The Minister of Trade has issued the latest regulation on the export of forestry industrial products number 45/2020, enacted by the Ministry of Law and Human Rights on May 11, 2020, and immediately takes effect after its enactment. The issuance of Permendag number 45/2020 replaces the previous regulation Permendag number 15/2020.
The revocation of Permendag 15/2020 was carried out to ensure the export business in forestry industrial products and to implement the Voluntary Partnership Agreement between the Republic of Indonesia and the European Union on Forest Law Enforcement, Governance and Trade in Wood Products (FLEGT VPA) to the European Union, especially in connection with the use of Document V- Legal as a complementary customs document.
With the revoking of Permendag 15/2020, it means that Permendag 84/2016, which had been amended by Permendag 38/2017 on Export Provisions of Forestry Industrial Products, will remain in effect. Based on this provision, products such as pulp, plywood, woodworking, and furniture are required to include a V Legal document issued under SVLK in the export process.
Timber Legality Assurance System (SVLK) is needed by Indonesian timber exporters to ensure that all timber products that are distributed and traded have a clear and convincing legality status. In addition, with SVLK, the customers abroad do not suspect the legality of timber derived from Indonesia.
Forest management does not need to worry about questionable timber legality either. The existence of an SVLK certification will help the wood-based industrial sector to grow, because the legality of the source of wood raw materials will convince customers or buyers abroad.
SVLK Certification Process for Indonesian Timber Exporters
1. Fulfillment of Company Legality for Non Producer Exporters
• Deed of incorporation
• Business Trade License
• Company Registration Certificate
• Business Identification Number
• Tax Identification Number
• Having an agreement with TDI / IRT / craftsmen, non exporters who have SLK or DKP
2. Production and Fulfillment of Chain of Custody Documents (P.14 / PHPL / SET / 4/2016)
• Chain of custody SOPs
• Results of technical reports by surveyors
• Other documents (CITES)
3. Implementation of procedures
• Records and notes of filling operational forms for 3 months
4. SVLK audit
• Audit findings & CAR
5. Issuance of SVLK Certificates
• SVLK certificate
The Timber Legality Assurance System (SVLK) itself is a multi-stakeholder tracking system designed to ensure the legality of the source of timber distributed and traded in Indonesia. The SVLK was developed to encourage the implementation of applicable government regulations related to legal trade and circulation of forest products in Indonesia.
According to the time frame and document fulfillment requirements for the SVLK, the fastest SVLK audit is able to be conducted in 3 months after the Deed of Incorporation or Business Trade License or Business Identification Number is issued, and the certificate is issued within one month (maximum) after the closing audit meeting. During the first three months, the company must have records and reports on the application of existing procedures in the company.
How Cekindo can Assist
Applying for the SVLK may be a challenge if you are not familiar with the regulations and requirements. That is why Cekindo is here. Our team of certification experts can provide the support and assistance you need to secure the SVLK hassle-free.
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