Draft Bill on Job Creation Doesn’t Accommodate Logistics Sector: ALFI

Chairman of Indonesia Logistics and Forwarders’ Association (ALFI/ILFA) Yukki Nugrahawan Hanafi is regretting the draft bill on job creation the government being prepared, saying the draft does not accommodate the requirements of business players in logistics sector.

He calls the government to refer to the existing regulation of Ministry of Transportation (PM) No: 49/2017 on guidelines for implementation of transportation business service (PPJPT) in which it covers any businesses of logistics sector.

“The PM 49 has been completed. It has fully regulated 21 activities of logistics business, both in national and international scope. It is so regretful that this regulation does not become a reference in drafting the bill on job creation,” Yukki told the press yesterday (February 27).

He expects that for the logistics sector, the draft bill should refer to articles relating multimodal transportation of the PM 49. Moreover, this new bill on job creation is set up to make investor easier in getting business permit.

“It is so regretful that for the logistic sector the draft even refers to the regulation that does not completely cover the logistics business. The referenced regulation has not cover the logistic business holistically,” he said.

Yukki disagrees if the draft refers to the multimodal regulation. He said, both the government regulation (PP) and presidential decree (Perpres) of this multimodal regulation has not completely cover the end to end logistics.

End to end logistics doesn’t relate to multimodal transportation only. If so, the draft bill does not give easiness to logistics sector since end to end logistics potentially need more permits.

The draft will still make logistics sector to have permits from several ministries, including from ministries of transportation and trade.

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