, but A list of recent incidents and accidents can external as well as internal developments, be found on the website of the Aviation including the Middle East, can trigger Safety network at: https://aviation- public protests or unrest. You should avoid safety.net/database/country/country.php?id all protests, demonstrations and political =PK. rallies as they could turn violent with little notice. With the exception of Garuda Indonesia, Mandala Airlines (not currently operating), [Source – FCO Travel Advice/gov.uk] Airfast Indonesia, Ekspres Transportasi Antarbenua (operating as PremiAir), Indonesia Air Asia, Batik Air, Citilink and Lion Air, all other Indonesian passenger airlines are refused permission to operate services to the EU due to safety concerns.

British Government employees are advised to use carriers which are not subject to an operating ban or restrictions within the EU unless this is unavoidable. See: https://ec.europa.eu/transport/ modes/air/safety/air-ban_en for further information.

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Natural disasters Monitor local reporting and take care when driving and walking. Keep a stock of food Indonesia sits along a volatile seismic and bottled water and make sure your strip called the ‘Ring of Fire’ in the Pacific. phone is charged. Volcanic eruptions and earthquakes occur regularly, which can present a potential Volcanoes threat of tsunamis. The capacity of the There are many active volcanoes in Indonesian emergency and rescue Indonesia any of which can erupt without services to deal with large natural disasters warning resulting in the evacuation of is limited. villages within a 3 to 7 kilometre radius. In the past, repeated eruptions have Earthquakes caused destruction and fatalities. The US Federal Emergency has advice about what to do before, during and after Ash clouds can affect flight schedules and an earthquake. See: https://www.ready. the operation of regional airports. Check gov/earthquakes for details. with your airline or travel company for the latest information. If a major earthquake or landslide occurs close to shore, you should follow the Check media reports and follow the advice instructions of local authorities, bearing of the local authorities before travelling to in mind that a tsunami could arrive within areas that are prone to volcanic activity minutes. The Indonesia Tsunami Early and take extra care. Warning Centre at: http://rtsp.bmkg.go. nd id/publicbull.php issues tsunami warnings On 22 September 2017, the National when a potential tsunami with significant Disaster Management Authority for impact is imminent or expected. Indonesia raised the volcanic alert level for the Mount Agung volcano in Northeast Bali Floods to level 4, the highest level possible. This Large areas of the country, including parts level remains in place and indicates that of West Sumatra, Central, East and West an eruption is possible within 24 hours. Java and Jakarta have been severely affected by heavy rains and subsequent You should monitor local media reports, landslides and flooding in recent years. follow the advice of the local authorities Throughout Indonesia flash floods and and stay outside the exclusion zone which more widespread flooding occur regularly. extends between 9 and 12 km from the Cities – especially Jakarta – often suffer crater. If there is an eruption, volcanic ash severe localised flooding which can result clouds could result in airport closures and in major traffic congestion, and occasionally flight disruption in the region. In the event deaths. The main toll road to Soekarno- of volcanic ash clouds you should confirm Hatta International Airport can be affected your travel arrangements directly with your by flooding. Slips and landslides occur in airline or travel agent before travelling to mountainous and remote areas, but also the airport. in urban areas. If you are in the vicinity of a volcanic eruption and affected by subsequent ash Visit the Website and download the free Mobile App Doing Business in Indonesia

fall, you can find further information in There is a risk of dengue fever in Bali and digital pamphlets issued by the elsewhere, which is heightened during the International Volcanic Health Hazard rainy season (usually from around October Network (IVHHN) at: http://www.ivhhn. to April). See: https://travelhealthpro.org. org/pamphlets.html , which cover the uk/factsheet/13/dengue. potential health hazards of volcanic ash and offer advice on how to prepare and UK health authorities have classified cope with ash fall. Indonesia as having a risk of Zika virus transmission. For more information and [Source – FCO Travel Advice/gov.uk] advice visit the National Travel Health Network and Centre websites for travel to Indonesia – including Bali at: https:// Health travelhealthpro.org.uk/country/106 /indonesia-including-bali#Other_risks and Visit your health professional at least for travel to Indonesia – including Borneo four-to-six weeks before your trip to check at: https://travelhealthpro.org.uk/country/ whether you need any vaccinations or 31/indonesia-borneo#Other_risks. other preventive measures. Rabies exists in domestic and wild animals Country-specific information and advice is in Indonesia. There are many street dogs published by the National Travel Health in Bali and elsewhere. You should avoid Network and Centre on the TravelHealth - direct contact with all dogs and cats Pro website: https://travelhealthpro.org.uk/ (including pets), monkeys and other countries and by NHS (Scotland) on the animals and seek immediate help if FitForTravel website: http://www.fitfortravel. you are bitten or scratched. nhs.uk/destinations.aspx. During the dry season (May-November), Useful information and advice about widespread forest fires can cause smoke healthcare abroad is also available on the haze resulting in poor air quality across NHS Choices website: http://www.nhs.uk/ parts of Indonesia, particularly Riau NHSEngland/Healthcareabroad/Pages/ Islands, central Sumatra and Kalimantan. Healthcareabroad.aspx . The haze can cause disruption to local and regional air travel, and the air pollution may The standard of local medical care in have an impact on public health. Keep up Indonesia can be poor and some medical to date with local information and seek tests cannot be done reliably. Good medical advice on appropriate precautions. medical care can be very expensive and in A regional haze map is available from the remote areas attention for serious injuries Singapore Meteorological Service at: or illness is likely to be unavailable. You http://www.weather.gov.sg/warning- may require expensive medical evacuation haze-information/. costing up to tens of thousands of pounds.

Make sure you have adequate travel health insurance and accessible funds to cover the cost of any medical treatment abroad and repatriation. www. Indonesia .Doing Business Guide .co.uk 59 A I S E N

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If you need emergency medical assistance FCO travel advice during your trip, dial 118 and ask for an ambulance. You should contact your If you are travelling to Indonesia for insurance/medical assistance company business, the Foreign & Commonwealth promptly if you are referred to a medical Office (FCO) website has travel advice to facility for treatment. help you prepare for your visits overseas and to stay safe and secure while you are Avian Influenza (bird flu) there. Avian flu has led to over 150 confirmed human fatalities in Indonesia since 2003, For advice please visit the FCO Travel although the annual rate appears to be section pages on the gov.uk website: declining. All cases so far have been linked https://www.gov.uk/foreign-travel-advice/ to close contact with poultry. indonesia.

Although the risk to humans from Avian Influenza is low, you should avoid visiting Travel insurance live animal markets, poultry farms and Take out comprehensive travel and other places where you may come into medical insurance before you travel. close contact with domestic, caged or wild See the FCO Foreign Travel Insurance birds, and make sure poultry and egg guidance at: https://www.gov.uk/guidance/ dishes are thoroughly cooked. foreign-travel-insurance.

Make sure you have adequate travel health insurance and accessible funds to cover the cost of any medical treatment abroad and repatriation.

[Source – FCO Travel Advice/gov.uk]

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INDONESIA

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t d g Consumer and retail • fighter jets and surveillance aircraft

The Indonesian retail sector is huge and • main and medium battle tanks continues to grow faster than the overall economy as a result of: • offshore patrol vessels and submarines • rising incomes The Indonesian Government is focused • increasing population on building a self-sufficient local defence industry. Regulations and offset policy are • changes in middle-class lifestyles aimed at ensuring:

Increasing numbers of global brands are • local purchase where possible entering the market for the first time or expanding by adding retail stores or brand • foreign companies partner with portfolios. There are promising opportuni - Indonesian companies (especially the ties for UK brands to establish a presence major State Owned Enterprises: PT in the market. Opportunities exist in: PAL, PT Pindad and PT Dirgantara Indonesia) if local purchase not • fashion for clothing, footwear, possible accessories, sportswear • technology transfer is included for • baby products non-local purchase

