Indonesia paves the way for a 0% tariff rate for tuna exports to Japan

Indonesia is offering a 0% tariff rate for tuna exports to Japan under the revised IJEPA, boosting competitiveness and raising expectations of becoming the market leader in Japan.

The Indonesian Ministry of Maritime Affairs and Fisheries is actively supporting seafood processing units (UPIs) to meet the conditions for applying a 0% export duty rate on tuna, skipjack tuna, and mackerel exported to the Japanese market under the revised Indonesia-Japan Economic Partnership Agreement (IJEPA).

Mr. Machmud, Acting Director-General for the Department's Marine and Fisheries Product Competitiveness Enhancement, said the tariff reductions were one of the key outcomes of the revised IJEPA. “We appreciate that the revised agreement has met Indonesia’s interests, including the elimination of four tariff lines on processed tuna and skipjack tuna products,” he said.

According to Mr. Machmud, before the IJEPA was amended, Indonesian canned tuna and skipjack tuna products, as well as other non-canned processed products exported to Japan, were subject to tariffs of up to 9.6%.

Currently, Indonesia ranks third in exporting processed tuna products to the Japanese market, with a value of US$30.28 million. Notably, Indonesia's compound annual growth rate (CAGR) is 13.82%, higher than Thailand (12.12%) and the Philippines (6.31%).

"With a 0% tariff, Indonesian tuna and mackerel products will be more competitive. We are optimistic that Indonesia can rise to the number one position in the Japanese market," Machmud emphasized.

He stated that the Ministry of Maritime Affairs and Fisheries is preparing to issue a circular approving the IJEPA, which will clearly stipulate the registration procedure for obtaining a 0% tariff code for processed tuna and mackerel products (excluding canned products), under the Japanese Harmonized System (HS) codes 1604.14.091 and 1604.14.099.

According to regulations, seafood processing units exporting products under the aforementioned HS codes must register with the Ministry of Maritime Affairs and Fisheries to benefit from preferential tariffs.

The amended IJEPA Protocol was signed by the Indonesian Minister of Trade and the Japanese Minister of Foreign Affairs in August 2024. Currently, tuna and skipjack tuna are Indonesia's second-largest seafood exports, accounting for approximately 17% of the country's total seafood exports.

Source: VTV