Bali Discovery Tours: Homepage
Bali Hotels, Bali Villas and Bali News from balidiscovery.com
Home Bali Contact Bali Practicalities Bali News Bali Services Bali Transportation Bali Sports Bali Excursions Bali Villas Bali Hotels
Home · News · In the Line of Duty
Bali Hotels, Bali Villas and Bali News from balidiscovery.com
Bali Hotels
Bali Villas
Special Deals!
Packages
MICE Handling
Bali Excursions
Culinary - Dining
Guided Tour
Bali Spas
Bali Sports
Diving
Golf
Bali Transportation
Car Rental - Selft Drive
Private Jet Charter
Bali News
Bali Services
Bali Practicalities
Bali Contact
Bali Career
Home
 
Bali Update
Subscribe to our free weekly newsletter!
 
PATA header
PATA Gold Award 2007
Bali Update
PATA Gold Award Winner 2007
 
Bali Contact
Bali Discovery Tours
Komplek Pertokoan
Sanur Raya No. 27
Jl. By Pass Ngurah Rai,
Sanur, Bali, Indonesia

Tel:
++62 361 286 283

Fax:
++62 361 286 284

U.S.A. Fax:(toll free)
1-800-506-8633

U.K. Fax:
++44-20-7000-1235

Australian Fax:
++61-2-94750419

24h:
++62 812 3819724

Bali Discovery

SITE PATA ASITA
Bali News

In the Line of Duty

Indonesian Airlines Call on Government to Make Aircraft Spare Parts Duty Free


Bali News: Indonesia, INACA, Indonesia Air Carrier Association, Arif Wibowo, Emirsyah Satar, Budu Darmadi, Customs Duty on Aircraft Spare Parts
Click Image to Enlarge

(11/15/2013)

The Indonesian Air Carriers Association (INACA) is calling on the government to eliminate import duties for aircraft spare parts in order to make Indonesian airlines more competitive internationally reduce the need for foreign maintenance and repair services 

The chairman of INACA, Arif Wibowo, said that spare parts for aircrafts must all be imported. Therefore, in order to make Indonesian air carriers more competitive in the face of coming “open sky” rules, government support is needed to reduce the high cost of import duties for aircraft spare parts.

As reported by Bisnis.com, Wibowo, speaking at the office of the Minister of Industry on Monday November 11, 2013, said competing nations such as Malaysia and Singapore do not charge import duties on aircraft spare parts. Meanwhile, in Indonesia the customs duties for these items ranges between 5-7%.

Saying some 300 different aircraft components are currently imported to Indonesia, Wibowo said suggested the INACA members would be happy if as an initial step if the current list of items being charged duties could be reduced to 200 items.

“We do not hope for too much, perhaps the initial list (of dutiable spare parts) could be reduced to 200. The Minister of Industry, Mr. Hidayat, was positive in listening to our request to assist the national airline industry," said Wibowo.

Wibowo said that the cost of spare parts comprise an average 15% of the total cost of an airline. Thus, if 5% custom’s duties were eliminated this would have a major effect on reducing airline operating costs.

“If (these duties) we eliminated, the competiveness of the Indonesian air transportation industry would be enhanced,” said Wibowo.

Meanwhile, the CEO of Garuda Indonesia, Emirsyah Satar has lent his support to INACA’s call for the lowering or import taxes on aircraft spare parts. Satar said it is unfortunate that aircraft maintenance has to be done abroad. “There (overseas) there is not import duty (on spare parts), while if the work is done in Indonesia import duties apply. This is what was discussed with the Minister of Industry in order that funds don’t run abroad and so that Indonesian airlines can be competitive,” he explained.

The Director General of Industry for High Tech Businesses, Budi Darmadi, said his office would consider the request to reduce or eliminate duties of aircraft spare parts,

He said that those spare parts for which no domestic alternative part exists are those for which a reduction in duty could be considered, but in those cases in which spare parts are produced domestically no reduction in the import tariff can be entertained by the government.


© Bali Discovery Tours. Articles may be quoted and reproduced if attributed to http://www.balidiscovery.com.

       

 
Bali News by Bali Update
Subscribe to the Bali Update
Receive the latest news from Bali by email!



Our [Privacy Statement] explains how we handle the data you are providing.

 
Bali News by Bali Update
Explore the Archive of the Bali Update
Find related articles in our news archive!




or try to use Google Search :

Home · Bali Hotels · Bali Villas · Bali Excursions · Bali Sports · Bali News · Site Map · RSS

Bali News: More News
What’s New in Ubud?
Renewed Alaya Resort Ubud and Manisan Restaurant Now Open for Business
(9/25/2016)
Return to Sender
Singaporean Arrested Trying to Smuggle Drugs Through Bali’s Postal System
(9/25/2016)
Why the Chicken Crossed the Ring
Chicken in Cock Flight Sends Balinese Owner to Intensive Care with a Cut Artery
(9/25/2016)
Bali Beach Head in the Fight Against Polluted Oceans
2,500 Volunteers Join Coastal Clean Up of Bali Beached Organized by Bali Hotel Association
(9/25/2016)
A Lack of Chinese Characters
Bali Legislator Wants Punishment Imposed on Chinese Scuba Divers Who Deface Coral Reefs
(9/25/2016)
Bali Struggles with LGBT Travel Continues
Some Elements in Bali Take Strong Umbrage at Reports of Gay Pre-Wedding Photos Taken in Bali
(9/25/2016)
More Capacity Between Bali & Lombok?
Garuda Eyes Adding Seat Capacity Between Bali and Lombok
(9/25/2016)
Bali Beach Body Contact
Sheraton Bali Kuta Resorts Hosts Bali Beach Body Combat on Sunday, November 6, 2016, to Help UNICEF
(9/25/2016)
Bali and Beyond to Maumere
Garuda Indonesia Flies Four Times a Week Bali to Maumere, Flores
(9/25/2016)
In a Spanish Mood
Spanish-based Indonesian Pianist Ananda Sukarlan to Speak and Debut New Compositions at Ubud Writers and Readers Festival
(9/25/2016)
Feeling Ill? Call the ‘Boogie Man’
Bali Airport Provides Mini-Ambulance to Reduce Response Time in Case of a Medical Emergency
(9/25/2016)
Feeling for a Motherless Child
Moved by News Reports of a Motherless Child, Bali Governor Reaches Out to Help the Baby and its Single-Father
(9/25/2016)
All [News]!