• personal care including personal Current local capability means that hygiene and cosmetics sophisticated equipment is still bought overseas and this is where opportunities Contact Trade and Investment Manager: lie for UK companies. [email protected] for more information on consumer and retail Disaster response is one of TNI’s roles. opportunities. Humanitarian operations are planned in concert with other agencies such as [Source – DIT/gov.uk] BASARNAS ( http://basarnas.go.id/ ) and the National Disaster Management Authority, BNPB ( https://www.bnpb.go.id/ ). Defence and security Indonesia’s maritime vision for the Navy and newly-formed coastguard (Bakamia) Indonesia intends to increase its defence involves maritime surveillance and security budget from the current 0.8% of GDP to to prevent incursions on sovereignty such 1.5% of GDP by 2019. Militarily, the plan is as illegal fishing. See: https://www.bakamla. to achieve its goal of a Minimum Essential go.id/home/english. Force by 2024. This involves substantial increases in capability for all three services of the Tentara Nasional Indonesia (TNI) including: www. Indonesia .Doing Business Guide .co.uk 65 A I S E N O D N I

The Indonesian Police have a particular Two ministries are responsible for managing focus on cyber security and counter- the education system. 84% of schools are terrorism. under the Ministry of Education and Culture ( https://kemdikbud.go.id/ ) and the Contact the UK Government’s Export rest under the Ministry of Religious Affairs Control Joint Unit (ECJU) at: (https://www.kemenag.go.id/ ). The system https://www.gov.uk/government is large and highly decentralised, with /organisations/export-control-organisation more than 500 district governments to check your goods you are meeting legal playing a strong role in its management. requirements for export. Indonesia has a 100% enrolment rate for Contact Trade and Investment Manager: primary level education, whilst enrolment tom.o’[email protected] for more for secondary and tertiary levels are 62% information on defence and security and 16% respectively. opportunities. Private schools play an important role too, [Source – DIT/gov.uk] making up:

• 7% of primary schools Education • 56% of junior secondary With a population of 260 million, the Indonesian school system is the third- • 67% of senior secondary largest education system in the Asia region and the fourth largest in the world. It The sector is developing due to: comprises over 50 million students and 2.6 million teachers in more than 250,000 • government reform programme schools, 92 Public Higher Education designed to lift educational standards Institutes and over 3,000 private universities. • growing middle class with more money to spend on education Indonesia also hosts over 8,000 international students and sends over There are opportunities for UK institutions 84,000 Indonesians abroad for study to establish a presence in the market and each year. also in:

Education is central to the Indonesian • vocational training Government’s development agenda and spending has increased significantly in • private English language training the years since the economic crisis, now accounting for over 20% of total • corporate training government spending. • teacher recruitment

• teacher training Visit the Website and download the free Mobile App Doing Business in Indonesia

Contact Senior Trade and Investment • deposit/loan and microfinance Manager: [email protected] for software and hardware more information on education opportunities. • training for the human resources

[Source – DIT/gov.uk/Britcham] Contact Senior Trade and Investment Manager: [email protected] for more information on financial services Financial services opportunities.

Indonesia is home to 120 commercial [Source – DIT/gov.uk] banks. Less than 50% of the population has access to finance and the banking industry is only growing at 10% annually. ICT and creative industries

IT spending in the finance sector is Indonesia is emerging as a major market expected to grow and focus on adoption for ICT. Indonesia is the fourth-largest of financial technology (fintech). mobile market in the world and in the world’s top ten 3G markets. Indonesia has the world’s largest Muslim population making up 12.9% of the world’s Indonesia has established a creative total. Sharia finance was only 4.9% of economy agency to support its creative Indonesia’s £278 billion total banking industries and strengthen economic assets in 2014 despite nearly 90% of the development. There are opportunities in: 250 million population adhering to Islam. This is low compared to Malaysia where • e-commerce Islamic banks held 21% of total market share of £398 billion assets in 2014 • digital content for gaming and mobile despite only 61% of the 61 million applications Malaysian population being Muslim. • media content for film and animation Opportunities for UK firms include: • digitisation of television broadcasting • sukuk bond issuance • advertising technology and content • Islamic finance legal advice Contact Trade and Investment Manager: • Islamic finance best practice and [email protected] for capacity building through training more information on ICT and creative courses and degrees industries opportunities.

• core banking system upgrades [Source – DIT/gov.uk]

• credit risk management solutions

www. Indonesia .Doing Business Guide .co.uk 67 s O i s P T T • • • • • • • • • • • • • I I n n n e p h h u f p d f r c e e e r b p a o t a n

l K K S B J S S o p f a t p t R o o s n I m i i e e s d c n n a p r r r r t r u e u a o o e a c r . INDONESIA o c e r t

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. • education and training • substation equipment

• coalbed methane (CBM) and • refurbishment and upgrade of potentially shale gas state-owned generating plants

Contact Senior Trade and Investment • asset management Manager: [email protected] for more information on oil and gas Contact Senior Trade and Investment opportunities. Manager: [email protected] for more information on power generation [Source – DIT/gov.uk] opportunities.

[Source – DIT/gov.uk] Power generation

New power plants and electricity Renewable energy infrastructure development is urgently needed due to: The government has set a target to increase use of renewable energy from • government aim to provide electricity 6% at present to at least 23% in 2025. access to 91% of Indonesia’s There are Feed-In Tariff (FIT) schemes to population by 2019; only 75% currently encourage the growth of renewable energy have access projects. They are available for biomass, biogas and municipal waste. • 6-7% economic growth projection expected to increase demand Indonesia has 40% of the world’s known geothermal resources. • electricity demand growing at around 7% to 9% per annum There are opportunities for projects in:

As a result Indonesia has a plan to • biomass increase power generation by 35,000 MW within the five years 2015 to 2019. PLN, • hydropower a state-owned power utility company, which currently provides 85% of electricity • solar capacity, will build power plants to produce an extra 10,000 MW, see: http://www.pln. • wind co.id/ . The rest will come from Independent Power Producers (IPPs). • geothermal

The government allows foreign investors The government is also funding multi- to have 95% ownership of power plant million dollar water and waste projects, built under PPP, during the management projects, mainly project concession period. through PPP.

Opportunities in the power sector include Contact Senior Trade and Investment the need for: Manager: [email protected] for more information on renewable energy, • construction of new power plants waste and water opportunities. (mostly coal-fired plants) [Source – DIT/gov.uk] • development of transmission and distribution network www. Indonesia .Doing Business Guide .co.uk 69 INDONESIA

Indonesia is a large and diverse country. Different regions are likely to have different industry clusters. Good local research is needed and you should consider regional plans and market-entry requirements using both desk research and market visits.

R P

71 THE H T E A A

• R OVER T

E F

I A

YEARS R

A O T I & INTERNATIONAL TRADE

On course for success Choosing a great export training partner can really help your company take off in the export trade! We can help develop new ideas and find ways to drive down costs and produce sustainable improvements in your export business. • Membership supports all aspects of your international trade • Leading UK authority on trading globally • Tailored training to support your business needs • Expert solutions for international trade

Exporting great ideas to you. Join us today Call: +44(0)1733 404 400 email: [email protected]

www.export.org.uk Preparing to export appointing a local agent, online selling, licensing or franchising)?

Consultation and bespoke research • Do you need to be involved in Indonesia at all? Visit: www.great.gov.uk for guidance on how to research overseas markets as well • Do you see Indonesia as part of a as a range of other important issues for wider plan including e.g. other exporters. Southeast Asian markets now or in the future? Researching the Indonesian market Indonesia is a large and diverse country. Your company: Different regions are likely to have different • Can you carry out a detailed SWOT industry clusters. Good local research is analysis of your company? needed and you should consider regional plans and market-entry requirements using • What are the unique selling points for both desk research and market visits. your product or service? You need to determine whether: • Do you know if there is a market for • there is a market for your product or your product or service in Indonesia? service • Do you know if you can be competitive • your pricing is competitive in Indonesia?

• to adapt your business model • Are your competitors already in Indonesia? If so, what are they doing? The questions listed below should help you to focus your thoughts. Your answers • Do you have the time and resources to them will highlight areas for further to handle e.g. the demands of research and also suggest a way forward communication, travel, product delivery that is right for your company. You may and after-sales service? then want to use this as a basis for developing a formal Indonesia strategy, Your knowledge: although this may not be necessary or • Do you know how to secure payment appropriate for all companies: for your products or service?

