Government Relaxes Ban and Restriction Policies (Lartas) on Aircraft Spare Parts

March 10, 2024, 11.40 AM  | Reporter: Leni Wandira
Government Relaxes Ban and Restriction Policies (Lartas) on Aircraft Spare Parts

ILUSTRASI. Workers carry out maintenance on Lion Air aircraft at the Batam Aero Technic hangar located at Batam's Hang Nadim Airport, Wednesday (14/8). Lion Air Group is collaborating with Garuda Indonesia to build a maintenance center and aircraft maintenance, repair, and inspection (MRO) facilities in Batam with a total investment of IDR 6.3 trillion. TRIBUN BATAM/ARGIANTO DA NUGROHO

AVIATION INDUSTRY - JAKARTA. The Ministry of Trade has relaxed the policy of prohibition and restriction (lartas) on spare parts for the aircraft workshop industry or maintenance, repair and overhaul (MRO), and flight operators.

Director of Import at the Ministry of Trade, Arif Sulistiyo, explained that this relaxation is a form of full support from the Ministry of Trade for the Proud to Tour in Indonesia (BBWI) program. 

The government hopes that this policy can help to reduce the price of airplane tickets to increase tourism interest.

"One way to attract tourists is by lowering the price of airplane tickets through the ease of procurement of aviation spare parts for flight operators," said Arief in his official statement received by KONTAN, on Friday (8/3).

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Meanwhile, the relaxation applies in line with the issuance of the Minister of Trade Regulation Number 3 of 2024 concerning Amendments to the Minister of Trade Regulation Number 36 of 2023 concerning Import Policy and Regulation. 

"Minister of Trade Regulation Number 3 of 2024 was promulgated on March 7, 2024, and will take effect on March 10, 2024," he explained.

Because the cost of overhaul and aircraft repair contributes about 16.19% of the price of airplane tickets, number two is the cost of using avtur fuel which is around 35.76 percent.

According to Arif, the relaxation in question falls into the category of exceptions for Airplane Spare Parts and Equipment for the needs of the Air Transport Business Entity or Aircraft Maintenance Organization, which are imported by the Air Transport Business Entity or Aircraft Maintenance Organization.

"Minister of Trade Regulation Number 3 of 2024 was issued after many related ministries held a series of meetings to discuss proposals from the Indonesian aircraft association, namely the Indonesia National Air Carriers Association (INACA) and the Indonesian Aircraft Maintenance Services Association (IAMSA)," he explained.

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Furthermore, he said, both associations stated that currently, civil aviation operators in Indonesia have a fleet of 557 aircraft. 

Of this number, about 200 aircraft need repairs, while the fulfillment of aircraft maintenance spare parts is still dominated by imports by 93 percent.

“The ability of air transport service providers and air logistics costs greatly depend on the speed of procurement of aircraft components so that the association proposes that the import of aviation spare parts get relaxation or exemption from import restrictions,” said Arif.

For information, BBWI is a government program launched on December 13, 2022, and is commanded by the Coordinating Ministry for Maritime Affairs and Investment. 

BBWI is a collaborative program of the government, state-owned enterprises, associations, and the private sector through strengthening campaigns, integrating tour packages, providing affordable accessibility, and implementing sustainability aspects. 

Editor: Syamsul Azhar

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