Before the goods enter Indonesia, there is an initial red line inspection by customs first. How to pass red line inspection at customs in Indonesia?
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What is Red Line in Customs Clearance?
Exporters and importers will often hear this term when they are inspected at customs. The term red line at custom in Indonesia refers to the physical inspection and documents, as well as payment for imported goods.
If everything is in order, the goods can come out of customs.
This red line inspection by customs has several purposes. One is to prevent illegal and dangerous goods from entering Indonesia. It is also to prevent fraud and crime by irresponsible parties.
Reasons Your Goods Gets Red Line
Goods that need to go through the red line procedure at customs in Indonesia usually have certain reasons, such as:
1. Restricted and Prohibited Goods
First, your goods will get red line inspection if it belongs to restricted and prohibited goods. In Indonesia, this is commonly referred to as lartas.
These lartas are governed by very strict regulations. You can read a list of goods that are affected by lartas here.
Usually, for prohibited items, you need to attach some additional documents such as a phytosanitary certificate, iron license, SNI, surveyor’s report, etc.
For prohibited items like guns and sharp objects, it is clear that customs will arrest them immediately. Unless the item has documentation and recommendation approval from the relevant department in Indonesia.
2. Differences in the Goods Description
The second reason is the differences in the description of the goods. This is happening when the content of the description of the goods in the bill of lading does not match the content of the goods.
In this case, customs will immediately conduct an inspection to verify the actual content of the goods.
3. Undervalue
The third reason is when you value the goods too low compared to the actual commercial value of the goods.
For example, the goods are worth 500 USD. But the written value is only 20 USD, or even there is no trade value.
4. Incompatibility of the Consignee
The next reason that can cause the goods to go into the red line is the mismatch of the consignee’s name. If you have a mistake in a consignee’s name, you need to do redress first.
Goods Stuck Indonesian Customs After Red Line Inspection
When Your Goods get stuck after red line inspections, these are the things you can do.
1. Ask Customs
First, you can ask customs directly why your goods are on the red line. Then prepare what needs to be done to get the goods out.
2. Call the Freight Forwarder/Shipping Company
Second, contact the courier or delivery company. If there is an error in the delivery details, this also needs to be checked with the delivery company.
3. Prepare Supporting Documentation.
Besides that, customs will usually require you to provide a declaration that the goods are for personal use and not for sale. However, this must also be approved by customs.
How to Pass Red Line Inspection in Indonesian Customs?
If your goods fall into the red line inspection, you can do the following to prevent your goods from being detained:
1. Check The Necessary Documents
First of all, you must check the conditions of the goods that you want to import into Indonesia.
To check this, you should first know the HS code of the goods. For easier searching, you can access it on kickrate’s HS code explorer.
After clicking on our hs code explorer, click on the item you want to search for. For example, below is a picture of HS code of cotton seed.
Then, look at the Restrictions and Prohibitions section. To import cotton seed into Indonesia, you must attach a KT (Karantina Tumbuhan) or phytosanitary certificate to pass the customs red line.
2. Pay The Taxes
Second, ensure that all the taxes’ payment is a must. For instance, importing cotton seed to Indonesia, you need to pay 5% of the import duty. To calculate instantly, use our Indonesia import tax calculator for free.
3. Complete a Proper Description
Third, make sure that all item descriptions are appropriate. Starting from the content of the goods, the quantity, the weight of the goods, etc.
This also applies to the details of the consignee. Make sure there are no data errors or you will have to redress if that happens.
4. Note The Market Value
Fourth, double-check the value of the goods. Do not under-value, over-value, or not report any value at all if it is not true.
5. Ask The Customs Brokerage for Help
Last but not least, you can ask for help from a customs broker in Indonesia like Kickrate.
We can provide you with the necessary assistance and information to help your goods cross the red line. For more information, feel free to contact us.
