Export flow and its required document

In today’s global marketplace, the seamless movement of goods across international borders is vital for businesses to thrive, especially in the Southeast Asian market. As a leading of Supply chain solutions provider, PT. Cakraindo Mitra Internasional specializes in managing the complexities of the export-import process, ensuring that goods are efficiently transported from origin to destination with minimum delays and maximum compliance.

Whether you are an exporter wanting to expand your business abroad or an importer managing supply chain demands, understanding the complicated phases of the export-import movement is critical. At PT. Cakraindo Mitra Internasional, we streamline this process by dividing it into well-coordinated stages, ensuring that commodities move seamlessly across borders.

Order and Contract Confirmation

The export process begins once a buyer places an order and confirms the sales contract. Next, we must ensure that all product specifications, delivery terms (Incoterms), and payment methods are thoroughly reviewed and agreed upon. This is the first phase in preparing for export that might be a source of concern, ensuring that the export transaction goes well.

Production and Packaging

After the order is confirmed, the exporter begins the production and packaging process. After the order is confirmed, we must ensure that the packaging or commodities loaded meet the safety criteria and rules governing international shipping standards or special provisions in the destination country. At this point, it is necessary to consider adding a heating pad for shipping to specific countries or an additional bar to the packaging.

Export Documentation Preparation

Prepare and verify the required papers to ensure seamless customs clearance and avoid delays, so make sure you complete the key document below.

Key documents include:

  • Commercial Invoice
  • Packing List
  • Bill of Lading (B/L)
  • Certificate of Origin
  • Insurance Certificate
  • Export License (if required)

 

Customs Clearance and Regulatory Compliance

Before the goods can leave Indonesia, they must pass through customs clearance. Our experienced team at PT. Cakraindo Mitra Internasional ensures that all necessary export declarations are filed, duties are paid, and government regulations are followed. This ensures that goods are cleared without unnecessary delays, keeping the export process on schedule.

Transportation to Port and Loading

PT. Cakraindo Mitra Internasional typically provides complete logistics services, from moving goods from the exporter’s facility to the specified port of departure. The required service can be arranged as per your request, whether by road, rail, or air, depending on the shipment mode.

Freight and Shipment Monitoring

Once the goods are in transit, you can provide continuous updates through real-time tracking, ensuring clients are fully informed at every stage. The freight management services ensure that shipments reach their destinations within the expected timeframe, helping businesses effectively plan for onward distribution and final delivery.

This precise process can assist in controlling all aspects of the export flow, guaranteeing consistency, compliance, and efficiency in all export processes. That’s the way we handle exports at Cakraindo; how does your process operate? Is it all the same?

 

Customs and export control in Indonesia

Indonesia enforces customs and export control regulations through a combination of national laws to oversee and supervise the flow of goods in and out of the country. These measures play a crucial role in upholding international trade standards, safeguarding national security, and preserving the nation’s economic stability. The Directorate General of Customs and Excise (DGCE) in Indonesia, operating under the Ministry of Finance, takes charge of overseeing and regulating the movement of goods across the national borders. Its responsibilities include enforcing customs laws, collecting duties and taxes, implementing trade regulations, and ensuring adherence to import and export controls.

Furthermore, the DGCE collaborates with various governmental bodies like the Ministry of Trade, the Ministry of Industry, and the National Agency of Drug and Food Control (BPOM) to oversee and supervise specific commodities, especially those under prohibitions and restrictions (Lartas). These entities are also responsible for granting permits, licenses, and certifications essential for the lawful transportation of goods through Indonesian borders.

1. Customs Control in Indonesia

Directorate General of Customs and Excise (DGCE): The primary authority responsible for customs control in Indonesia, overseeing the enforcement of customs laws, duty and tax collection, and trade regulation implementation.

Import and Export Procedures: Businesses are required to adhere to customs protocols, including goods declaration, duty payment, and submission of necessary documentation like invoices, packing lists, and certificates of origin.

Customs Valuation and Classification: Goods are categorized using Harmonized System (HS) codes and valued based on international standards to determine applicable duties and taxes.

Inspections: Customs inspections are carried out to prevent smuggling, enforce restrictions, and ensure compliance with health, safety, and environmental regulations.

2. Export Control in Indonesia

Prohibitions and Restrictions (Lartas): Indonesia enforces Lartas to manage the export of certain goods. Items falling under Lartas may necessitate special licenses or permits, while some may be completely prohibited from export. These measures are in place to safeguard national security, the environment, and cultural heritage.

Export Licensing: Specific goods require an export license, particularly those that are sensitive or of strategic importance. These licenses are issued by the Ministry of Trade and other relevant authorities.

Strategic Goods: Indonesia regulates the export of strategic goods, such as military equipment, dual-use items, and technology with both civilian and military applications. Exporters of these goods must adhere to stringent regulations and may need specific permits.

Customs Clearance: Prior to export, goods must pass through customs, where documentation is examined, and goods may undergo inspection to ensure compliance with export controls.

Trade Sanctions and Embargoes: Indonesia follows international trade sanctions and embargoes imposed by organizations like the United Nations, meaning certain goods cannot be exported to specific countries or entities.

3. Key Challenges

Compliance: To avoid penalties, companies need to navigate intricate regulations and meet all customs and export control requirements.

Documentation: Smooth customs clearance and export processing rely on precise and comprehensive documentation.

International Standards: Staying updated on local and international trade regulations is essential for businesses, as non-compliance can lead to delays or financial penalties.

 

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