Your aims: • Do you know how to locate and screen • Do you wish to buy from Indonesia, potential partners, agents or distributors? sell to Indonesia or both? • Do you know how to locate and screen • Do you wish to establish your own company presence in Indonesia (for example through a corporate or non-corporate entity, direct sales,

www. Indonesia .Doing Business Guide .co.uk 73 d T I g r b t • h • r t i a s T q c S o C f s T a a a I T t D T n t h o o n o e e u a o e

a e c o u t t c n t r h h h o h e s i e t

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r t e d t h s n s e t Doing Business in Indonesia

You should conduct due diligence checks Setting up a business entity once you have chosen your method of in Indonesia entry into the market. Joint venture However, if you want to establish a The ‘Penanaman Modal Asing’ (PMA) is business relationship that goes beyond the corporate entity required for foreign exporting, you will need to carry out further investors under the terms of the foreign research. investment law. It takes the form of ‘Perseroan Terbatas’ (PT), a limited liability Taxation and legal obligations differ company, with the joint ventures as depending on which business structure shareholders. PMA companies: you choose. You should therefore consult legal professionals to avoid costly • may be either publicly listed on the mistakes and ensure you start out in stock exchange or privately owned the way that is best suited to your sector of activity. See: https://www.gov.uk/ • must have two parties holding shares, government/publications/indonesia-list- either a legal entity or an individual of-lawyers. The foreign investor’s shareholding Consult local lawyers at: https://www.gov percentage must meet requirements under .uk/government/publications/indonesia-list- the Indonesia Investment Coordinating of-lawyers to avoid costly mistakes and Board’s Negative Investment List (DNI). ensure you start out in the way that is best See: http://www3.bkpm.go.id/en/investment suited to your sector of activity. -procedures/negative-investment-list.

Representative office Direct exports and sales in Indonesia Foreign companies may open and maintain a representative office and the Direct exports means you supply your representative may be foreign or local. products direct to the customer. You Such offices: handle all the logistics of marketing, selling, sending overseas and getting paid. • are not permitted to carry out any profit making business activities You may wish to use local representation. Options include using an agent, distributor • can undertake sales promotion, or wholesaler. market research and assistance to local agents and distributors The DIT’s trade specialists at: https://www.gov.uk/overseas-customers- export-opportunities can help you identify local representatives for your products in Indonesia.

www. Indonesia .Doing Business Guide .co.uk 75 e C c a t T p e g i A a p i t Y I A A h L g d f m o k o c O u Y s a b p D c a n n h m h o l e a i a x u a x s r t a o o e r n s n e r g o o h

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i i h a n - e a e a 0 e e n r o n e y s d i r c u r - - , e Doing Business in Indonesia

The Indonesian Ministry of Trade has Getting paid in Indonesia details about franchising regulations in Indonesia. See: http://www.kemendag.go Only authorised banks may carry out .id/en. foreign trade-related exchange operations. All domestic financial transactions must be Visit the international section of the British conducted in Rupiah, although there are Franchise Association at: http://www.thebfa. some exemptions. org/international for more information on franchising. You may wish to talk to a specialist about finance, including how to get paid in [Source – DIT/ gov.uk] Indonesia. This could be a bank, an accountant or you can contact the DIT team in Indonesia at: https://www.gov.uk/ Getting finance to fulfil an export world/organisations/department-for- contract to Indonesia international-trade-indonesia#contact-us for help to find a financial adviser in nd Globally, Indonesia ranks 72 out of 190 Indonesia. economies in the World Bank’s “Doing Business – Ease of Getting Credit” report Your contract will specify the terms for 2018. See: http://www.doingbusiness.org/ payment. However, if there is any dispute rankings. you will need to go through the Indonesian legal system for resolution. To make it easier to fulfil an export contract and grow your business, schemes are available to UK companies selling products Transferring money from Indonesia and services to Indonesia. Contact your bank or specialist financial organisation for Carrying more than Rp100 million in or out assistance. of Indonesia requires prior approval from the Bank of Indonesia (BI): http://www.bi. UK Export Finance (UKEF) has significant go.id/en/Default.aspx , and must be risk capacity to support exports to reported to the Director General of Indonesia. See: https://www.gov.uk/ Customs and Excise (DGCE): guidance/country-cover-policy-and- http://www.beacukai.go.id/websitenew/inde indicators#indonesia . You can contact one x.html. of UKEF’s export finance advisers at: https://www.gov.uk/government/publications There is a 10% fine (up to a maximum /find-an-export-finance-manager for free of Rp300 million) for failure to report. and impartial advice on your finance options.

www. Indonesia .Doing Business Guide .co.uk 77 k s u d t a a t r a k a J

INDONESIA

If you are not knowledgeable about international shipping procedures you can use a freight forwarder to move your goods. A forwarder will have extensive knowledge of documentation requirements, regulations, transportation costs and banking practices in Indonesia. w w w . I n d o n e s i a . D o i n g B u s i n e s s G u i d e . c o . u k 7 9 HOW TO DO BUSINESS IN INDONESIA b B I C i a I Y E h ( h h H t t F a a d T s L a a d a I c a n i c I T C n n n n h h m n s p o a a n t t d n e t n n e d g o o r o h e K x o o o d d i v v t t t e e d a t e n n p p p p n d m d p d y p v r n u r e g p o n e e e o o P w

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s n s t o i . s i i r i a / c n a i s i f a a n e . - The Indonesian National Standards by legislation. The common law also Authority (Badan Standardisasi Nasional, provides protection against a person BSN): h ttp://www.bsn.go.id/ is responsible passing off goods or services as those for the formulation of SNIs, and accredita- of another, as well as protection for tion is by the National Accreditation Com- confidential information or trade secrets. mittee (Komite Akreditasi Nasional, KAN): th http://www.kan.or.id/. SNIs are normally Globally Indonesia is ranked 68 out of aligned with similar regional or 128 for Intellectual Property Rights (IPR) international standards wherever possible. in the 2017 International Property Rights See BSN for details of published technical Index Report: h ttps://internationalproperty regulations, at: h ttp://lib.bsn.go.id/. rightsindex.org/country/indonesia. You should consider taking out product liability insurance if you manufacture The Directorate General of Intellectual or supply a physical product that is sold Property Rights of the Indonesian Ministry or given away for free. See: h ttps://www. of Law and Human Rights is responsible abi.org.uk/products-and-issues/choosing- for administering IPR in Indonesia. See: the-right-insurance/business-insurance/lia- http://www.kemenkumham.go.id/ (site not bility-insurance/product-liability-insurance/. in English).

Labelling your products for Indonesia Indonesia is a World Trade Organization All imported consumer goods must identify (WTO) member and has comprehensive the importing agents. The information on intellectual property protection regulation. product labels should be clear, and written However, enforcement can be extremely or printed in the Indonesian language, difficult. Arabic numbers, and Latin letters. Registration of your intellectual property: Labelling should not contain claims on the https://e-hakcipta.dgip.go.id/ ( site not in effects of the product on health, incorrect English) can take two to three years. The or misleading information, comparisons EU ASEAN IPR helpdesk at: h ttp://www.ipr to other products or any additional -hub.eu/ offers tools and advice to help information that has not yet been you manage your intellectual property in approved. Indonesia.

