Institute for Research on Economics and Society – Faculty of Economics and Business – University of Indonesia

Looking at the 'Jastip' Business from a Business Climate Perspective – Trade and Industry Brief, May 2024

jastip

Along with the increasing ease of mobility between countries, both due to the convenience of visas and the availability of international flight ticket options at affordable prices, a type of service known as entrustment services or often abbreviated as 'jastip' has developed. One of the recent jastip-related incidents that attracted attention was the destruction of 2.564 Milk Bun cold rolls from Thailand by Customs in March 2024, which was carried via Soekarno-Hatta Airport by 33 passengers. How is this jastip business actually run? Does the government need to regulate this business?

LPEM's Trade and Industry Brief this May discusses the jastip business phenomenon, not only from a regulatory perspective for imposing taxes and import duties, but also how this business can be used to boost the national economy. This edition also discusses Indonesia's International Trade Performance in April which recorded a surplus of USD3,56 billion, which was the 48th consecutive month of surplus. The information used in this policy brief was obtained from ITC Trademap, BPS, scientific journals, interviews with jastip entrepreneurs, and other sources.

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