21022Traditional Medicine Product Industry for Humans
Traditional Medicine Products for Humans
Last updated · Sourced from OSS Indonesia
This group includes businesses that process various traditional medicine products made from plant materials, animal materials, mineral materials, galenic preparations, or mixtures of these materials in the form of powders, slices, pills, dodol/jenang, pastilles, tablets, capsules, liquids, solutions, emulsions and suspensions, ointments, creams and gels, and suppositories. It also includes the beverage industry for jamu and health/food supplements that are not pharmaceutical products.
KBLI 21022 at a glance
- KBLI code
- 21022
- Taxonomy version
- KBLI 2020
- Activity (English)
- Traditional Medicine Product Industry for Humans
- Activity (Indonesian)
- Traditional Medicine Products for Humans
- Category
- Manufacturing Industry
- Risk level (Large scale, PMA)
- High
- Foreign ownership status
- Domestic capital only
- Minimum capital (PT PMA)
- IDR 2.5 billion paid-up + IDR 10 billion+ commitment per KBLI (BKPM Reg. 5/2025)
- Primary licensing instrument
- NIB
- Issuing authority (PMA)
- Minister/Head of Agency
- Tax incentive eligibility
- Tax Allowance eligible
- Last verified
- April 24, 2026
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.
Open only to Indonesian capital
KBLI 21022 is restricted to 100% domestic ownership. Foreign investors cannot hold shares in entities operating under this code. This restriction commonly applies to traditional industries, broadcasting, and culturally significant activities.
Conditional sub-activities
1- Traditional medicine product industry for humansDomestic only100% Domestic capital
Reserved for SMEs / cooperatives
1- Traditional medicine business (small traditional medicine business/UKOT and micro medicine business/UMOT)Allocated for Cooperatives and UMKM.Sector: Health
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.
Note. Pharmaceutical manufacturing (KBLI 21xxx) is on the PP 78/2019 Tax Allowance priority list.
Pharmaceuticals-specific guidance
Sector context that applies to KBLI 21022 beyond the generic OSS process. Verify with the relevant ministry before committing capital.
- ·CPOB (Good Manufacturing Practice) certification mandatory for all production facilities.
- ·BPOM Distribution Permit (NIE) required for each product SKU.
- ·Foreign equity in branded pharmaceuticals open up to 100%; generic drugs may have local-partner requirements.
- ·Vaccine manufacturing strategically protected; foreign participation often via JV with Bio Farma.
Regulations governing KBLI 21022
Indonesian regulations that explicitly reference or govern the activities classified under KBLI 21022. Click through for the plain-English summary and official source.
4 regulations linked
Sourced from the KBLI Directory regulations registry. Each linked regulation page includes the official Indonesian text link.
- BKPM Reg. 5/2025BKPM Regulation
Minister of Investment / BKPM Regulation No. 5 of 2025 on the Procedures for Granting Risk-Based Business Licensing
sector capital floorPharmaceutical CPOB: investment commitment elevated - PMK 130/2020 (Tax Holiday)Finance Ministry Regulation
Ministry of Finance Regulation No. 130/PMK.010/2020 on Corporate Income Tax Reduction Facility (Tax Holiday)
tax-holiday pioneerPharmaceutical preparations — pioneer industry - PP 78/2019 (Tax Allowance)Government Regulation
Government Regulation No. 78 of 2019 on Income Tax Facility for Investment in Specific Business Fields and/or Specific Regions (Tax Allowance)
tax-allowance priorityPharmaceutical preparations — priority sector - UU 33/2014 (Halal Law)Law
Law No. 33 of 2014 on Halal Product Assurance (UU JPH)
governs this activityPharmaceuticals — halal mandatory by Oct 2026 (traditional medicine first)
Common business profiles under KBLI 21022
Archetypal businesses operating under this code. Use these to recognize whether your venture maps to KBLI 21022 as primary or secondary activity.
What businesses register under KBLI 21022?
Real-world business archetypes — names omitted; profiles describe operational shape, not specific companies.
- 01Foreign generics manufacturer
Multinational pharma operating Indonesian production facilities for ASEAN-distributed generic drugs.
- 02Branded ethical-pharma manufacturing
Originator-brand pharma with local manufacturing of selected SKUs — common for products subject to JKN inclusion requirements.
- 03Vaccine / biologics manufacturer
Biologics and vaccine production facilities, often in partnership with state-owned Bio Farma — strategic-sector positioning.
Pharmaceutical manufacturing is open to PMA but tightly regulated by BPOM. Eligible for Tax Holiday under PMK 130/2020 (pharmaceutical raw materials = pioneer industry). CPOB (GMP) certification mandatory; investment commitments typically IDR 100bn+.
