20117Basic Organic Chemical Industry Sourced from Petroleum, Natural Gas, and Coal
Industri Kimia Dasar Organik Yang Bersumber Dari Minyak Bumi, Gas Alam Dan Batu Bara
Last updated · Sourced from OSS Indonesia
This group includes basic organic chemical industry businesses that produce chemicals, with raw materials sourced from petroleum, natural gas, and coal, such as ethylene, propylene, benzene, toluene, and caprolactam, including coal tar processing.
Key facts for KBLI 20117
The essentials a foreign investor needs to know before reading the rest of this page.
100% foreign ownership permitted via PT PMA. KBLI 20117 is not on Indonesia's closed, conditional, SME-reserved or partnership-required schedules under Pres. Reg. 10/2021.
Default minimum paid-up capital: IDR 2.5 billion (~USD 160K) under BKPM Reg. 5/2025 (effective Oct 2025) — applies unless a sector regulator sets a higher figure for this activity. The often-cited IDR 10 billion is the total investment commitment per KBLI realised over time via quarterly LKPM reports, not required upfront.
Medium-high-risk activity — requires NIB + Standard Certificate (Verified) to operate commercially. NIB alone enables only the preparation stage; a Standard Certificate must be obtained before invoicing or production starts.
Statutory licensing turnaround: 7 days once we submit the application — on top of the 2–3 weeks for PT PMA incorporation. We coordinate the full sequence end-to-end.
Issuing authority for PMA: Minister/Head of Agency — this KBLI is routed centrally rather than to provincial / regency level.
Ongoing reporting: quarterly LKPM (Investment Activity Report) to BKPM plus 6 sector-specific obligations. We file these on your behalf as part of monthly compliance — you stay out of the OSS portal entirely.
- Risk level
- Medium-HighNIB + verified cert.
- Primary license
- NIB + Standard Certificate (Verified)NIB enables preparation only — additional permit needed to operate
- Setup timeline
- 7 DaysStatutory turnaround at OSS
- Issuing authority
- Minister / Agency HeadDefault issuing authority
- Min. paid-up capital
- IDR 2.5 BBKPM default paid-up — sector rules may set a higher figure
Foreign investment rules
Indonesia's BUPM (Investment Business Fields) regulation places this code into one of five tracks. The track determines whether a foreign investor (PMA) can operate in this activity at all, and under what conditions.
Fully open to foreign investment
KBLI 20117 is not on Indonesia's closed, conditional, SME-reserved or partnership-required schedules. A foreign investor may incorporate a PT PMA with up to 100% foreign ownership and operate in this activity directly.
Foreign-investor tax benefits available for this KBLI under PMK 130/2020 (Tax Holiday) and PP 78/2019 (Tax Allowance). Both require approval — see the linked guide for the application path.
How we handle your KBLI 20117 setup
Emerhub is a corporate-services provider in Indonesia. We do the legal and regulatory legwork for foreign investors so you can focus on the business itself. Here's what the engagement looks like.
- 1
Confirm the optimal structure for your business
2–3 business daysWe confirm KBLI 20117 is the right primary code for your business, advise on secondary codes you may also need, and finalize the holding structure with you before any filing.
What we need from you- Founders' passport copies and proof of residence
- Intended share split and board composition
- 2
Incorporate your PT PMA
7–10 business daysWe draft the Articles of Association before a notary, register the entity with the Ministry of Law & Human Rights (Kemenkumham), and obtain the company's tax ID (NPWP). Under BKPM Reg. 5/2025, paid-up capital is IDR 2.5 billion (~USD 160K) — the cash actually deposited at incorporation. The IDR 10 billion+ figure many sources still cite is the total investment commitment per KBLI, realised over time via your LKPM reports.
What we need from you- Powers of attorney (we prepare; you sign and notarize)
- Director / commissioner appointment letters
- Initial capital deposit confirmation
- 3
We obtain your NIB
1–2 business daysWe file the OSS application with KBLI 20117 as your primary business activity, complete the risk-based assessment, and collect the NIB (Business Identification Number) for you — typically within hours of submission. You don't need to touch the OSS portal.
