Indonesia is still remain on the list of world countries with severe Intellectual Property (“IP”) violations and include in the Priority Watch List (along with Argentina, Chile, China, India, Russia, and Venezuela) based on the Special 301 Report 2023 released by the United States Chamber of Commerce (USTR)
Special Economic Zone (SEZ) is an area designated by the Indonesian Government as a center for development of economic growth and equitable distribution, supporting industrialization and job creation especially for the surrounding areas.
Foreign institutions or foreign individuals are allowed to carry out business in Indonesia (called as “PMA”) by establishing a Limited Liability Company (“LLC”). According to Indonesian Company Law, an LLC must be formed by 2 (two) or more shareholders. LLC for PMA can be wholly owned by foreign parties’ shareholders if the Standard Industrial Classification (“SIC”) (in Indonesia referred to as KBLI) is open 100% for foreign investment. Otherwise, PMA must be formed together with domestic partners.
To materialize the national sugar self-sufficiency program for ensuring food security as well as biofuel energy security by increasing bioethanol production from sugarcane production, President Joko Widodo enacted Presidential Regulation Number 40 of 2023 concerning the Acceleration of National Sugar Self-Sufficiency and the Provision of Bioethanol as Biofuel (“Presidential Decree 40/2023”).
