The Indonesian Trade Minister Zulkifli Hasan said the value of Indonesia’s digital commerce or e-commerce transactions in 2023 is estimated to have reached Rp533 trillion (around US$34.35 billion)
Hasan conveyed the information during a presentation on the Ministry of Trade’s 2024 Outlook in Jakarta on Thursday.
According to the ministry, the total value of digital commerce transactions in 2022 was recorded at Rp476 trillion (around US$30.68 billion), while in 2021, it stood at Rp403 trillion (around US$25.97 billion).
He said that the increase in Indonesia’s digital commerce transactions in recent years has shown that the sector has enormous potential to be developed.
“In recent years, e-commerce has shown great potential in its contribution to the economy,” he added.
To support the growth potential of digital commerce, the ministry has issued the Minister of Trade’s Regulation Number 31 of 2023 concerning business licensing, advertising, coaching, and supervision of business actors in commerce via electronic systems.
The regulation regulates the separation between social commerce, e-commerce, and social media. The regulation also stipulates a minimum price of US$100 per unit for finished goods from abroad that can be directly sold by traders in Indonesia via cross-border digital commerce platforms.
In addition, the government has issued a positive list, namely a list of goods that are allowed to enter Indonesia through digital commerce platforms, such as books, music, film, and software.
Foreign traders are also required to include proof of halal certificates, comply with Indonesian standards, and include labels in the Indonesian language.
The minister underlined that the regulation aims to protect domestic trade.
“The advancement of e-commerce should not be detrimental to us. However, we are an open country; we do not prohibit it, but we regulate it. Yesterday, e-commerce was regulated so as not to harm MSMEs (micro, small, and medium enterprises) and domestic industry,” he explained.