Where appropriate, it is recommended the The UK Intellectual Property Office has Indonesian Product Quality Assurance an IP attachée based in Singapore: mark (SNI) is used. [email protected] with specific focus on providing support and advice to Protecting your intellectual property UK companies in Indonesia and Southeast (IP) in Indonesia Asia. Trademarks, designs, patents and copyright are the principal forms of intellectual property protection available under common law. They are all governed

www. Indonesia .Doing Business Guide .co.uk 81 i c i o H c o s o a i d V T h T h o T I d p S V g a t ( P P a a g i 1 7 n n n m n a P h o a a f f g o n t t f e u o r

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i . t e a Customs and documentation Customs in Indonesia in Indonesia Import duty is payable at the rates from 0% to 150% on the customs value of imported Complying with HMRC regulations goods. to export to Indonesia You must make export declarations to Customs value is calculated on the CIF HMRC through the National Export (Cost, Insurance and Freight) level. It is System (NES) to export your goods to possible to apply for an exemption, Indonesia. See: https://www.gov.uk/ deferment or restitution of import duties guidance/export-declarations-and-the- where the import meets criteria such as: national-export-system-export-procedures. • imports used in the production of You can find out how to declare your exports exports to Indonesia through the NES at: https://www.gov.uk/guidance/export- • capital goods, spares and raw declarations-and-the-national-export- materials by manufacturers and system-export-procedures . You must certain other sectors classify your goods as part of the declaration, including a commodity code • equipment and materials imported for and a Customs Procedure Code (CPC). use in a foreign-aid-funded project

Commodity codes and other measures You can find out more about customs applying to exports in the UK Trade Tariff requirements at the Indonesian Customs can be found at: https://www.gov.uk/ and Excises, Ministry of Finance at: trade-tariff. http://www.beacukai.go.id/websitenew/ index.html. Contact the HMRC Tariff Classification Service at: https://www.gov.uk/government Tariffs /publications/notice-600-classifying-your- In accordance with the World Trade imports-or-exports/notice-600-classifying- Organization (WTO) Agreement on your-imports-or-exports#list-of-useful- Agriculture, Indonesia agreed to eliminate contacts for more help. non-tariff barriers on agricultural products and replace them with tariffs. However, a You must declare any goods that you take very large number of barriers still remain. with you in your luggage to sell outside the In addition, local governments in Indonesia EU. See: https://www.gov.uk/take-goods- may also impose additional tax or non-tax sell-abroad for further information. barriers on inter-regional trade.

Temporary export of goods to Non-tariff barriers Indonesia Barriers are numerous and varied, and You can use an ATA (Admission requirements change at short notice, often Temporaire/Temporary Admission) Carnet without explanation. to simplify the customs procedures needed to temporarily take goods into Indonesia: The Indonesian Government requires https://www.gov.uk/taking-goods-out-uk- pre-approval of every exporter’s halal temporarily. processes in their own country prior to exporting to Indonesia. Indonesia’s halal Use the SPIRE system at: approval process is slow, burdensome and https://www.spire.trade.gov.uk/spire/fox/ lacking in transparency. espire/LOGIN/login to apply for a temporary export licence.

www. Indonesia .Doing Business Guide .co.uk 83 t y G 5 u p D h m n i o l d m t s I h Y i h T d t D d i C w d p w r Y m c m a n m h h n h u o c o t % n a i o f o t e o o r o o h I o o i i g t d i a t e

d t e o e u o l t l v T h u e p p p n a p e k y t c p c c u u l e h r h o c n

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a / t

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t o a t e r i . Doing Business in Indonesia

Shipping your goods to Indonesia Special rules apply if you are shipping dangerous goods to Indonesia. See: If you are not knowledgeable about https://www.gov.uk/shipping-dangerous- international shipping procedures you goods/what-are-dangerous-goods for can use a freight forwarder to move your more information. goods. A forwarder will have extensive knowledge of documentation requirements, Contact the DIT team in Indonesia at: regulations, transportation costs and https://www.gov.uk/world/organisations/ banking practices in Indonesia. department-for-international-tradeindonesia#contact-us for assistance and You can find freight forwarding companies information about third-party advisers. to help you transport your goods to Indonesia via the British International Terms of delivery to Indonesia Freight Association (BIFA) at: Your contract should include agreement http://www.bifa.org/home or the Freight on terms of delivery using incoterms: Transport Association (FTA) at: https://www.gov.uk/guidance/international- http://www.fta.co.uk/. trade-paperwork-the-basics#international- trade-contracts-and-incoterms. Posting goods to Indonesia You can find out about sending goods by UK Export Finance post to Indonesia at: http://www.royalmail. The government can provide finance or com/indonesia. credit insurance specifically to support UK exports through UK Export Finance Shipping restricted, banned and (UKEF) – the UK’s export credit agency. dangerous goods to Indonesia See: https://www.gov.uk/government/ Indonesian importers have to comply with organisations/uk-export-finance. numerous overlapping and sometimes contradictory import licensing requirements For up-to-date country-specific information for a very large and ever-changing range on the support available see UKEF’s cover of products that impede access to policy and indicators for Indonesia at: Indonesia’s market. https://www.gov.uk/guidance/country- cover-policy-and-indicators#indonesia. You should work with a local agent who can advise on the latest import licensing [Source – DIT/UKEF/gov.uk] requirements for items such as agricultural, horticultural, industrial, electronics, food and beverage products, household appliances, textiles, footwear, toys, cosmetics, animals, animal products, poultry, poultry products, handheld computers and tablets, mobile phones and alcoholic goods.

www. Indonesia .Doing Business Guide .co.uk 85 i l a B

, n a t a r B u n a D n u l U a r u P

INDONESIA

The official language is Bahasa Indonesia. English is widely spoken by young people, but interpretation may be required for business meetings, particularly outside Jakarta and other major cities. w w w . I n d o n e s i a . D o i n g B u s i n e s s G u i d e . c o . u k 8 7 BUSINESS ETIQUETTE, LANGUAGE & CULTURE D J b • • • • • • B b E a r I T d O r n e e a u u n r h n u u v d s e l k i s t d e g r g e s p

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o - n s e s s l p n u t y g s i : l p y a e . Indonesian public holidays

2018

Date: Holiday:

st Monday 1 January New Year’s Day

th Friday 16 February Chinese New Year

th Saturday 17 March Balinese New Year

th Friday 30 March Good Friday

th Friday 13 April Ascension of the Prophet Mohammed

st Tuesday 1 May International Labour Day

th Thursday 10 May Ascension Day of Christ

th Tuesday 15 May Start of Ramadan

th Tuesday 29 May Birth of Buddha

st Friday 1 June Pancasila Day

th Thursday 14 June End of Ramadan

th Saturday 16 June Eid Al-Fitr

th Friday 17 August Independence Day

nd Wednesday 22 August Idul Adha

th Tuesday 11 September Islamic New Year

th Tuesday 20 November Birth of Mohammed

th Tuesday 25 December Christmas Day

www. Indonesia .Doing Business Guide .co.uk 89 > Clear, consistent content is vital to making your business understood overseas. So don't leave it to chance.

> Well-known companies we already work with include: Serco, Experian, Intertek, IKEA and Caterpillar

> For a structured approach to translation, please read the article that follows

T: 0115 9705633 | E: [email protected] | www.astlanguage.com If you're reading this guide, the chances are you're either a seasoned exporter, or you're committed to investigating new export opportunities for your business. Whichever category you fall into, you'll have a good idea of the huge investment in time, effort and resources which is required for export success.

Your priority will be to get your product or service to market, and it's a fact of life that procurement of peripheral resources such as translation is often left to the last minute. In this article we'd like to demonstrate to you how building translation into the early planning stages of your export campaigns can pay dividends.

The internet, mobile connectivity and social media mean that now more than ever before customers, be they B2B or B2C, are buying goods and services within the context of a connected world of instant communication.

Buying decisions carried out in In non English-speaking markets, isolation of wider and constantly all of the above can be achieved changing sector, economic or by working with a reliable and social contexts are a thing of the professional translation partner. past. This means that increasingly any product or service has to be So how can really good translation supported with professional help build your export success: technical, marketing or other contextual content. • clear and accurate foreign- language branding and As examples of this, exporters need content will motivate foreign their technical documentation to customers to buy from you be easily assimilated, their marketing content to be compelling, and • consistent and harmonised their website to be informative messaging helps to convey and and memorable. Human resources reinforce your company's values departments on the other hand and ethos need sensitive localisation of policies & procedures in line • corporate and operational with local legislation, corporate risk through poor quality guidelines and house style. After all communication and an international expansion strategy misunderstanding is eliminated or company restructuring could easily be undermined by insensitive • overall brand integrity and internal communication. reputation are enhanced The following components are cost savings – with company key to a successful translation wordings for products, processes, project, and show how AST titles and descriptions translated can make the process of consistently. internationalising outward-facing and internal communications Terminology management simpler, more professional and more cost-effective: The key words used to describe your company’s products, Rigorous selection of translators services and processes support your brand and identity. This is AST’s ISO9001 certified and equally true in your foreign ISO17100 compliant processes language communications. mean that the company has Unfortunately, once translated it approved sector-specialist is often easy to lose control of key translators whatever the terms, leading to uncertainty as language and deadline to whether the translations are requirements, with experienced having the desired impact. proofreaders to give the text AST’s terminology management precision and professionalism to prevents this. Glossaries are really focus the reader’s attention. maintained in multiple languages and client terminology is checked Translation memory technology in each language by industry sector experts. As the glossary Client-facing documents grows it can be reused with each produced periodically often new project, so client content is contain sections which stay the always on-message and brand same and sections which need integrity consistent. updating. Similarly company websites and technical data or So there’s really no need for you manuals can contain identical to leave the “softer” aspects of paragraphs and sections. your export campaign to chance. Translation Memory technology Using a professional translation is used in this situation to identify company like AST provides a duplicate and legacy text. guarantee that your international The duplicates are logged and content will be clear, consistent reused – leading to reduced and effective. Whatever the turnaround times and resulting language. > YOU NEED YOUR SALES, TECHNICAL AND WEBSITE CONTENT TO BE TRANSLATED BY EXPERTS!

