Sunday, 7 July 2013

SLVK NOW A SYMBOL OF CREDIBILITY



The Wood Legality Verification System [SLVK] managed by the ministry of forestry now had high credibility internationally. “Consumers believe in our accountability. Evidently as soon as we put SLVK in effect our export of wood soared high” Dwi Suharto, Director of forest Yields Marketing and Processing, ministry of forestry, said on Tuesday [14/5].
               
The problem faced by the business world in the regions today was application procedure for obtaining SLVK. The issuances of documents were the responsibility of the regional government and apparently the cost of documenting varied with each region but they were mostly costly and posed as burden to businesspeople.
               
“We will make special approaches to regents and mayors in areas where wood processing abounds. We will insist to ease application procedures. With SLVK, wood traders who previously never bothered to apply for SLVK are now applying for SLVK. Provincial authorities should appreciate their goodwill” he said.
               
The ministry of internal Affairs and the ministry of industry would be involved in the process so all may go well. This was stated by Dwi in response to the grievances expressed by the Association of Indonesia furniture and handicraft producers [Asmindo]. Asmindo reported that the cost needed to obtain SLVK might come to Rp60 to Rp70 million. Swelling of cost occurred at local government level.
               
The permit issued at the local government’s level included environmental management effort [UKL], environmental monitoring [UPL], disturbance management permit [HO] Rp10 million environmental permit Rp20 million.
               
As the cost was too high for small operator, Asmindo had set up Asmindo certification center. The government was in no condition to reduce SLVK cost for small operators, but Asmindo had requested exemptions for small industry.
               
Besides paying locakl authorities, businesspeople must bear 40% sales tax for luxurious goods. This was not to mention a quarantine obligation which was also a heavy burden for business people. (SS) 



Business News - May 17,2013  

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