RESTRICTEDWORLD TRADE
ORGANIZATIONG/STR/Q1/IDN/8
17 May 1999
(99-1981)
Working Party on
State Trading EnterprisesOriginal:  English
STATE TRADING
Reply to Question posed by AUSTRALIA1
concerning the New and Full Article XVII Notification of INDONESIA2
The following communication, dated 10 May 1999, has been received from the Permanent
Mission of Indonesia.
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Q. Would Indonesia please clarify the activities of Badan Urusan Logistik (BULOG) in
regard to rice, as it is Australia's understanding that BULOG still acts as a monopoly importer
of rice.
Reply
In the Indonesian notification G/STR/N/4/ IDN dated 16 November 1998, Indonesia stated
that, with the issuance of the Presidential Decree number 19/1998 dated 21 January 1998 and the
Decree of the Minister of Industry and Trad e number 439/MPP/Kep/9/1998 dated 22 September 1998,
Badan Urusan Logistik  (BULOG) is no longer the sole importer and/or exporter of rice, sugar, wheat
and wheat flour, soybean, and garlic.  Therefore, BULOG is no longer granted exclusive or special
privileges under the meaning of Article XVII of the GATT 1994.
This policy implies that rice imports can be  done by any enterprise including BULOG itself,
which is to follow market mechanism.
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1 G/STR/Q1/IDN/7
2 G/STR/N/4/IDN