> We’re recognised as a UK leader for translating high profile, client-facing documents

> All our translators are rigorously selected so your text will be translated by the best people in the business

> We ensure you get premium quality translations every time, on time and within budget

No matter how urgent your assignment we can translate it.

T: 0115 9705633 | E: [email protected] | www.astlanguage.com INDONESIA

The rewards of doing business in Indonesia can be considerable and Indonesia offers a lot of opportunities for British companies in a wide range of sectors. w w w . I n d o n e s i a . D o i n g B u s i n e s s G u i d e . c o . u k 9 5 WHAT ARE THE CHALLENGES?

What are the challenges? [Source – DIT/FCO/gov.uk]

Challenges when doing business in Bribery and corruption Indonesia Bribery is illegal. It is an offence for British Foreign companies must be prepared nationals or someone who is ordinarily to encounter challenges when doing resident in the UK, a body incorporated in nd business in Indonesia. It ranks 72 out of the UK or a Scottish partnership, to bribe 190 global economies in the World Bank’s anywhere in the world. In addition, a Ease of Doing Business report 2018: commercial organisation carrying on a http://www.doingbusiness.org/data/ business in the UK can be liable for the exploreeconomies/indonesia. conduct of a person who is neither a UK national or resident in the UK or a body Businesses should be prepared for: incorporated or formed in the UK. In this case it does not matter whether the acts • complex bureaucracy or omissions which form part of the offence take place in the UK or elsewhere. • uncertain and unpredictable legal and regulatory environment Corruption remains a challenge for Indonesia and acts as a major deterrent • lack of transparency to business and investment. Bribery and bribing public officials is against the law in • high logistics costs Indonesia and the Indonesian Government is publicly committed to tackling all forms • poor infrastructure of corruption. The Corruption Eradication Commission (KPK) monitor interactions • business culture where companies will between companies and their staff and rarely respond to emails government officials related to the delivery of public services, such as the issuing of • strong business case less important business permits or provision of other than being a trusted partner business documentation. However, corruption remains a regular feature of The rewards of doing business in business life. Indonesia can be considerable and Indonesia offers a lot of opportunities for British companies in a wide range of sectors. However, companies looking for a ‘quick win’ would be advised to look elsewhere – it can take time to develop the necessary relationships before any financial returns materialise. Companies should recognise this and plan their business entry strategy accordingly.

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l l Indonesia has accordingly enacted laws • The Intellectual Property Office – the covering patents, copyright, trademarks, UK Government agency providing free and industrial designs to implement its and impartial advice on protecting and obligations under the international treaties. registering your IP in the UK and abroad. See: https://www.gov.uk/ Generally speaking Indonesia’s IP government/organisations/intellectual- legislation is comprehensive and in property-office accordance with international standards. However, some aspects – including • The ASEAN IPR SME Helpdesk – a enforcement mechanisms – still need to project funded by DG Enterprise and be strengthened. Industry of the European Commission to provide free information and training IP top tips for businesses for European SMEs in the ASEAN Be aware of ‘bad faith’ registration of trade region. See: http://www.ipr-hub.eu/ marks (intentionally registering someone else’s pre-existing IP). Cancellation of • The Directorate General of Intellectual bad-faith registration can be expensive. Property Rights in Indonesia. See: Be aware of corruption. The Indonesian http://www.dgip.go.id/ Government is taking steps to address this. However, it is worth discussing [Source – FCO Overseas Business Risk/gov.uk ] potential corruption risks with your attorney when enforcing your rights through the authorities. Payment risks in Indonesia

Indonesia works under a first-to-file UKEF helps UK companies get paid by system, meaning the first person to file insuring against buyer default. an IP right there will own that right when granted. This means an earlier user may Be confident you will get paid for your find they are infringing a later-filed export contract. Speak to one of UKEF’s registration. export finance advisers at: https://www. gov.uk/government/publications/find-an- Indonesia is part of the ASEAN Patent export-finance-manager for free and Examination Co-operation (ASPEC), a impartial advice on your insurance options, regional patent work-sharing programme or contact one of UKEF’s approved export among nine participating ASEAN Member insurance brokers at: https://www.gov.uk/ States (AMS). The purpose of this government/publications/uk-export-fi - programme is to share search-and- nance-insurance-list-of-approved-bro - examination results between the kers/export-insurance-approved-brokers participating offices to allow applicants in participating countries to obtain Currency risks when exporting corresponding patents faster and more to Indonesia efficiently. ASPEC is free of charge and If you have not fixed your exchange rate operates in English. you have not fixed your price.

Businesses are generally encouraged to You should consider whether the best learn more about IP issues relevant to their option for you is to agree terms in Sterling specific industry sector and to consider or Indonesian Rupiah (Rp) in any contract. defensive measures early in their plans You should also consider getting expert to enter the Indonesian market. financial advice on exchange rates (sometimes called FX). Useful information on protecting your IP in Indonesia can be can be found at:

www. Indonesia .Doing Business Guide .co.uk 99 INDONESIA

Doing business in Indonesia takes patience and perseverance. Companies should be prepared to invest time and resources in regular visits over a period of months, sometimes years, before seeing returns. w w w . I n d o n e s i a . D o i n g B u s i n e s s G u i d e . c o . u k 1 0

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We can help develop new ideas We can help develop new ideas and find ways to drive down and find ways to drive down costs and produce sustainable costs and produce sustainable improvements in your export improvements in your export business. business. • Membership supports all • Membership supports all aspects of your international What does memberaspectsship o off tyourhe Iinternationalnstitute o f Export & trade International Trade trademean? • Leading UK authority on • Leading UK authority on trading globally To most the Institute of Exptradingort & Int egloballyrnational Trade simply plods away providing much needed qualifications to professionalise the industry however, did you realise • Tailored training to support that our helpline is one o•f thTailorede busies ttraining and bes tot in support the indu stry? It’s all part of your business needs membership and, if you neeyourd mo businessre than a pneedshone call, we can put together a project • Expert solutions for to fulfil your needs. 2015• saExpertw the l asolutionsunch of o uforr T echnical Help for Exporters that international trade recognises the volume of leinternationalgislation and r tradeewww.export.org.ukgulation that covers our industry and gives you the comfort of knowing that if you don’t know, you know someone who does!

