Indonesia's Customs Agency Faces Potential Freeze Amid Multiple Issues

Critical Problems Identified by Finance Minister

The Indonesian government is considering freezing the Directorate General of Customs and Excise (DJBC) due to multiple pressing issues. Minister of Finance Purbaya Yudhi Sadewa highlighted several critical problems currently being addressed. The primary concerns include under-invoicing practices and the smuggling of illegal goods through various ports and airports.

Impact on State Revenue

Under-invoicing remains one of the most crucial issues affecting Indonesia's customs performance. This practice results in export and import values being recorded lower than their actual worth, leading to potential significant losses in state revenue. The government is working to address these issues to prevent further financial erosion.

Government's Response

The Minister emphasized that resolving these issues is a top priority for the DJBC's reform. By tackling these problems, the government aims to enhance the effectiveness of customs operations and protect national revenue. The potential freeze of DJBC operations serves as a stern warning to the agency to improve its performance and compliance with regulations.