The foreign trading representative office acting as trading agent and/or manufactur agent is allowed to carry out activities as follow:
- to introduce and develop marketing of th goods produced by the father company abroad and to provide information or guidelines for using or importing the goods to the user in Indonesia
- to conduct market research and selling supervisory in Indonesia on behalf of its parent company
The trading representative office and/or manufactur agent is not allowed to conduct any trading and trade transaction, either in the initial level until completion level e.g apply for tender, signing contract, claim settlement etc.
The foreign trading representative office acting as buying agent is allowed to carry out following activities :
- to conduct market reseacrh over the goods needed by parent company and to connect an provides informationas well as guidelines on hiw to export to the national company.
- to close the contract to and on behalf of the parent company in the frame of export.
Requirements to set up this kind of representative office are as follow:
- Letter of appointment made by parent company includes the name of chief of representative office, line business, time frame or validity of its appoinment letter.
- Statement Letter that the chief representative will not conducted any other activities other than related to the representative office activities.
- Letter which describing about the parent company includes the name of the company, date of establishment, legal entity form, address and line business
- Working plan
- Letter of Intent
- Letter of Reference
- Letter Model TA00 from Department of Manpower
- Curriculum Vitae
- Copy of Passport for the proposed Chief of Representative
- To pay deposite as chief of representative in the amount of IDR 5000.000,- for foreigner and IDR 1000.000,- for Indonesian.
The proces to obtain approval from the Ministry of Trade will take approximately one month. Once the approval from BKPM is obtained, some supporting legal document should also arranged. Other supporting legal documents are company registry (TDP) Legal domicile (SKDP) and tax identity number (NPWP). The whole process is estimately accomplished within 2-3 months.