ExportingWe can help great develop ideas new to you.ideas Exporting great ideas to you. and find ways to drive down Joincosts andus producetoday sustainable Join us today Call:improvements+44(0)1733 in your 404 export 400 Call: +44(0)1733 404 400 email:[email protected] email: [email protected] • Membership supports all www.export.org.uk aspects of your international trade • Leading UK authorityInnov aonWetio n canis ke helpy to t hdevelope succe snews of tideashe the forums and Special Interest trading globally Institutande an dfind ne wways idea sto i ndriveclude down our Groups, and those who attend our New Ecostsxporte andr pa cproducekage. Th isustainables allows a training courses or study with us, • Tailored training to support busineimprovementsss to enter a ne win myourarke exportt secure enables us to represent the industry at your business needsin the kbusiness.nowledge that they have an government levels in both the process understanding of how they will operate and delivery of policy for international • Expert solutions for • Membership supports all international tradeand comply with any specific trade. These views also help us to regulationaspectss and s tofan dyourards .international Practical ensure that the training programmes help and tradeassistance is always are effective and pertinent to the availab•le Leadingfrom the UKInExportingst itauthorityute so a ngreat yon ideasin dtous tyou.ry needs. Our Diploma in World additionaltrading training globally can be tailored Customs Compliance and Regulation to the business andJoin the te ausm t htodayat is testament to the way we listen to our • Tailored training to support needs the knowledgCall:e. +44(0)1733 404me m400bers’ needs. This was driven by your business needs Nissan, Adidas, John Lewis and many email: [email protected] The wo•rkExpert of the IsolutionsOE&IT als foro e xtends others and will neatly dovetail into any to represeinternationalnting membe rtradeship views. AEO work ensuring that quality Knowledge gained from our members’ standards are met at manager and feedback, those who get involved with junior staffing levels. Exporting great ideas to you. Join us today Call: +44(0)1733 404 400 email: [email protected] www.export.org.uk

IOE A5 ads:Layout S1ta r t23/4/15ing in 193 5 ,10:01 the In s tiPagetute c o5mmitted our young people at an earlier stage. itself to building competence and We need to engage the next generation growing confidence for businesses in thinking about how world trade trading in goods and services, which works and how it will be great for at the time, was a far reaching remit. British businesses. They need to know Over the years this remit has seen us how items arrive in the shops which, in develop from simply providing training turn, will begin to spark ideas. As these in short course format over a day, or young people join companies they will perhaps two, into a fully-fledged Ofqual bring a fresh outlook that all things are IOE A5 ads:Layout 1 23/4/15 10:01 Page 5 Awarding Organisation that operates possible especially if you operate specifically to deliverIOE inte rA5na tads:Layoutional 1g l o23/4/15bally. 10:01 Page 5 trade education.

This status allows our individual Why not call us and get involved? members and corporates alike to be It has never been more important that sure that they are part of a quality we act as an industry to help – we organisation with plans for growth need experts and commitment to integrated with a sustainable future professionalising international trade for the global prosperity of UKPlc. from businesses large and small – www.export.org.ukhelp your institute to stay ahead of Part of our work includes mapping the curve. existing qualifications to roles and We can help developproduc inewng tr aideasining needs analyses and find ways toto drive ensu rdowne staffing progression and Institute of Export costs and producecon tsustainableinuity. The need to upskill our & International Trade workforce to match those of our improvements in your export Export House competitors is a key element vital for Minerva Business Park, Lynch Wood, business. growth. Our focus is on recognising Peterborough, Cambridgeshire, • Membership tsupportshatwww.export.org.uk Intern aalltio nal trade needs specific PE2 6FT, UK aspects of yourkn ointernationalwledge, coup led with a strong Telephone: +44(0)1733 - 404400 www.export.org.uk trade belief that we must start to talk to Fax: +44(0)1733 - 404444 We can help develop new ideas • Leading UK authority on We can help develop new ideas and find ways to drive down trading globally costs and produce sustainable and find ways to drive down improvements in your export • Tailored training to support costs and produce sustainable business. your business needs improvements in your export business. • Membership supports all • Expert solutions for aspects of your international international trade • Membership supports all trade aspects of your international trade • Leading UK authority on Exporting great ideas to you. trading globally • Leading UK authority on Jointrading us todayglobally • Tailored training to support your business needs Call:• Tailored+44(0)1733 training 404 to support 400 email:[email protected] business needs • Expert solutions for international trade • Expert solutions for international trade Exporting great ideas to you. Exporting great ideas to you. Join us today Join us today Call: +44(0)1733 404 400 Call: +44(0)1733 404 400 email: [email protected] email: [email protected] Lesley Batchelor OBE, FIEx (Grad) – Director General, Institute of Export & International Trade

Focusing on qualifications. A focus on qualifications - but why do we need them?

I’d like to tell you about my story, it’s ok it won’t take too long but I think it’s similar to a lot of people that work in international trade.

I left school with no ambition to do anything other than help my mum make ends meet. I wanted to be a seamstress but we couldn’t afford the material for the interview so I went into an accounts department at a large pharmaceutical company. Luckily for me they recognised a hard worker and asked me to work in various departments. After a year they asked me which one I like the best and without even thinking I said “international”, and that was my career set out for me.

Working in international trade I found that So I spent the next two years, two nights a I needed to understand so many different week at night school honing my skills and things - from how trade agreements building a knowledge and understanding of impacted a sale to the legal aspects of all aspects of the trade I had entered “by trade and how different systems worked in the back door”. Finally, exhausted but with terms of contract and disputes. Getting paid a full understanding of how planning and brought about a whole new set of issues control worked, I passed and became a and this really made me learn and think Graduate Member of the Institute of Export & about the implications of offering credit and International Trade, suffix MIEx (Grad) in 1991. how it can be used to your advantage. Well, many things have changed since Things I learnt about logistics and the then, as after many years of working in paperwork that was needed to support a international trade, I took over at the helm, trade were empirical and slowly I became steering the qualifications and the Institute sure of my knowledge. The problem was, towards a better place. We have now that when I wanted to move on to the next gained Ofqual Awarding Organisation status company, I had nothing to show I had that for the qualifications and have worked hard knowledge. It was frustrating to find that the on ensuring we are ready for the next 80 knowledge that I had accumulated over 11 years of representing the industry and years wasn’t evidenced in any way and that standing as guardian of professional no-one knew exactly what I knew. I was standards in international trade. lucky enough to get my next job with a well-known Japanese computer company OFQUAL* awarding status is hard but it made me realise that if I wanted a earned and we are proud to be the only career, I needed to get qualified. professional body operating in this international trade environment. IOE&IT Qualifications in brief a. International Physical Distribution www.export.org.uk/page/qualifications b. Selling Services, Skills and Software Overseas Level 1 Young International Trader c. Or one of: (Available electronically) Level 2 International Trade Logistic i. Doing business & communicating Operations ** in Arabic speaking markets Level 3 Certificate of International Trade ii. Doing business & communicating Certified International Trade in Spanish speaking markets Adviser iii. Doing business & communicating Level 4 Advanced Certificate in in German markets International Trade iv. Doing business & communicating Level 5 Diploma in International Trade in Chinese markets Diploma in World Customs v. Doing business & communicating Compliance and Regulations in Russian markets Level 6 Foundation Degree jointly delivered with ***Anglia Ruskin The series of modules above carry University language skills training, the focus being Higher Apprenticeship in on basic business language needed and International Trade - the first business culture so far. Finally, eBusiness internationally will be Our courses at level 3 onwards are launched summer 2016. delivered online using a blended learning technique which involves the support of an The Diploma in International Trade - expert tutor for each topic. The IOE&IT level 5 is equivalent to the second year of online campus offers a range of learning a degree and is accepted as entry level for:- tools, from power-point presentations and videos to online chats and forums for the BSc (Hons) in Management Practice - students. The Institute has a success rate International Trade with Plymouth University of 95% in helping our students through -Online 24 months these academic programmes. MSc International Trade, Strategy and The Advanced Certificate in International Operations with Warwick University - 36 Trade - Elective modules have been added months part residential to the level 4 Advanced Certificate syllabus. In addition to the three core modules of Business Environment, Market Research & Marketing and Finance of International www.export.org.uk/page/qualifications will Trade, students can now choose a fourth give you more detail and a contact who will elective module from: talk you through your options.

*The OFQUAL Register of Regulated Qualifications contains details of Recognised Awarding Organisations and Regulated Qualifications in England (Ofqual), Wales (Welsh Government) and Northern Ireland (Ofqual for vocational qualifications and CCEA Accreditation for all other qualifications). ** International Trade Logistic Operations is delivered through our approved centres *** Anglia Ruskin University is Entrepreneurial University of the Year The British Embassy Jakarta maintains and develops relations between the UK and Indonesia.