What we need from you- Office address (virtual office acceptable for many KBLIs; we can arrange one)
- 4
Secure your Standard Certificate (Verified)
7+ business daysNIB is issued for the preparation stage. To begin commercial operations, the operator must obtain a Sertifikat Standar that has been verified by the competent ministry. The verification step typically requires a site or document inspection. Operating with NIB alone is not legally compliant. We prepare the application bundle, liaise with the competent ministry, and chase issuance through to the certificate. Statutory turnaround: 7 business days — real-world timing typically runs longer when site inspections or additional clarifications are requested.
What we need from you- Technical documentation specific to your operation
- Appointment of a Penanggung Jawab Teknis (PJT — technical responsible person)
- 5
Hand-off to ongoing compliance
OngoingPost-launch we run your monthly tax filings, quarterly LKPM (Investment Activity Reports), annual general meeting (RUPS), and any sector-specific reporting. You get a single point of contact and a monthly compliance digest — no Indonesian-language paperwork on your desk.
What is KBLI 20117?
A plain-English explanation of this classification and the businesses it covers.
KBLI 20117 (Industri Kimia Dasar Organik Yang Bersumber Dari Minyak Bumi, Gas Alam Dan Batu Bara) is the 5-digit Indonesian Standard Industrial Classification code for basic organic chemical industry sourced from petroleum, natural gas, and coal. It sits within Manufacturing Industry under the subgroup Basic Chemical Industry (major group 20) in the official KBLI 2020 taxonomy maintained by Statistics Indonesia (BPS).
Who needs KBLI 20117?
Any Indonesian or foreign-owned entity that intends to operate in basic organic chemical industry sourced from petroleum, natural gas, and coal as a primary or secondary business activity must select this code on its NIB (Business Identification Number). The selected code determines the licensing instruments required, the issuing authority, and the ongoing compliance obligations.
Why does the code matter?
Indonesia's OSS Risk-Based Approach uses the KBLI code to determine three things: (1) whether foreign investment is permitted and at what cap, (2) the risk-based licensing instruments required, and (3) the authority that issues each instrument. Choosing the wrong code can delay or invalidate your license.
Chemicals & pharmaceuticals-specific guidance
Sector context that applies to KBLI 20117 beyond the generic OSS process. Verify with the relevant ministry before committing capital.
- ·Hazardous chemicals (B3) require KLHK environmental permits in addition to OSS.
- ·Pharmaceutical manufacturing requires CPOB (Good Manufacturing Practice) certification from BPOM.
- ·Most basic and intermediate chemicals are open to 100% PMA.
Under the upcoming KBLI 2025
Indonesia's BPS published the new KBLI 2025 taxonomy in early 2025. OSS, BKPM and the operating ministries have not yet adopted it — KBLI 2020 remains the active standard for business registration. This is what's coming for this specific code.
Reorganised in KBLI 2025
KBLI 20117 does not carry the same number forward into KBLI 2025 — the activity has been reclassified, but the precise mapping isn't recorded in our database yet.
- ·For current operations, KBLI 20117 remains valid — OSS still uses KBLI 2020 for all business registrations.
- ·The KBLI 2025 successor codes are listed in the official BPS transition document below; check for the activity-specific mapping when planning future structures.
- ·Once OSS announces the KBLI 2025 cutover, existing entities will need to update their primary KBLI to the relevant successor — typically straightforward.
When OSS adopts KBLI 2025, we'll migrate your existing entity to the appropriate successor code as part of ongoing compliance — no action needed on your end now.
Talk to a specialistRisk level by business scale
Indonesia's OSS Risk-Based Approach assigns a separate risk level for each of the four business scales. The licensing instruments required (NIB, Standard Certificate, Operating License) are determined by the risk level. Foreign-owned entities (PT PMA) must register at the Large scale, so the rightmost column applies to most foreign investors.
