Indonesian Government to Distribute Rejected Export Garments to Flood Victims

Presidential Approval and Tax Exemption

The Indonesian government has received presidential approval from Prabowo Subianto to distribute 125,000 rejected export garments to victims of recent floods in Aceh and Sumatra ²

. The initiative, originally proposed by Minister of Home Affairs Tito Karnavian, aims to provide essential clothing to affected communities. As part of the approval, President Prabowo also mandated the waiver of value-added tax (PPN) on these donations to facilitate their distribution ²

Source 2

https://nasional.kontan.co.id/news/125000-baju-reject-batal-ekspor-bakal-disalurkan-ke-warga-terdampak-banjir-sumatera

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Details of the Donation

The garments in question were manufactured in bonded zones for export purposes but were rejected due to production defects. Minister of Finance Purbaya Yudhi Sadewa confirmed that these are not illegal imports or counterfeit goods, but rather genuine production rejects ¹

. The distribution will be overseen by the Ministry of Home Affairs to ensure the items reach the intended recipients efficiently.

Implementation and Coordination

While the presidential approval has been granted, the Ministry of Finance is still reviewing the logistics of the distribution. Minister Purbaya emphasized that the items are not illegal and should be distributed through proper channels ¹

. The government is working to ensure that the donation process is carried out transparently and effectively.