The UK and Indonesia enjoy a close relationship, with many common interests and values. They are partners in challenges like terrorism and global warming, and work together closely within the G20. They develop and maintain relations between the UK and Indonesia. Their work covers a range of issues including building and improving trade and investment between the UK and Indonesia, and working with Indonesia on global challenges such as climate change, countering violent extremism, human rights and democracy, regional security and prosperity.

Urgent assistance If you are not a British citizen or have not If you are in Indonesia and you need urgent had a British passport before help (for example, you have been attacked, If you are not sure, check if you are a British arrested or someone has died), call (+62) citizen, here: https://www.gov.uk/check-british (21) 2356 5200. If you are in the UK and -citizen worried about a British national in Indonesia, call 020 7008 1500. If you are not a British citizen but think you may be eligible, contact the British Embassy Get an emergency travel document Jakarta to apply for an emergency travel You can apply for an emergency travel document, here: https://www.gov.uk/world/ document if you are abroad and your organisations/british-embassy-jakarta# passport has been lost or stolen, damaged contact-us or expired, and you cannot get a new or replacement passport in time to travel, here: Once you have contacted the British https://www.gov.uk/emergency-travel- Embassy Jakarta, you will be advised document to make an appointment to apply for an emergency travel document at your nearest If the person needing the emergency travel Embassy or Consulate. document is under 16, a parent or guardian should apply on their behalf. Book an appointment for an emergency travel document in Jakarta, here: https://www. If you are due to travel in the next 24 hours, consularappointments.service.gov.uk/fco/#!/ contact the British Embassy Jakarta as soon british-embassy-jakarta/issuing-an- as possible, see: https://www.gov.uk/world/ emergency-travel-document/slot_picker organisations/british-embassy-jakarta# contact-us Book an appointment for an emergency travel document in Bali, here: https://www.consular- If you are travelling in more than 3 weeks, appointments.service.gov.uk/fco/#!/british- check if you can get a new or replacement consulate-bali/issuing-an-emergency-travel- passport in time to travel, here: document/slot_picker https://www.gov.uk/renew-adult-passport Other consular services here: https://www.gov.uk/guidance/notarial- and-documentary-services-guide-for- Notarial and documentary services indonesia See the full list of notarial and documentary services they provide in Indonesia, here: Consular fees https://www.gov.uk/guidance/notarial-and- They charge fees for some of their services. documentary-services-guide-for-indonesia See the full list of consular fees in Indonesia, here: https://www.gov.uk/government/ Legalisation services publications/indonesia-consular-fees The British Embassy Jakarta provides legalisation services. Read the notarial They also provide services in Bali, see: and documentary services page for more https://www.gov.uk/world/organisations/ information on legalisation in Indonesia, british-consulate-bali

British Embassy Jakarta Telephone: (+62) (21) 2356 5200

British Embassy Jakarta Opening hours (local time): Jl. Patra Kuningan Raya Blok L5-6 Monday, Tuesday, Thursday and Friday: Jakarta 08:30 - 12.00 12950 Indonesia Access by appointment only.

Email: [email protected] Consular services (Bali)

Telephone: (+62) (21) 2356 5200 British Consulate Bali Jl. Tirta Nadi 2 No. 20 Opening hours (local time): Sanur Monday to Thursday: 07:30 - 16:00 Bali Friday: 07:30 - 13:00 Indonesia

Opening hours (GMT): Email: [email protected] Monday to Thursday: 01:30 - 10:00 Friday: 01:30 - 07:00 Telephone: (+62) (21) 2356 5200

Consular services (Jakarta) Opening hours (local time): Monday, Wednesday and Friday: The British Embassy Jakarta 08:30 - 12.00 Jl Patra Kuningan Raya Blok L5-6 Jakarta 12950 Indonesia

107 S N O I The Institute of Export & International T Trade A

S Export House I Minerva Business Park N Lynch Wood A Peterborough G PE2 6FT, UK R O Tel: +44 (0) 1733 404400 G N I Website: www.export.org.uk T R O P

P • direct support for more than 300

U customers supported directly, with S many thousands more benefiting through export supply chains;

• nearly 2000 individual guarantees, loans or insurance policies.

UK Export Finance is the operating name of the Export Credits Guarantee Department (ECGD). UK Export Finance is the UK’s export For more information and to arrange a free credit agency, serving UK companies of consultation with an Export Finance Adviser, all sizes. We help by providing insurance visit: https://www.gov.uk/government/ to exporters and guarantees to banks organisations/uk-export-finance to share the risks of providing export finance. In addition, we can make loans New business enquiries: to overseas buyers of goods and services from the UK. Telephone: +44 (0)20 7271 8010 In the past five years, we have provided: Email: [email protected] • £14 billion worth of support for UK exports;

International Market Advisor 1 Clough Street, Buxton SK17 6LJ United Kingdom

Email: [email protected] General enquiries switchboard +44 (0) 1298 79562 www.DoingBusinessGuides.com

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MARKET EXPERTS

Doing Business in Indonesia

Useful links World Intellectual Property Organization (WIPO): Country information: http://www.wipo.int/treaties/en/text.jsp?file BBC Website: _id=288514 http://news.bbc.co.uk/1/hi/country_ profiles/default.stm Standards and technical regulations: British Standards Institution (BSI): FCO Country Profile : https://www.bsigroup.com/en-GB/ https://www.gov.uk/foreign-travel- advice/indonesia Export Control Joint Unit (ECJU): https://www.gov.uk/government/ Culture and communications: organisations/export-control-organisation ICC – The international language association: Intellectual Property Office: www.icc-languages.eu/links/156- https://www.gov.uk/government/ thenational-centre-for-languages-cilt organisations/intellectual-property-office

Customs and regulations: National Physical Laboratory: HM Revenue & Customs: http://www.npl.co.uk/ https://www.gov.uk/government/ organisations/hm-revenue-customs Trade statistics: HM Revenue and Customs (HMRC): Economic information: https://www.uktradeinfo.com/statistics/ The Economist: buildyourowntables/pages/table.aspx http://www.economist.com/topics National Statistics Information: Trading Economics: https://www.gov.uk/government/ www.tradingeconomics.com statistics/announcements

Export control: Office for National Statistics: Export Control Organisation: http://www.ons.gov.uk/ https://www.gov.uk/guidance/beginners- guide-to-export-controls Trade shows: British Expertise Events: Export finance and insurance: http://www.britishexpertise.org/bx/pages/ British Insurance Brokers Association bx.php (BIBA): www.biba.org.uk EventsEye.com online database: www.eventseye.com UK Export Finance (formerly ECGD): : www.gov.uk/government/organisations/ DIT Events Portal: uk-export-finance https://www.events.trade.gov.uk/

Intellectual Property: Intellectual Property Office: https://www.gov.uk/government/ organisations/intellectual-property-office www. Indonesia .Doing Business Guide .co.uk 113 Getting UK businesses ready to sell overseas

What is Open to Export?

Open to Export is the online community helping UK businesses get ready to sell overseas. Backed by Government and business, we are a not for profit social enterprise dedicated to helping UK companies grow through export.

