TEMPO.CO, Jakarta – The Trade Ministry is formulating a proposal to lower the import duties of 54 products to members countries of the Asia-Pacific Economic Cooperation (APEC). The products are grouped into five categories. One of the groups is raw materials, which includes commodities such as oil palm and its derivatives, wood, rubber, paper, as well as fishery products.
"Some commodities are targeted to have zero percent custom duties," the ministry's director general of international trade cooperation Bachrul Chairi said in Jakarta last weekend.
Bachrul said that commodity prices are declining in international markets. Therefore, the policy is well-suited as it is in line with the government's plan to increase exports and boost the domestic downstream sector.
Indonesia plans to present the plan in the upcoming Trade and Committee Investment discussion forum in Bocaray, Philippines in August. The presentation will be attended by APEC representatives, multilateral trade experts and delegates from developing countries.
Indonesia itself has lowered its duties for 48 of the 54 products to be proposed. However, the policy requires that products to be environmentally friendly (green economy). Six remaining products will be applied with the same policy if the presentation is approved by APEC's member countries.
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