Summary of General Discussion about Bonded Logistic Center

 Speaker : Ir. Widiyanto, ASCM CSLP
                 (GM Logistic Operation and Distribution PT. Agility International)



What is Bonded Logistic Center?

A. Introduction

  As part of the economic stimulus package introduced by the government last September aimed at boosting the country's economy, the government issued Government Regulation No. 85 of 2015 which amends Government Regulation No. 32 of 2009 on Bonded Storage Places ("Regulation 85"). Regulation 85 introduces the concept of Bonded Logistic Centers (Pusat Logistik Berikat) as one type of Bonded Storage Place (Tempat Penimbunan Berikat) in Indonesia. A Bonded Storage Place is basically a building, site or area that meets certain requirements which is used to store goods for certain purposes and obtains import duty postponement.

It is expected that the introduction of the Bonded Logistic Center would encourage investment in the manufacturing sector in Indonesia because these centers would facilitate the flow of basic materials. 

B. Implementation of Bonded Logistic Center In Company

> PT. Agility Indonesia

• The operation of a Bonded Logistic Center is carried out by a Bonded Logistic Center operator having the status of an Indonesian legal entity and domiciled in Indonesia. 

• In one Bonded Logistic Center, one or more businesses may be conducted.

   Agility builds durable, efficient supply chains that power businesses and drive trade, creating access to new opportunities. Today, Agility is one of the world’s largest integrated logistics providers with more than 22,000 employees and operations in 100 countries.

  Agility has two main lines of business. Through our Global Integrated Logistics (GIL) business, we work with companies in diverse industries and markets to move, manage, and distribute the goods that underpin global commerce. Through our Infrastructure portfolio of companies, we provide logistics-related services in emerging markets that facilitate trade and create access to new opportunities.

   Agility Global Integrated Logistics (GIL) provides supply chain solutions to meet traditional and complex customer needs. GIL offers air, ocean and road freight forwarding, warehousing, distribution, and specialized services in project logistics, chemical logistics, fairs and events. 

C. Conclusion

  The introduction of a regulatory framework for Bonded Logistic Centers in Indonesia is crucial to reducing logistics costs in Indonesia, which have long been among the highest in the region due to poor transportation infrastructure. Businesses will likely welcome this breakthrough as companies setting up operations in Bonded Logistics Centers may enjoy a number of taxation facilities, and they will be allowed to postpone import duty payment and be more effective and efficient.