For more information visit opentoexport.com Doing Business in Indonesia

Travel advice: Department for Business, Energy & FCO Travel: Industrial Strategy (BEIS): www.gov.uk/browse/abroad https://www.gov.uk/government/ organisations/department-for-business- FCO Foreign Travel Insurance: energy-and-industrial-strategy https://www.gov.uk/guidance/foreign- travel-insurance Department for International Trade (DIT): https://www.gov.uk/government/ Healthcare abroad: organisations/department-for- Travel health: international-trade www.travelhealth.co.uk DIT e-exporting programme: TravelHealthPro: https://www.gov.uk/guidance/e-exporting https://travelhealthpro.org.uk/countries Export Britain: NHS (Scotland): http://exportbritain.org.uk/ http://www.fitfortravel.nhs.uk/ destinations.aspx Exporting is GREAT: https://www.great.gov.uk/ NHS Choices: http://www.nhs.uk/NHSEngland/ Foreign & Commonwealth Office (FCO): Healthcareabroad/Pages/ www.gov.uk/government/organisations/ Healthcareabroad.aspx foreign-commonwealth-office

International trade: Institute of Directors (IoD): British Chambers of Commerce (BCC): www.iod.com www.britishchambers.org.uk Institute of Export & International Trade British Council: (IOE&IT): www.britishcouncil.org www.export.org.uk

British Expertise: International Monetary Fund (IMF): http://www.britishexpertise.org/bx/pages/ http://www.imf.org/external/index.htm bx.php Market Access database: British Franchise Association: http://madb.europa.eu/madb/indexPubli.htm http://www.thebfa.org/international Open to Export: Centre for the Protection of National http://opentoexport.com/ Infrastructure (CPNI): http://www.cpni.gov.uk/ Organisation for Economic Co-operation and Development (OECD): Confederation of British Industry (CBI): http://www.oecd.org/ www.cbi.org.uk

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l Doing Business in Indonesia

Indonesian Ministry of Finance: Indonesian Ministry of Transportation: http://www.kemenkeu.go.id/en http://www.dephub.go.id/

Indonesian Ministry of Foreign Affairs: Indonesian National Accreditation http://www.kemlu.go.id/ Committee (KAN): http://www.kan.or.id/ Indonesian Ministry of Health: http://www.kemkes.go.id/ Indonesian National Consumer Protection (BPKN): Indonesian Ministry of Home Affairs: http://bpkn.go.id/ http://www.kemendagri.go.id/ Indonesian National Planning Agency Indonesian Ministry of Industry: (BAPPENAS): http://www.kemenperin.go.id/ http://www.bappenas.go.id/id/

Indonesian Ministry of Law and Human Indonesian National Standards Authority Rights: (BSN): http://www.kemenkumham.go.id/ http://www.bsn.go.id/

Indonesian Ministry of Manpower and Indonesian Tsunami Early Warning Transmigration (MoMT): Centre: http://naker.go.id/ http://rtsp.bmkg.go.id/publicbull.php

Indonesian Ministry of Maritime Affairs Java Integrated Industrial and Port Estate and Fisheries: initiative: http://kkp.go.id/ http://www.jiipe.com/profile

Indonesian Ministry of Religious Affairs: National Disaster Management Authority https://www.kemenag.go.id/ (BNPB): https://www.bnpb.go.id/ Indonesian Ministry of Research, Technology and Higher Education: Recording Information System Of http://ristekdikti.go.id/ Creation And Related Rights Related Products Online: Indonesian Ministry of State-Owned https://e-hakcipta.dgip.go.id/login Enterprises: http://bumn.go.id/ Tourism Indonesia: http://www.tourismindonesia.com/ Indonesian Ministry of Tourism: http://www.kemenpar.go.id/

Indonesian Ministry of Trade: http://www.kemendag.go.id/en ABOUT US

Launched in 2007, Start Up Overseas has become the deﬁnitive online resource for companies who are looking to expand internationally, export products or set up overseas operations.

We have all the information you will need to trade in 60 countries. LOOKING FOR HELP DOING BUSINESS IN INDONESIA?

You are not alone. In January 2017, 29,064 companies used Start Up Overseas to ﬁnd up to date information – and to ﬁnd service providers who could help. WHY DO COMPANIES USE START UP OVERSEAS?

• Country Guides – the essential information you will need to trade on foreign soil. • Business Directory – A helpful directory giving you the tools and contacts to run your business overseas. • Ask the Expert – Experts are waiting to answer your questions • Start Up Overseas Forum – Join our virtual community. Share knowledge & advice with people facing similar issues to you. • Editors News – Subscribe to our free newsletter, and keep completely up to date with all the developments in international trade. CONTACTUS

To contact the sales team: [email protected] To contact the editorial team: [email protected]

If you have any general questions email using the above details or call us on: +44 (0)117 907 3520. See more at: www.startupoverseas.co.uk/aboutus www.startup overseas.co.uk

Doing Business in Indonesia

Trade shows

A trade show is a method of promoting a business through the exhibition of goods and services, an organised exhibition of products, based on a central theme, where manufacturers meet to show their products to potential buyers.

Taking part in overseas exhibitions is an effective way for you to test markets, attract customers, appoint agents or distributors and make sales. DIT's Tradeshow Access Programme (TAP) provides grant support for eligible SME firms to attend trade shows overseas.

Participation is usually as part of a group, a great advantage for inexperienced businesses, and is usually led by one of DIT's Accredited Trade Associations (ATOs). ATOs work with DIT to raise the profile of UK groups and sectors at key exhibitions. For more information visit: https://www.gov.uk/tradeshow-access-programme.

IOE&IT’s events: www.export.org.uk/events/event _list.asp

10 Times (formerly BizTradeShows.com): www.10times.com/indonesia

British Expertise Events: www.britishexpertise.org/bx/ pages/bx_events.php

EventsEye.com online database: www.eventseye.com

DIT online events search facility: www.events.trade.gov.uk

www. Indonesia .Doing Business Guide .co.uk 121 Simon Chicken – Event Director of Going Global Live: Europe’s leading event for expanding your business overseas

Hi Simon, can you tell us about how Going Global Live started? The Prysm Group had been running The Business Show for 10 years. TheBusiness Show is Europe’s largest event helping UK based companies grow domestically. It became apparent that many of our 20,000+ visitors were looking to expand internationally. There was a need, and there was a gap in the market, so we launched Going Global Live at ExCeL in November 2014, and we’ve Why is it important for SMEs to done 2 events each year ever since. attend the event? Going Global Live takes place twice a Research has shown businesses are 11% year, in May and November. For more more likely to survive if they export their information including event dates, visit the products, Great Britain is currently in a website at: www.goinggloballive.co.uk fantastic position where we have good trade deals in place and British products What can people expect to find at are in high demand. At Going Global Live Going Global Live? we put all the suppliers and services Think of it as a trade show and conference. companies will need to meet in order for Visitors who come to the event will get up them to achieve international expansion, to date advice from world leading experts all under one roof. Trying to meet with all on the most attractive markets and over - of these people would take years to seas opportunities, and be able to speak arrange and do, at the event you can do it to suppliers & service providers who can in 2 days! If you are serious about taking help with the challenging project of your business to the next level, the event international expansion. is a must attend. If you were to start trading in a new market, which country would that be and why? Iran. This is a massive market which is just opening up, and I would want to get there before my competitors. More importantly, I need an excuse to put a trip to Shiraz on business expenses. A city that is famous for poetry, roses and wine needs to be visited. I’m guessing the food is unbelievable too.

Finally, what are you aims going forward? We’ve reached a point where the event has firmly established itself. Visitors leave our events with advice and knowledge they need to grow their company’s further, however we still feel the event can reach a whole new height. So we’re expanding the team and increasing the size of the exhibition. The show has the potential to be four times the size it is now, in terms number of exhibitors, seminars, and visitors at the event.

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Disclaimer

Whereas every effort has been made to In particular, none of the report's contents ensure that the information given in this should be construed as advice or Guide is accurate, neither International solicitation to purchase or sell securities, Market Advisor (IMA), the Institute of Export commodities or any other form of financial & International Trade (IOE&IT), the British instrument. No liability is accepted by IMA, Embassy Jakarta, BritCham Indonesia, IOE&IT, the British Embassy Jakarta, UK Export Finance (UKEF), Department BritCham Indonesia, UKEF, DIT, or the for International Trade (DIT), or the Foreign FCO for any loss or damage (whether & Commonwealth Office (FCO), accept consequential or otherwise) which may liability for any errors, omissions or arise out of or in connection with the report. misleading statements and no warranty No warranty is given, or responsibility is given or responsibility accepted as to accepted as to the standing of any the standing of any individual, firm, individual, firm, company or other company or other organisation mentioned. organisation mentioned.

The purpose of the Doing Business Guides, Contains public sector information licensed prepared by International Market Advisor under the Open Government Licence v3.0. (IMA) is to provide information to help recipients form their own judgments about making business decisions as to whether to invest or operate in a particular country.

The report's contents were believed (at the time that the report was prepared) to be reliable, but no representations or warranties, express or implied, are made or given by IMA, the IOE&IT, the British Embassy Jakarta, BritCham Indonesia, UKEF, DIT or the Foreign and Commonwealth Office (FCO) as to the accuracy of the report, its completeness or its suitability for any purpose.