19 June 2026

On 1 June 2026, the Government brought into effect Government Regulation No. 24 of 2026 on Governing Strategic Natural Resource Commodity Exports Through a State-Owned Enterprise, issued on 20 May 2026 (“Regulation 24”).

Regulation 24 introduces direct state management of strategic natural resource commodity exports through a newly established state-owned enterprise designated as the sole entity responsible for managing such commodities. This mechanism aims to ensure the optimal management of strategic natural resource commodities while maintaining supply stability, strengthening national economic resilience, enhancing value addition, supporting sustainable national development, and promoting the utilisation of natural resources.

Scope and phased designation

Regulation 24 defines strategic natural resource commodities as those designated by the Government based on considerations of national interests, economic stability, domestic needs, and/or the strategic management of natural resources (“Strategic Commodities”).

Strategic Commodities are commodities that affect the livelihoods of the public and the state management of Strategic Commodities serves the following functions:

  • Allocation, which applies to goods and/or services derived from state-controlled natural resources that are to be utilised for the greater prosperity of the people;
  • Distribution, which applies to goods and/or services that are fundamentally needed by society but which, either at a particular time or on a continuing basis, cannot be adequately supplied by the market; and/or
  • Stabilisation, which relates to goods and/or services that must be provided in the public interest, such as those in the fields of defence, security, monetary affairs, and fiscal affairs, and which require specialised regulation and supervision.

Regulation 24 provides for the phased designation of Strategic Commodities. In the initial phase, the designated commodities are coal, palm oil, and ferroalloys. The Minister of Trade will further regulate these commodities and determine subsequent phases for the designation of other Strategic Commodities.

Authority and responsibilities

The Government appoints the state-owned export enterprise, PT Danantara Sumberdaya Indonesia (“DSI”), as the sole entity authorised to export Strategic Commodities.

Strategic Commodities may be exported only by DSI, acting either as the owner of the commodities or as the sole intermediary. However, this requirement may be waived for business entities that hold a contract or agreement with the Government containing provisions that deal with matters including the following: (i) investment; (ii) divestment; and (iii) domestic processing and/or refining.

DSI manages the export of Strategic Commodities by: (i) controlling exports, including through technical verification and traceability measures; (ii) regulating export transportation and insurance; and/or (iii) implementing other mechanisms in accordance with applicable laws and regulations. DSI is also responsible for determining the selling price of Strategic Commodities and may establish a reasonable margin.

Phased transfer of export execution

The transfer of export execution to DSI will be implemented in the following phases:

  • From 1 June 2026 up to 31 December 2026, exports may only be conducted through DSI. During this phase, business entities must report and submit export documents, sales contracts, and other relevant documents to DSI. They must also provide any additional data and information required by DSI through systems integrated with DSI, including the Customs Excise Information System and Automation (CEISA), the Indonesia National Single Window System (SINSW), the Trade Information System (INATRADE), the Real-Time Integrated Foreign Exchange Monitoring Information System (SiMoDIS), and/or the Minerba Online Monitoring System (MOMS).
  • After 31 December 2026, exports may only be conducted by DSI. By that date, responsibility for the execution of exports is expected to be fully transferred to DSI.

Transitional policies

Sales contracts entered into before 1 June 2026 that remain in effect are subject to evaluation by DSI.