IATA criticizes Indonesia’s new cargo regulation

IATA has raised its concerns about a new regulation on air cargo and supply chain safety, saying it could reduce the competitiveness of Indonesia’s air freight.


airport Albert Tjoeng IATA Indonesia Jakarta No. 32/2015 safety regulation Transportation Ministry


The International Air Transport Association (IATA) has raised its concerns about a new regulation on air cargo and supply chain safety issued by the Indonesia’s Transportation Ministry, saying it could reduce the competitiveness of Indonesia’s air freight.

The new regulation, No. 32/2015, requires additional layers of cargo inspections at international airports that will create additional costs. Logistics companies are now required to have their cargos screened by regulated agents in Line 2 (unrestricted) areas at airports before being moved to the Line 1 (secure) areas.

Albert Tjoeng, assistant corporate communications director for IATA Asia-Pacific, told The Jakarta Post: “There is little confidence in the new policy because of the short deadlines and the few clarifications on how the premises of the regulated agents [the designated security inspectors] will be secured. So, airlines will need to screen all cargo a second time at the airport.”

“This will add costs and handling times and actually reduce the competitiveness of Indonesia’s air freight — the opposite goal of what Indonesia is trying to achieve when it claims that it aims to remove bottlenecks,” he added.