COVID-19 Pandemic: The Continuation of Trade Activity amidst Indonesia Transitional Phase to the New-Normal
In order to maintain national economic stability amidst the unfolding COVID-19 pandemic, the Indonesian government has decided to allow the resumption of business operations in various sectors which includes the trade sectors.
Legal Frameworks: Our below executive summary refers to the Minister of Trade Circular Letter No. 12 of 2020 on the Resumption of Trading Activities during the Corona Virus Disease 2019 (COVID-19) Pandemic and the New Normal (“Circular Letter 12/2020”).
Main Keys on the Trade Activity amidst Indonesia Transitional Phase: We provide the following main keys on the Trade Activity amidst Indonesia Transitional Phase.
Scope of the Trading Locations: We refer to the Point 1 of Circular Letter 12/2020, the following trading locations are allowed to operate during the transitional phase:
- Traditional markets;
- Convenience Stores (Minimarkets, Supermarkets, Hypermarkets, Department Stores);
- Restaurants and Cafes;
- Pharmacies or Drugstores and Medical Appliance Stores;
- Malls or Shopping Centers;
- Restaurants in Rest Areas:
- Salons/Spas, Recreational/Tourism Sites:
- Certain Recreational Sites such as Zoos, Museums, Art Galleries.
(Collectively referred to as “Trading Locations”)
Requirements for the operational of Trading Locations: We note that MoT stipulates numbers of operational requirements to be implemented within the Trading Locations among others as follows:
- Ensuring that all workers have conducted rapid testing with a negative result of COVID-19;
- Assuring all workers and visitors to use masks, face shields, and gloves;
- Implementing social distancing in every working stage;
- Carrying out temperature screenings prior to the entering of Trading Location (body temperatures must be below 37.3°C);
- Maintaining the hygiene of all public facilities such as toilets, parking lots; and so forth.
(Collectively referred to as “Operational Requirements”)
Capacity Limitation on the Trading Locations: In addition to the implementation of strict health protocols and abovementioned Operational Requirements, Circular Letter 12/2020 stipulated that Trading Locations should also limit its capacity as elaborated on the below table.
Trading Location |
Remark |
Traditional markets |
30% |
Convenience store |
40% |
Restaurants and cafes |
40% |
Pharmacies and medical appliance stores |
40% |
Malls or shopping centers |
35% |
Restaurants in rest areas |
40% |
Other tourism spots |
50% |
Mandatory Trading Activities Reporting: We further note that the management of Trading Location shall periodically submit a report on the implementation of the aforementioned Operational Requirements to the Head of the Local COVID-19 Task Force and copied to relevant Trade Office.
The article above was prepared by Marshall S. Situmorang (Partner) and Aniendita Rahmawati (Associate).