US Requests Additional Panel on Indonesian Import Licensing Restrictions

The U.S. asked the World Trade Organization (WTO) Dispute Settlement Body to establish a panel to evaluate the legality of Indonesian licensing restrictions on horticultural products, animals, and animal products, U.S. Trade Representative (USTR) Michael Froman said on May 8. The WTO previously established a panel on the matter in April 2013, after bilateral consultations failed to broker compromise (here). The U.S. is now requesting additional consultation to address recent changes to the licensing requirements, said the Office of the USTR.

“Indonesia revised its import licensing requirements in response to action by the United States at the WTO. Unfortunately, the revised system still appears to breach WTO rules and restrict U.S. agricultural exports,” said Froman. “We will continue to press Indonesia to bring its import licensing system into compliance with WTO rules so that U.S. farmers, ranchers, and businesses are able to have the access to Indonesia’s market that we negotiated in the WTO.” The U.S. is specifically challenging restrictions on non-automatic import licensing that include unreasonable and discriminatory pre-shipment inspection requirements and mandatory designations from the Trade and Agriculture ministries, among other barriers.