Indonesia Country Profile
Customs Administration
Individual Corruption
According to Transparency International's Global Corruption Barometer 2010, more than one-tenth of the surveyed households who had contact with the customs administration in 2009, report to have paid a bribe.
Business Corruption
Business executives from Transparency International’s Bribe Payers Index 2008 perceived the customs administration to be very corrupt. This is also illustrated in the World Economic Forum Global Enabling Trade Report 2010, in which business executives rate the transparency of the border administration, in relation to irregular payments in export and imports, as relatively low. This constitutes a competitive disadvantage for the country.
According to the Heritage Foundation 2011, import and export licensing requirements and restrictions, non-transparent and inconsistent regulations as well as customs valuation that can be inconsistent and prone to corruption, all add to the cost of trading across borders. Nearly one out of five of the surveyed business executives from the World Bank & IFC Enterprise Surveys 2009 report that they expect to give gifts in order to get an import licence.
Political Corruption
According to a 2009 news article by The Jakarta Post, an official at the Tanjung Priok Seaport and Customs Office in North Jakarta, Agus Syafiin Pane, in March 2009, was tried for receiving bribes and extorting money from businesspeople to speed up imports between 2007 and 2008.
Frequency
The World Bank & IFC: Doing Business 2011:
- A standard export shipment of goods takes an average of 20 days and 5 documents at a cost of USD 704 per container.
- A standard import shipment of goods takes an average of 27 days and 6 documents at a cost of USD 660 per container.
Transparency International: Global Corruption Barometer 2010:
- 15% of households who had contact with the customs administration throughout 2009 report to have paid a bribe.
World Economic Forum: The Global Enabling Trade Report 2010:
- Business executives give the transparency of border administration (pervasiveness of undocumented extra payments or bribes connected with imports and exports) in Indonesia a score of 3.1 on a 7-point scale (1 'non-transparent' and 7 'transparent').
- Business executives give the efficiency of customs administration (burden of customs procedures) in Indonesia a score of 3.7 on a 7-point scale (1 'extremely inefficient' and 7 'extremely efficient').
The World Bank & IFC: Enterprise Surveys 2009:
- 19.5% of the companies surveyed expect to give gifts in order to get an import licence.
Transparency International: Bribe Payers Index 2008:
- Business executives give the customs a score of 3.9 on a 5-point scale (1 'not at all corrupt' and 5 'extremely corrupt').





