Fate of Vaccine Import Incentives when Covid-19 Cases Slope - Ekonomi Bisnis.com

2022-05-27 21:35:44 By : Mr. Jeffery bai

Bisnis.com, JAKARTA - The emergence of Covid-19 which has become a pandemic in the last two years has prompted the Ministry of Finance to issue policies such as fiscal incentives for various businesses and of course the handling of Covid-19.Providing incentives in the hope that domestic needs can be met and commodity prices will return to stability.The Ministry of Finance provides at least four customs and excise facility schemes for the import of medical devices and vaccines in the context of handling Covid-19.The Directorate General of Customs and Excise (DJBC) explained that the exemption from importing vaccines is based on the provisions of Law no.2/2020 concerning Stipulation of Government Regulation in Lieu of Law No.1/2020 concerning State Financial Policy and Financial System Stability for Handling the Covid-19 Pandemic and/or in Facing Threats That Endanger the National Economy and/or Financial System Stability.In Presidential Decree No.9/2020 concerning Vaccine Procurement and Vaccination Implementation in the context of Combating the Covid-19 Pandemic, DJBC states article 12 that the government can provide fiscal incentives in the form of taxation, customs and excise facilities on the import of vaccines, vaccine raw materials and equipment needed in the production of Covid vaccines. -19, as well as equipment for the implementation of vaccinations."Based on this basis, the import of vaccines is given customs and tax incentives according to PMK 188/PMK.04/2020," said Director of Communication and Guidance for Customs Service Users Nirwala Dwi Heryanto, Wednesday (27/4/2022).Along with the high rate of vaccination and the decline in transmission, it was recorded that as of April 26, 2022, there was a decrease in cases of 3,512 so that there were 9,739 active cases remaining.This also makes the need for vaccines to decrease or not as much as in early 2021 when the vaccine starts to run.So, will the import facilities for vaccines and medical equipment be provided in the future?Nirwala said that the provision of incentives would continue by looking at the condition of the community and the government's plans in handling Covid-19."The provision of customs incentives will be given by taking into account the dynamics that exist in the community and the government's plan, whether to continue implementing the vaccination program or not," said Nirwala.In the Customs and Excise Information (IKC), it was recorded that from January 1, 2022 to April 22, 2022, the facility had been granted as much as Rp. 1,014 billion.This value consists of vaccine import facilities of Rp. 831 billion and medical equipment import facilities of Rp. 183 billion with a total import of vaccines of 53.48 million doses of finished vaccines.Of the total realized value, imports are still dominated by vaccine commodities (82.2 percent) followed by medical devices (17.8 percent) such as drugs, PCR and oxygen (including oxygen cylinders) as well as respiratory therapy devices (oxygen concentrators, generators, and ventilators). ).“Continuing the provision of incentives also looks at the provisions that underlie the enactment of the PMK, namely Law no.2/2020 and Presidential Decree No.9/2020, if these provisions have been revoked, the provision of facilities can be stopped," continued Nirwala.Epidemiologist from Griffith University Australia, Dicky Budiman, assessed that although the number of imports of Covid-19 vaccines decreased as cases declined, Indonesia would still need imports for the next two to three years.Dicky sees that currently Indonesia cannot stand alone without imported vaccines, even though the Red and White Vaccine (VMP) is being developed and is projected to be used in the middle of this year."In my observation, in the next three years we will still need imported vaccines.However, between the needs and the availability that can be supplied, let's say the country is Sinovac, it's not comparable," said Dicky, Tuesday (26/4/2022).According to Dicky, it took a long time for the VMP research team because they had to comply with global regulations, not only national ones, one of which was related to intellectual property rights.Based on data from the Central Statistics Agency, in 2021 there will be 30.83 million early childhood children.The composition of early childhood based on the age group 5-6 years is 29.28 percent or about 9 million children who can be vaccinated in 2022.In the age group 1-4 years, there are 57.16 percent or about 17.6 million people.This value shows that in the next few years alone, it means that there is a need for doses of 52.8 million (dose 1.2, and booster) for this group of children.Dicky also predicts roughly based on the current vaccination rate."Roughly speaking, if you are under 15 years old, it's already around 50 million.If it's just around 30 million, in one year it's 3 doses, so it means that for the 30 million group alone, 90 million doses are needed,” said Dicky.While the projections from DJBC, this year there will still be the provision of vaccine import facilities worth Rp. 4.6 trillion."Based on projections, it is estimated that by 2022 there will be an import of 299.9 million doses of vaccine with a total facility of Rp. 4.6 trillion," said Nirwala.Spokesperson for the Covid-19 Vaccination from the Ministry of Health, Siti Nadia Tarmizi, confirmed that the import of vaccines would return this year, but her office was unable to provide an exact figure.“We already have a calculation of the 2022 [vaccine] needs and there is a funding mechanism, either grants or bilaterally.For the type of vaccine, it will depend on our diplomacy with the granting country," said Nadia, Tuesday (26/4/2022).Researcher from the Institute for Development of Economics and Finance (Indef) Ahmad Heri Firdaus looks to the future, when it comes to endemic and higher vaccination rates will reduce the need for vaccines which will also reduce the number of fiscal incentives for vaccine imports."So when the time comes, it's really not a pandemic, then maybe it will return to normal, maybe later there will be rules regarding imports again," said Heri, Tuesday (26/4/2022).Heri hopes that the smaller budget for the health sector will have an impact on the government's agenda in accelerating the previously delayed agenda."If you have recovered, what is the support or assistance for, the budget is used again to continue development agendas that have been delayed, such as infrastructure.The important thing is that we can reduce the deficit," said Heri.The government does not only depend on imports, but also optimizes the potential of domestic medical products and medicines.The Minister of Investment/Head of the Investment Coordinating Board (BKPM) Bahlil Lahadalia said that he would begin to focus on encouraging investment in the health sector."Alhamdulillah, [investment] has started to appear to be increasing and has reached Rp169 trillion in the first quarter.This will be our focus going forward so that we can replace them with domestic products to regulate the trade balance," said Bahlil at the First Quarter 2022 Press Conference on Investment Realization, Wednesday (27/4/2022).Check out other news about the topic of this article, here:Join and get analysis of economic and business information via your email.