Indonesia's Trade Minister Reinstates Sea Sand Exports

TEMPO.CO, Jakarta - Indonesian Trade Minister Zulkifli Hasan, or Zulhas, has reauthorized the export of sea sand. This decision was formalized through two revisions to the Trade Ministerial Regulation (Permendag) governing the export sector.

The revised policies are Permendag No. 20 of 2024, amending Permendag No. 22 of 2023 regarding Prohibited Export Goods, and Permendag Number 21 of 2024, amending Permendag No. 23 of 2023 concerning Export Policy and Regulation.

Isy Karim, Director General of Foreign Trade at the Trade Ministry, explained that the reinstatement of sea sand exports was in response to Government Regulation (PP) No. 26 of 2023 on Marine Sediment Management and a proposal from the Ministry of Maritime Affairs and Fisheries (KKP).

However, Isy emphasized that the export of marine sedimentation products, including sea sand, would only be permitted if domestic needs were met. “As long as domestic needs are fulfilled and comply with applicable laws and regulations,” he stated in a written statement in Jakarta on Monday, September 9, 2024, as quoted by Antara.

“The revision of these two Permendag is mandated by Government Regulation No. 26 of 2023 and is a response to a proposal from the Ministry of Maritime Affairs and Fisheries (KKP) as the supervising agency for marine sedimentation management,” Isy explained.

He highlighted that the export of sea sand aligns with PP No. 26 of 2023. He noted that regulations are necessary to address sedimentation issues that can diminish the carrying capacity and health of coastal and marine ecosystems.

Furthermore, he emphasized that regulating sea sand exports can optimize the benefits of marine sedimentation for the development and rehabilitation of coastal and marine ecosystems.

The types of sea sand eligible for export are specified in Permendag No. 21 of 2024, which references the Decree of the Minister of Maritime Affairs and Fisheries No. 47 of 2024 concerning the Specifications of Exportable Marine Sediment Sand.

Before exporting sea sand, exporters must fulfill several requirements outlined in Permendag No. 21 of 2024. These requirements include being registered as a Registered Exporter (ET), obtaining an Export Approval (PE), and having a Surveyor Report (LS).

Prior to being designated as a registered exporter by the Trade Ministry, entrepreneurs and exporters must possess a Sea Sand Utilization Permit from the Ministry of Maritime Affairs and Fisheries and a Mining Business Permit for Sales from the Ministry of Energy and Mineral Resources.

Additionally, business actors and exporters are required to submit a stamped statement declaring that the exported sea sedimentation sand originates from the permitted collection location based on the regulations.

If all these prerequisites are met, business actors and exporters can proceed with the necessary steps to obtain a PE document. To acquire a PE, entrepreneurs and exporters must have a Recommendation for the Export of Sedimentation Sand from the Ministry of Maritime Affairs and Fisheries and demonstrate compliance with domestic needs through the domestic market obligation (DMO) mechanism.

Permendag No. 20 of 2024 also outlines the types of sea sand prohibited from export. Both regulations were promulgated in Jakarta on August 29, 2024, and will become effective 30 working days after promulgation.

Isy pinned hopes that business actors would diligently implement these regulations to positively impact the Indonesian economy. “These export provisions will take effect 30 working days after promulgation,” he concluded.

ANTARA

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