This review, which was announced last spring, examined in detail the adequacy and effectiveness of intellectual property rights protection in Indonesia.
“We are encouraged by the steps that Indonesia has taken to improve enforcement of intellectual property rights,” U.S. Trade Representative Susan C. Schwab, said in a statement. “The United States urges Indonesia to build upon the foundation it has laid to make further progress on the protection of IPR, in order to achieve its objective of attracting high-quality foreign investment and providing more jobs and economic growth opportunities.”
The OCR concluded that throughout 2006, Indonesia bolstered implementation of its regulations designed to stop illegal production of pirated optical discs, such as CDs and DVDs, by controlling the licensing of factories and conducting raids against pirate optical disc production facilities. Indonesia’s authorities also conducted numerous raids on retail outlets selling pirated goods.
During this period, the Indonesian government activated its minister-level National Intellectual Property Task Force and its working groups to coordinate IPR enforcement strategy among agencies as well as to conduct public awareness campaigns. Indonesia also passed a new Customs Law that clarifies the authority for Customs officers to seize goods that infringe on IPR.
While recognizing the progress Indonesia has made, the U.S. government review also concluded that sustained efforts and continued progress on key IPR issues would be essential to avoid a future return to the Priority Watch List. In addition, the review noted that Indonesia’s efforts to address other critical IPR issues will be essential to demonstrate that Indonesia is serious in creating and sustaining an effective IPR enforcement regime.
In 2005, the United States conducted an OCR in Indonesia, which resulted in Indonesia’s retention on the Priority Watch List. But in recognition of progress made during the 2005 OCR period, the United States elected to conduct a second consecutive OCR in 2006, which resulted in the decision to lower Indonesia to the Watch List, based on improvements in its enforcement of IPR, the USTR said in a statement.
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