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Export tax - Class C Minerals other than sand, soil; and top soil;-Rationale: to minimize environmental damage caused by uncontrolled mining and prevent illegal exports.

Over the review period, new export taxes have been introduced on leather and wood ; crude palm oil; raw cocoa; and mineral ore products (Table 3.14). The main objective of these measures is to encourage value-added processing within Indonesia. Secondary considerations are to secure domestic supply and to safeguard the environment. According to the authorities, this policy seems to have been successful in achieving its objectives. They noted, for example, that the export tax on raw cocoa has succeeded in attracting more than US$200 million in FDI.

Ministry of Environmental cooperates with Ministry of finance have “the exception of customs duty for equipment and materials that is used to prevent pollution ” program through Finance Ministerial Decree number 101/PMK 04/2007. A few equipments that get the exception of import duty, such as: aerator, belt press, chemical pump, pH control, decanter, air blower, biological , and screen. Those are categorized as a liquid pollutant control. Other equipments are: electrostatic precipitator, continuous electromagnetic. Those are categorized as air pollutants control. This mechanism is imposed on MFN basis.

Strategic agricultural development goals in 2012 are achieving sustainable self-sufficiency and self-sufficiency, rising food diversification, increasing added value, competitiveness and exports, increasing farmers welfare.

Indonesia has more than 17,000 islands, with 181,157 million ha land area, consist of 130.68 million ha forest land. The function of forest  area is as conservation forest  (26.8 million ha), protection forest  (28.8 million ha), production forest  (32.6 million ha), limited production forest  (24.4 million ha) and convertible production forest;  (17.9 million ha) 

Indonesia has vast forest  resources . According to the authorities, approximately 130 million hectares, or around 70% of its total land area, is forested. A major part of Indonesia's forest  area, or 56 million hectares, is designated as a protection and conservation area. forest  management is a key concern regarding responsible investment in agriculture. Agricultural growth has relied to a large extent on converting forest ed areas into agricultural land, which has caused a loss of biodiversity , and generatedcarbon emissions and higher rates of soil erosion . The principle of sustainable forest  management is the basis of Ministry of forestry Regulation No. P.645/Menhut-II/2012, which also states that timber industries and exporters must obtain a Timber Legality Certification to ensure that timber and timber products in the domestic and international market are legal and produced from sustainable and legal sources.

Indonesian Timber Legality Verification System (SVLK) is a licensing scheme that guarantees export timber in accordance with the laws of Indonesia's forests through government and legal definitions that have been approved by various parties. Indo-TLAS consists of legality standards, criteria, verifiers, verification methods, and evaluation norms. Indo-TLAS designed to be a legality verification system that is reliable, efficient and fair as a contribution in the fight against illegal logging. TLAS/SVLK is a cornerstone forsustainable forest  management accomplishment. This certificate is our national commitment to eradicate illegal logging and illegal trading.

Around 70% of Indonesia’s land area remains covered by forests but widespread illegal logging practices have led to serious environmental damage. In the face of illegal logging and the smuggling of timber, the government has supplemented its domestic enforcement efforts by signing international agreements with the European Union, Malaysia, Japan, and the PRC to ban the import of illegal logs from Indonesia. Indonesia has instituted a number of policy measures to discourage or ban log exports in order to encourage processing industries within Indonesia. In 2011 Indonesia banned exports of raw and semi-processed rattan (used for traditional furniture). The measure was designed to encourage rattan furniture production but instead seems to be pushing rattan prices down. On the other hand, processed wood and wood manufactures (including finished products such as furniture) make an important contribution to Indonesia's exports.

A large percentage of Indonesia’s land area remains covered by tropical rainforest; s. However, widespread illegal logging practices have led to serious environmental damage.

Government efforts to protect the country’s forestry resources , through the introduction of restrictions on logging and through reforest; ation programmes, have been only partially successful, in part owing to widespread forest  fires in Sumatra and Kalimantan that have become an almost regular phenomenon since the mid 1990s. Many of these fires, which generate huge clouds of smoke that are carried over much of South-East Asia, are started deliberately, by subsistence farmers practising traditional "slash-and-burn" methods of cultivation, and by large-scale plantation owners seeking to clear the forest  for new cash crop estates. Several legislative changes have been made, but the legal framework for forest management remains inconsistent and allows for unsustainable practices. Reducing Emissions from Deforestation and forest  Degradation (or REDD) was launched in Indonesia in 2010 and the Government declared a 2-year forest  moratorium in 2011. In a positive development, the Government recently approved the country's first project under the REDD scheme.137