Micro
Small
Medium
Large
PMA scaleWhat does each risk level require to operate? ›
Licensing requirements in detail
Specific permits, application requirements and ongoing obligations vary by business scale and the sub-activity within this KBLI. We file these on your behalf — this section is for transparency on what we'll be handling. Switch between scales below; by default we show Large (the PMA scale).
Phenylacetone Industry, 1-(1,3 Benzodioxol-5-yl) propan-2-one Industry, Acetone Industry, Butanone Industry, Ethylene Industry, Propylene Industry, Butadiene Industry, Benzene Industry, Toluene Industry, Silane Industry, Ethyl Benzene Industry, Styrene Monomer Industry, Ethylene Dichloride Industry, Vinyl Chloride Industry, Methanol Industry, Butanol Industry, Octanol Industry, Ethylene Glycol Industry, Caprolactam Industry, Dimethyl Ether Industry, Ethylene Oxide Industry, Acrylic Acid Industry, Phthalic Anhydride Industry, Maleic Anhydride Industry, Benzoyl Peroxide Industry, Terephthalic Acid Industry, Formic Acid Industry, Raffinate Industry, Pyrolysis Gasoline (Pygas) Industry, Butene-1 Industry, Crude C4 Industry, MTBE Industry
Application requirements
6Documents and capabilities you must demonstrate at registration
- 01Have a document outlining the plan for the type, specifications, quantity, and source of raw materials, as well as the source and amount/volume of energy and water needed to carry out industrial business activities for 1 (one) production cycle or for a duration of 6 (six) months ahead.
- 02Possess documents in the form of: a. Machine specifications and/or equipment list b. Photos of machines/equipment c. Sales/rental agreement proving control (ownership/rental) of machines for producing chemical industry products and quality testing equipment.
- 03Have documents for the prevention and response to chemical emergency situations, which consist of: a. Risk assessment of the production process flow and management of the chemical list for the prevention and response to chemical emergencies in chemical industry activities, prepared independently (self-assessment) b. Procedures for the prevention and response to chemical emergencies, including: 1) Emergency response personnel, with a minimum of: i. 1 Coordinator ii. 1 Commander iii. 1 Officer 2) Emergency response communication system 3) Technical guidelines for emergency response operations 4) Emergency response equipment and supplies 5) Emergency response training planning
- 04Have a flowchart document for: a. Procurement, receipt, and storage of raw materials b. Production process c. Quality control process d. Packaging, storage, transportation, and distribution of production results
- 05Possess documentation in the form of photos proving the availability of occupational accident handling facilities and rest areas for workers.
- 06Have a facility layout planning document for the plant layout facilities in accordance with the process flow chart and demonstrate the availability of: a. Temporary Storage Place (TPS) for hazardous and toxic materials (B3) if using chemicals classified as B3 b. Wastewater Treatment Facility (IPAL) to collect and neutralize liquid waste from production activities.
Ongoing obligations
7Compliance and reporting duties throughout operation
- 01Have proof of submission of mandatory validated Industrial Data every 6 (six) months in accordance with the laws and regulations in the industrial sector.
- 02Ensure the safety and security of equipment, processes, production results, storage, and transportation, in accordance with applicable laws and regulations.
- 03Possess a certificate for the prevention and management of chemical emergency situations in chemical industry business activities.
- 04Provide minimal information including: a. Certificate of Analysis (COA) b. Labeling and Safety Data Sheet (SDS) in accordance with the Globally Harmonized System (GHS) that proves the minimum service has been provided to customers.
- 05Have a document in the form of a disaster evacuation SOP, including the arrangement of workplace safety signs.
- 06Possess a Quality Management System certificate (ISO 9001).
- 07Possess periodic calibration documents for quality control machines/equipment.
Issuing authority
The authority that issues the license depends on your situation.
| Authority | Applies when |
|---|---|
| Minister/Head of Agency | All of them |
| Minister/Head of Agency | Foreign Investment |
