The distribution of alcohol within Indonesia is governed by a unique regulatory framework shaped by its diverse cultural landscape. Although not officially prohibited, alcohol is heavily restricted and regulated in Indonesia. Anyone wanting to make, sell, or distribute alcohol needs the proper licenses to stay on the right side of the law.
Indonesian law mandates that businesses involved in the manufacture, distribution, or sale of alcoholic beverages must obtain an Alcohol License. License type is determined by the nature of the business (production, distribution, or retail) and the specific alcoholic beverages handled.
To regulate the alcoholic beverage industry, the Ministry of Industry implemented a new policy, MOI Regulation 17/2019: Control and Supervision of the Alcoholic Beverage Industry.
A new Indonesian regulation now governs the production, import, and distribution of alcoholic beverages, replacing Minister Regulations No. 63/M-IND/PER/7/2014 and the amended No. 62/M-IND/PER/8/2015.
Indonesia categorizes alcoholic beverages in many ways, based on:
Established in 2016, LMI Consultancy has been supporting countless individuals in understanding the intricacies of visas, business setup, tax & accounting, and property investment in Indonesia, providing a comprehensive and dependable service.
We take pride in being an ethical and innovative company that places a strong emphasis on exceptional customer service and strives to set a new standard in our industry, guaranteeing a smooth and encouraging experience for our clients.
There is no expiration date on an alcohol license. However, any other licences related to your alcohol and alcohol beverage business may have different periods of expiry.
Companies involved in alcoholic beverage businesses are forbidden to:
Alcoholic beverage businesses must meet product quality standards.
To operate legally in Bali and sell alcohol, businesses must navigate the Alcohol License system in Indonesia, including registering for an NPPBKC (Nomor Pokok Pengusaha Barang Kena Cukai) – a mandatory excise number. The process involves applying through the Online Single Submission (OSS) system and complying with all excise and trade regulations. Without this, the sale of alcoholic beverages is prohibited, and businesses risk heavy sanctions.
If you’re a foreign investor seeking a visa and engaging in business consulting to open an establishment that sells alcohol in Indonesia, be prepared for strict regulations. You must secure the correct permits and adhere to custom rules, including potential bans in certain regions. International standards apply, including regulations about the minimum age for alcohol sales, and local laws governing where and how alcohol can be sold.
To obtain an alcohol licence in Indonesia, applicants must comply with local laws and demonstrate alignment with strict regulations governing the alcohol industry. This includes applying for an Industrial Business Licence through the OSS platform. If you’re planning to invest in Indonesia’s liquor market, thorough legal compliance and documentation are essential to operate within the formal sector and avoid regulatory issues.
Foreign entrepreneurs aiming to invest in Indonesia’s growing alcohol industry must first obtain the correct alcohol sales licence. The process is complex and regulated. To ensure compliance, many turn to trusted experts like LMI Consultancy, who can help navigate legal procedures, licensing requirements, and the OSS system. Having the right support helps streamline the application and protects your investment.
Disclaimer : Our services in LMI Consultancy provide consulting services focused on ensuring client compliance with applicable immigration and legal regulations in Indonesia. We do not provide or facilitate the production of official government documents, nor do we offer any expedited or preferential access to government services.
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