Indonesia pushes back scrap exporter registration deadline

ISRI communicated difficulties to the nation’s government regarding the process and the tight deadline.

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October 16, 2020

The Washington-based Institute of Scrap Recycling Industries (ISRI) says it has learned that Indonesia has postponed the implementation date of its registration process for companies that export scrap to that nation. The new deadline is Jan. 1, 2021, according to ISRI, while the original one had been Oct. 1 of this year.

An Oct. 15 notice from ISRI to its members says the process “has not been without complications” and indicates the association has “sent several letters to Indonesian government officials requesting that this process be delayed” while changes or improvements can be undertaken.

ISRI states, “We appreciate that the government has taken this decision, as it will allow scrap to continue to be traded while a more efficient – and thus, useful – system is implemented.”

ISRI has obtained a letter from Switzerland-based Cotecna Inspection SA that says in part recycling companies may confront delays in booking inspections for Indonesia-bound scrap. “ISRI recommends that members adhere closely to all requirements for quality to ensure scrap trade continues without concerns,” states the association.

The Cotecna letter also indicates that any scrap shipments made before the new Jan. 1 deadline “must arrive at the port of destination in Indonesia no later than Feb. 28, 2021.”

In addition to considerable recovered fiber imports, Indonesia imported 53,700 metric tons of aluminum scrap shipped from the United States in the first seven months of 2020, according to U.S. Census Bureau figures. In the first five months of the year it received 50,000 metric tons of ferrous scrap from the U.S.

Michael Arcieri, sales manager at Ekman Recycling, is sharing about this topic during the Paper & Plastics Recycling Conference International (PPRCi), which airs Oct. 20-22. When the panel discussion for the PPRCi took place the first week of October, this registration deadline had not changed from Oct. 1.

“When we had our panel discussion, just about all recycled fiber shipments had been halted to Indonesia due to complications pertaining to export registration requirements, which I pointed out,” Arcieri wrote Recycling Today in an email. “The Indonesian government has since postponed the implementation of this export registration requirement to Jan. 1, 2020, to sort out these ongoing complications.”

Arcieri writes that “material is flowing again,” which is a critical difference that PPRCi attendees should be aware of.