On December 18, 2024, Indonesia took a step toward modernizing its export customs system with the issuance of Director General of Customs and Excise (“DGCE“) Regulation No. 22/BC/2024 (“DGCE Regulation 22/2024“). Effective March 18, 2025, this regulation replaces DGCE No. 21/BC/2018 (“DGCE Regulation 21/2018”) and its amendment, DGCE No. 7/BC/2020 (“DGCE Regulation 7/2020”).
DGCE Regulation 22/2024 introduces updates aimed at improving efficiency, transparency, and compliance in export processes. By mandating digital integration and streamlining procedures for special economic zones, the regulation aims to enhance export services and customs supervision. This is achieved through adjustment to data elements and filling procedures, as demonstrated by the introduction of the DGCE’s new computerized service system, Sistem Komputer Pelayanan (“SKP”).
For businesses, these changes are both a challenge and an opportunity to leverage a more modern and efficient system.
Key Changes and Provisions
DGCE Regulation 22/2024 introduces substantial updates, with a core focus on digital integration. The mandatory use of the SKP for all export notifications replaces the previous system and its mix of manual and electronic submissions, ensuring more streamlined processes and improved data accuracy. Documentation must now follow standardized formats, including the harmonization of folio-sized forms and the addition of fields such as consolidating party details and serial numbers, improving traceability and reducing errors.
The regulation also introduces provisions for special economic zones such as free trade zones and bonded logistics centers. This change serves to integrate critical economic areas into the national trade framework, reflecting their growing importance to Indonesia’s economy.
DGCE Regulation 22/2024 also strengthens financial transparency by requiring detailed declarations for cash and payment instruments, including transaction values, currencies, and intended uses of funds. By aligning with global anti-money laundering and counter-terrorism financing standards, the regulation aims to ensure that Indonesia is compliant with international financial practices.
Compared with DGCE Regulation 21/2018, this new regulation shifts away from hybrid systems to prioritize fully digital processes. It also addresses previous gaps by offering clearer guidelines for managing complex exports, such as multimodal shipments and temporary exports. These changes aim to minimize delays, reduce ambiguities, and improve operational efficiency for all stakeholders.
Implications for Businesses
For businesses, DGCE Regulation 22/2024 introduces new compliance requirements that demand careful preparation. Exporters may need to upgrade and modify their internal systems to comply with electronic submission standards through SKP and ensure alignment with the regulation’s detailed documentation requirements. Companies operating in free trade zones or handling multimodal shipments face increased responsibilities, as the regulation introduces stricter reporting and data submission standards.
The regulation allows a 90-day transition period, ending March 17, 2025, giving businesses time to adapt. However, delays in preparation could result in penalties, operational disruptions, or reputational damage. Training staff, updating processes, and thoroughly understanding the new requirements under DGCE Regulation 22/2024 are essential steps to ensure compliance.
Despite these initial challenges, the long-term benefits of DGCE Regulation 22/2024 are potentially significant. By automating processes and ensuring consistent documentation, businesses can expect reduced processing times, the reduced risk of error, and smoother export operations. And Indonesia’s alignment with global standards should enhance its reputation as a reliable trade partner, opening new opportunities for exporters.
Conclusion
DGCE Regulation 22/2024 represents a major milestone in Indonesia’s trade modernization efforts. Through digital integration, expanded scope, and enhanced transparency, the regulation transforms export customs processes to align with international best practices. Businesses are encouraged to use the transition period to upgrade systems and train staff if needed, while preparing for the upcoming changes.
Seeking legal advice is highly recommended to navigate these updates effectively, mitigate risks, and ensure full compliance. With its forward-looking provisions, DGCE Regulation 22/2024 positions Indonesia as a more competitive and transparent player in global trade, creating opportunities for businesses ready to adapt to this improved regulatory framework. (26 February 2025)
