Fajarasia.id – Indonesia’s Trade Minister Budi has emphasized that the destruction of illegal imported second-hand clothing will not use state funds from the national budget (APBN). Instead, all costs will be fully borne by the importers found guilty of violating trade regulations.
“The destruction does not use APBN. Importers themselves must carry it out, and we impose sanctions,” Budi stated in Jakarta on Friday (Nov 21).
According to Budi, the financial burden imposed on importers serves as a penalty for breaching Law No. 7 of 2014 on Trade and Ministerial Regulation No. 40 of 2024 concerning prohibited export and import goods. In addition to covering destruction costs, companies involved face sanctions such as business closure.
“Importers who break the rules must bear all legal and administrative consequences, including the cost of destroying the goods,” he stressed.
The government has already shut down two companies suspected of importing second-hand clothing illegally. Both firms are required to finance the destruction process until completion in accordance with legal provisions.
Meanwhile, Finance Minister Purbaya Yudhi Sadewa proposed an alternative method of handling illegal imports by shredding second-hand clothing and bags (commonly known as balpres) and reselling them to micro, small, and medium enterprises (MSMEs).
Speaking at a media briefing at the Ministry of Finance on Friday (Nov 14), Purbaya argued that current destruction practices are costly and disadvantageous to the state. “For one container of illegal balpres, the destruction cost can reach Rp12 million. It’s a big loss. So, we want to change the approach,” he explained.
Through this policy, the government reaffirmed its commitment to cracking down on illegal imports of second-hand clothing while ensuring that no APBN funds are used for destruction costs. The move is expected to safeguard domestic trade systems and protect Indonesia’s textile industry from harmful practices.****
