Getting a license to sell alcohol in Indonesia can be a complex process. There are strict regulations in place, and the requirements can vary depending on the type of alcohol and the location of your business. But why is it important to have an alcohol license for your business?
Strict Regulation on Alcohol in Indonesia
Indonesia has strict regulations regarding the sale of alcoholic beverages, aimed at minimizing social and health risks. If your business operates in the hospitality or retail sectors, such as a restaurant, bar, hotel, or supermarket, you are required to obtain an alcohol license from the local government before selling it to consumers. This license ensures that alcohol distribution is controlled, safeguarding public safety.
Obtaining an alcohol license demonstrates your business’s commitment to following the law and adhering to the strict regulations governing alcohol distribution. Businesses operating without this permit risk being deemed illegal and may face severe legal penalties, including fines and potential closure.
Alcohol Licensing Categories
Indonesia categorizes alcohol licenses into three main groups based on the alcohol content of the beverages:
1. Category A: Alcoholic beverages with an ethyl alcohol content of up to 5%. This category mainly includes drinks like beer.
2. Category B: Alcoholic beverages with an ethyl alcohol content exceeding 5% but no more than 20%. Wine and champagne are examples of Category B beverages.
3. Category C: Alcoholic beverages with an ethyl alcohol content ranging from 20% to 45%, such as whiskey, vodka, and other strong spirits.
The sale of beverages in Categories A, B, and C is permitted in licensed establishments, including hotels, restaurants, and bars. Each license specifies the types of alcoholic beverages that can be sold, and only establishments meeting the necessary requirements will receive approval from the government.
How to Obtain an Alcohol License
Acquiring an alcohol license in Indonesia requires you to follow specific procedures and provide a set of documents. Below are some typical requirements for applying for an alcohol sales license:
- A formal application letter with a duty stamp
- Personal identification (ID) of the business owner
- Company identification documents, including:
- Deed of Establishment
- Business Identification Number (NIB)
- Relevant business classification as per the Online Single Submission (OSS) system
- Indonesian tax ID (NPWP)
- Certificate of business domicile
- A recommendation letter from a local sub-distributor
- A detailed list of the types, brands, quantities, and alcohol content of the alcoholic beverages to be sold or distributed
The process involves careful preparation and submission of these documents to the relevant authorities, who will review the application. Depending on the type of license and the location, the approval process may vary, but all applications require compliance with the legal framework governing alcohol sales.
Get Expert Help with Your Alcohol License
Because obtaining an alcohol license involves navigating legal complexities and adhering to strict government regulations, many business owners find the process complicated and time-consuming.
If you’ve never handled an alcohol license application before, understanding the various procedures and meeting the requirements can be a confusing task. Seven Stones Indonesia can assist you in this matter.
Our legal team has years of experience managing business permits across Indonesia, including alcohol sales licenses. We provide expert assistance in preparing the necessary documents and guiding you through the approval process. Contact us today to discuss the licensing your business needs.