The Importance of Indonesia Trademark Registration

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By Aldhi Fajar Maudhi

Stop hesitating and start working toward Indonesia trademark registration <sumber link>. Being one of the most populous countries in the world means their population is large enough for your business expansion. At any rate, there is always a niche available in the country. And if you already established an office in one of the neighboring countries, it only makes sense to add Indonesia to your list.

Indonesia trademark registration
Indonesia trademark registration

The advantages of having Indonesia trademark registration

As the largest archipelago in the world and the largest country in the Southeast Asia region, Indonesia holds a unique position in the world economy. The past decade sees Indonesia recording an average of 4.7% GDP growth. With the industry sector contributing almost half of the amount. And if your venture is in the manufacturing industry, you will be part of the 24.6% GDP contribution.

The country is also one of the highest in Internet penetration with 73.7% of the Indonesian population being active online. Having an online-based business means you have a much larger market than you expect.

At any rate, when your business is registered in Indonesia and abiding by the law. You will stand a good chance to reap profits while contributing to the region’s growth plan.

What are the common issues?

Yes, trademarking in Indonesia is not one without issues. For starters, being a global brand doesn’t exclude or give you any privilege on the trademark. You still need to register the brand and use it commercially for at least the last three consecutive years or it counts as forfeiting your legal rights.

In 2013, an Indonesian Rattan company, Intan Khatulistiwa Eka Abadi registered their Ikea abbreviation to the directorate of Intellectual Property. But the Swedish giant brand, IKEA, registered the brand name in 2010. The Indonesian company argued that Swedish IKEA hasn’t been commercially active using the brand for three consecutive years. Therefore, the Indonesian Supreme Court ruled it as forfeiting the right and granting victory to the Indonesian rattan company.

Another issue is the language, as Indonesian trademark law requires the company to submit all documents in Bahasa Indonesia. Some legal documents in the country already include an English translation, but if your business is from abroad, you will need to translate your documents first. But with the right agent, it won’t be an issue for you.

Failure to a trademark may cause civil and criminal cases for your company. Both can be damaging as the Indonesian law ruled the punishment is up to 2 years in prison and a fine of up to IDR 2 billion.

There are more benefits to trademarking your brand in Indonesia than operating illegally. The country has an active and healthy economic culture and is constantly in the green. Even being susceptible to the global economic issue, they prove to be one strong and resilient economy. 

If you own a business, small or large, working with a merchant service provider to make it easier for you to set up payments is also a move that you should seriously consider. Stay ahead of the curve with the cutting-edge solutions offered by AIB merchant services.

Expanding or even starting your business in Indonesia will be one of the best decisions you ever make. Now all you need to do is to start the Indonesia trademark registration process right away. You can employ an agent to help you or work the process yourself.

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