Import License Issues Hinder Indonesian Wine Companies

Members of the Indonesian Liquor Importers Association in early 2025 reported difficulties in selling their products due to the fact that liquor import licenses have not yet been fully issued.Only 9 of the 17 importer members are currently licensed, and the Association does not know the reason why the remaining 8 are not licensed. It takes only five working days to apply for a license through the trading system, as required, and the Association has sent a letter of complaint to the Ministry of Trade but has received no response. The license issue may lead to unfair competition and may also allow illegal imported liquor to enter the market. In addition the trend of demand for imported alcohol has slowed down since last year, linked to global and domestic economic uncertainty and a decline in the purchasing power of the population. Nonetheless, if the number of foreign tourist visits stabilizes, the market for imported liquor can still be sustained as it is positioned differently from local liquor in terms of brand and price. The sale of imported wine is heavily dependent on foreign tourists, and the current uncertainty over licenses poses a number of obstacles to the industry.