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Warehouse License – Who is it for and what are the benefits
Following the vast growth of manufacturing and e-commerce trading businesses in Indonesia comes a high demand for warehouses to facilitate the storage of the company’s supply. If you are looking to open an e-commerce business in Indonesia, then you should also consider putting a strategic warehouse for easy distribution on your checklist.
However, installing properly established warehouses in Indonesia will also require your business to fulfil certain legal compliance. According to Government Regulation No. 29/2021 on Trading Activity, a warehouse in Indonesia must complete one of the following classes:
- Class A: Closed Warehouse within the area of 100 m² – 1.000 m² and have 360 mᶟ – 3.600 mᶟ storage capacity
- Class B Closed Warehouse within the area of 1.000 m² – 2.500 m² and have 3.600 mᶟ – 9.000 mᶟ storage capacity
- Class C Closed Warehouse within the area of >2.500 m² >9.000 mᶟ
- Class D Closed Warehouse with no particular specifications – however, this type of warehouse must take the form of a tank or silo. It has 762 mᶟ or 400 tons of storage capacity
- Open Warehouse with at least 1.000 m² area with an unlimited storage capacity
Furthermore, a warehouse in Indonesia is required to have a TDG (Tanda Daftar Gudang) license, which declares that the warehouse would be safe for its environment. LetsMoveIndonesia handles your business license applications and ensures your business gets the right ones according to your need. Acquire your TDG License smoothly within the exact timeline with LetsMoveIndonesia.
Common Questions
Can a foreign-owned company open a warehouse in Indonesia?
Yes, any kind of entity that is established in Indonesia can have a warehouse.
Does the TDG license have an expiry?
No, as long as the warehouse is still intact and there are no changes to the warehouse, it can be used.
What would happen if I don’t have TDG for my warehouse?
You cannot operate your business and cannot legally use the warehouse for your business.
What commodities would commonly need a warehouse in Indonesia?
Usually Industrial business classification, wholesale trading, and any other kind of business classification that needs to store their products.
Steps to get your Warehouse Licenses with LetsMoveIndonesia
Make sure you have an established company according to Indonesian regulations.
Prepare all the required documents for the application
Applying for the license through OSS
The Government will then assess your application and notify of the verification.
Requirements
Business owners who wish to acquire a “Registered Warehouse License” or “Tanda Daftar Gudang” (TDG) have to register their storehouses with the corresponding mayors, regents, or governors. Documents required in order to be granted this license comprises of:
- Application letter
- Identity Card (KTP) (Photocopy)
- For Foreign Investors: Limited Stay Permit Card (KITAS) or VISA / Passport (Photocopy)
- Deed of establishment
- Proof of land rights and/or proof of lease
- SPPL
- IMB
- Approval from the neighbourhood, and;
- Environmental Permit
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