Regulation Causes Problems for MSMEs
The new regulation on e-commerce will cause problems for micro, small and medium businesses. Without care, the policy could kill industries that have grown rapidly in recent years.
JAKARTA, KOMPAS -- Government Regulation (PP) No. 80/2019 concerning trade through the electronic system (e-commerce) is intended to create equality between online and offline businesses. However, a number of provisions in the regulations that have come into force since they were promulgated on Nov. 25 could actually create difficulties for micro, small and medium enterprises or MSMEs, and have the potential to hamper the development of online trade, or e-commerce.
Businesses referred to in the regulation include every individual or business entity, in the form of a legal entity or not a legal entity, as well as domestic and foreign players.