Information emerging from last week’s 2nd Indonesia Yacht Forum suggests that Indonesia has some key issues to address in terms of making it more attractive to superyachts. The forum was held on Friday as part of the third edition of the Indonesia Yacht Show held at Batavia Marina in Jakarta.

A presentation from the Indonesian Customs Authority highlighted the fact that an initiative to amend the processing of documents for the Indonesian Cruising Permit (CAIT) is now underway.

However, Indonesian citizens importing new yachts into the country are still burdened with a 90% rate of tax – 5% import duty, 10% VAT and a 75% standard import fee. The latter was increased in recent months from a flexible rating structure with rates according to the type of yacht. A sailing yacht, for example, used to carry a 40% charge.

It does not matter which flag the yacht is registered under. However, only Indonesian-flagged yachts can perform yacht chartering in the country.

IBI is aware that Indonesia is keen to attract more superyachts and smaller yachts to visit the country. A presentation to the Singapore Yacht Conference in April highlighted this, but mainly focused on the speeding up of CAIT processing by making use of an electronic system.

The presentation also confirmed that visiting yachts not only need a CAIT but are also required to complete the temporary importation regulation. This regulation does not carry any cost burden and allows yachts to stay in the country under the arrangement for two or three years.

IBI is aware that negotiations are currently in progress between government agencies in such areas as tourism, and various yacht sector stakeholders, to try and introduce a more flexible approach for visiting yachts. The talks also relate to the opening up of opportunities for foreign-flagged yachts to potentially carry out charter activities in Indonesia. But on the basis of the forum presentations, there is still some way to go.

As for the show itself, it is small but actively represents the market and is a good means of promoting the marine lifestyle and the enthusiasm of Indonesia to expand its marine tourism industry.

Among the exhibitors were local dealers representing Sunseeker, Princess, Majesty Yachts (Gulf Craft) and Cranchi. The largest yacht at the event was the 32m Majesty105.

Azimut was due to exhibit with five yachts from 12.2m-26.2m (40ft-86ft) but withdrew at the last minute to run its own marketing event away from the show.

Topics