Free shipping on Indonesian online purchases up to three times a month

The Ministry of Communications and Information has recently issued a regulation that the free shipping offer for corporate couriers is limited to a maximum of three days per month, a policy that aims to protect the rights and interests of couriers and the healthy development of the industry.The Director General of Digital Ecosystem, Ministry of Communication and Information, said that the policy aims to build a healthy, sustainable and equitable postal services ecosystem. Continuing to suppress courier prices without restraint would jeopardize the well-being of couriers, and the policy would ensure a decent life for couriers while promoting the development of logistics companies and maintaining economic equity. The policy only restricts shipping discounts for courier companies and does not cover free shipping promotions on e-commerce platforms. Restricted discounts refer to the portion that is lower than the actual delivery costs (including courier fees, cross-city transportation fees, sorting fees and other ancillary service costs). If such discounts persist, they will lead to lower income for couriers, losses for businesses and lower service quality. Consumers can still enjoy free shipping services offered by e-commerce companies on a daily basis, and the Ministry of Communications and Information will not intervene if e-commerce companies use subsidized shipping as a promotional strategy. The policy was developed through dialogues with courier industry practitioners, associations and other stakeholders, reflecting on market efficiency and labor protection.