New Indonesian air cargo security rules risks EU ban and firm closures

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Electronics and garment exporters in Indonesia, together with SME logistics companies, could suffer delays or closures under new air cargo security rules due to come in on 31 May. The regulation requires an additional layer of cargo inspections, but players are concerned that the new screening process may not be EU-validated. It also involves moving the inspection area, which could cause delays. In addition, SMEs will now be required to have minimum capital of $1.93m, up from $15,500, which could threaten up to 90% of them, according to the Jakarta Post.