Many SMEs in Indonesia are unable to export fresh fruits due to the non-fulfillment of product standards for their export markets. That’s because many Indonesian fresh fruit exporters think that export standards are always related to certification.
Even though there are more important standards that must be met, namely product safety which is required through government regulations in each country. So actually, the biggest problem in the failure of SME fruit products in Indonesia to enter for export may not be certified, but the weak level of product safety.
Moreover, this is also triggered by regulations in Indonesia that are not as strict as regulations in export destination countries. On the other hand, SMEs in Indonesia find it difficult to improve product safety standards. Therefore, in this post, we will discuss what are the requirements needed by Indonesian fruit exporters to fulfill the standard obligations in exporting fresh fruit and vegetables.
Requirements During Preparation
1. Comply with Export Regulations
Indonesian fruit exporters must familiarize themselves with complying with all export regulations in the country of origin and must comply with import requirements from the destination country. These requirements include:
- Phytosanitary control measures
- Maximum residual rate
- Packaging and labeling
- Import tariffs or taxes
2. Registration of Fresh Fruit and Vegetable Export Facilities
Before exporting fresh fruit, Indonesian fruit exporters also need to register several facilities that handle fresh fruit exports with the Minister of Trade. Such facilities include packaging houses, storage and treatment facilities, etc. This requirement is intended to minimize risks related to production, packaging, and treatment activities related to certain commodity export routes.
3. Perawatan dan Tindakan Pengendalian Hama
The next requirement is to ensure that fruit export commodities come from pest-free areas. If an Indonesian fruit exporting area is not pest-free, phytosanitary treatment is required.
This treatment involves a series of processes such as temperature control and fumigation which are carried out right after harvest. Phytosanitary also involves the use of pesticides during cultivation but must set maximum residue limits for certain chemicals.
Requirements During Delivery
1. Fresh Fruit and Vegetable Trade Provisions
The terms of export of fresh fruit and vegetables will depend on International Commercial Terms. These are rules that help Indonesian fruit exporters to understand the provisions of the importing country, including:
- The party is responsible for the cost of transporting goods, insurance, customs, and taxes.
- Pick-up and drop-off point.
- The party responsible for the goods at every stage of the delivery of fresh fruit.
2. Consignment Certification
Documents required by Indonesian fruit exporters to export fresh fruit include:
- Packing list
- Commercial invoice
- Purchase order document
- Insurance certificate
- Sender’s order
- Payment information
- Country of origin certificate (CoO), issued by the CoO Issuing Agency.
3. Export Certification
Indonesian fruit exporters must attach an export certificate before the commodity leaves the country of origin. You must apply for export certification to the Department of Industry and Trade in the respective Regional Government. Before applying, you will be asked to submit evidence such as documentation of inspection results, certificates of phytosanitary treatment, transfer certificates, and test results.
Market Requirements
1. Importing Country Customs Procedures
Some importing countries may provide Special Trading Zones in some of their geographical areas, so exporters need to check whether the export destination country has special customs procedures or not. Customs duty in some countries of import includes the cost of packing, shipping, insurance premiums, and service fees.
Import duties paid when the goods arrive at the destination market are also often accompanied by currency controls and additional taxes, such as a value-added tax. In addition, currency controls also apply in several countries where importing countries can freely convert local currency into foreign currency.
2. Permit Procedure at Importer Country Border
Commodities for the export of fresh fruit and vegetables can enter a country if they meet the requirements for a border permit for the destination country, either by air or by sea. Importing country authorities have a different set of clearance procedures, but generally include:
- Physical examination
- Sampling for laboratory tests
- Export certification assessment
Conclusion
Those are some of the requirements that you must meet as an Indonesian fruit exporter before exporting commodities. Ensure that your fresh fruit products meet all the needs of the importing country by submitting all necessary documentation to the importing country’s authorities.
