February 19, 2018

The Complexity of Shipping to Indonesia

Indonesia, as the world’s sixteenth largest economy (and the largest in Southeast Asia), is a country bursting with potential. With a growing middle class, strong domestic consumption, and political stability it offers a recipe for commercial success.

Unfortunately, Indonesia is equally known for complex bureaucracy and an uncertain, erratic legal and regulatory environment which makes importing goods into the country nearly impossible.

This was the experience of one TecEx’s biggest clients. Before using the Importer of Record services of TecEx, the client struggled for more than six months, never successfully clearing a shipment into Indonesia. The client spent thousands of Dollars on freight and incurred exorbitant storage costs – only to have their goods seized by Indonesian Customs and then auctioned off to a third party. This unfortunate and frustrating customs experience in Indonesia is commonly referred to as “The Red Channel” and is an ongoing challenge for companies who need to import specialised technology hardware into the country.

In such a highly erratic and regulated environment, this means that in addition to document verification, the shipment could be inspected physically, may be retained and eventually, put up for auction.

THE TECEX ADVANTAGE

Our client, scarred from their Indonesian experience, entrusted TecEx to ensure their goods landed in country in an efficient and legal manner. It took TecEx only three days from arrival in Jakarta until the goods were successfully cleared and on their way to their final delivery location. The TecEx team is skilled and experienced in clearing imports of technology hardware into Indonesia and are fully equipped to handle all compliance requirements to ensure a smooth and seamless process for our clients.

We have since handled multiple Indonesian shipments for this client – including clearance of goods with wireless or cryptographic capabilities, which require complex licenses, permits and approvals; all of which can be successfully imported into Indonesia by TecEx.

Our Importer of Record services enable us to offer end-to-end solutions to large and cutting-edge tech companies around the world.

As a facilitator of the building of international IT infrastructure on behalf of value-added resellers, global MNCs and blue-chip IT brands, TecEx acts as an IOR into Indonesia, expertly handling all compliance and related issues.

Notes to the Editor

TecEx is a facilitator of the building of international IT infrastructure on behalf of value-added resellers, global MNCs and blue-chip IT brands. TecEx achieves this by acting as an Importer of Record, handling all compliance issues and providing all required local support, focused on tech hardware.