What this means for foreign investors
An honest read of the situation, plus the structures that work in practice. We've handled all of these — book a call to walk through your specific plan.
You can't hold equity in this activity directly.
This KBLI is reserved to 100% Indonesian capital under Pres. Reg. 10/2021. Foreign investors cannot own shares in an entity registered for this code. The honest paths forward are: (1) operate a different but related KBLI that's open to PMA, (2) partner with a fully Indonesian-owned licensee under a commercial / IP / supply agreement (not equity), or (3) explore a Special Economic Zone where the rule may be relaxed.
Move to a different value-chain step
The cleanest path: operate a related but open KBLI. For example, foreign investors blocked from primary commodity production frequently succeed with the processing, distribution, branding, or export-trade codes upstream or downstream of the restricted activity.
Special Economic Zone (KEK) or Free Trade Zone (Batam)
Several restricted codes have higher or full PMA caps inside designated KEK zones (Sanur Health, Lido, Mandalika) or the Batam Free Trade Zone — manufacturing, logistics, and IT services especially. The IUK regime under BP Batam relaxes ownership rules selectively in exchange for export orientation. We assess whether your operation can benefit. See the BP Batam IUK guide for the requirements.
Indonesian-owned operating company + commercial agreement
A 100% Indonesian-owned operating entity can hold the restricted licence while you contract with it commercially. We structure these arrangements deliberately — without nominee shareholding, which is unenforceable and increasingly scrutinised.
These siblings are usable by a foreign-owned PT PMA — they have a Large-scale licensing matrix and aren't on a restricted list. Each has its own context badge so you can pick by trade-off.
What is KBLI 21022?
A plain-English explanation of this classification and the businesses it covers.
KBLI 21022 (Traditional Medicine Products for Humans) is the 5-digit Indonesian Standard Industrial Classification code for traditional medicine product industry for humans. It sits within Manufacturing Industry under the subgroup Traditional Medicine Industry (major group 21) in the official KBLI 2020 taxonomy maintained by Statistics Indonesia (BPS).
Who needs KBLI 21022?
Any Indonesian or foreign-owned entity that intends to operate in traditional medicine product industry for humans 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.
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.
Carried forward into KBLI 2025
KBLI 21022 retains the same code number and scope in the new taxonomy. The activity description, hierarchy, and intended use of the code are preserved.
- ·Continue using 21022 for current registrations under KBLI 2020.
- ·When OSS adopts KBLI 2025 (timing not yet announced), no migration is required for this code.
- ·Risk level, permits, and authority routing shown above remain in effect under both taxonomies.
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 specialistReference data: how this KBLI is regulated
The data below is the official OSS regulatory profile for this code. It applies to qualifying Indonesian operators (or to your operating partner). Foreign investors won't file these directly, but it's useful context when structuring a partnership or commercial arrangement.
Foreign investors: the licensing matrix below is for context only — direct PMA registration isn't possible for this code. See pathways above for what actually works.
Risk 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? ›
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 that proves: 1) Control (ownership/rental) of machines for producing pharmaceutical products and quality testing equipment 2) Compliance of installed production capacity with business data
- 03Have a human resources organizational structure document that includes at least: a. Company leadership b. Production and/or quality control department c. Marketing department
- 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
- 05$46
- 06Have a document of a statement of ownership from the Responsible Pharmacist (APJ) with the qualification of a Pharmacist who works full-time, at least 1 (one) person.
Ongoing obligations
10Compliance 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.
- 03Having a customer complaint/product service for: a. Adverse events b. Product quality that demonstrates a minimum service commitment to customers.
- 04Possess periodic calibration documents for quality control equipment or periodic results from independent laboratory tests on the produced products.
- 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).
- 07Have a safety and security SOP for: a. Storage of raw materials in the form of chemicals b. Use of machines/equipment c. Production processes
- 08The use of raw materials must adhere to the Indonesian Herbal Pharmacopoeia or other specified standards.
- 09Have a document of the Certificate of Pharmacist Responsible for Natural Medicine Industry.
- 10Submit product distribution reports every 6 (six) months in accordance with the regulations in the health sector.
Issuing authority
The authority that issues the license depends on your situation.
| Authority | Applies when |
|---|---|
| Minister/Head of Agency | The industrial location is situated within a cross-border area between provinces. |
| Minister/Head of Agency | Foreign Investment |
| Governor | The industrial location is in the relevant province. |
Basic requirements (KKPR)
Class-level prerequisites that apply to every operator under this KBLI, independent of business scale. These commonly include minimum capital rules for PMA entities and spatial-planning (KKPR) conformance.
- 01Traditional Medicine Business Sector (Traditional Medicine Small Business/UKOT and Traditional Medicine Micro Business/UMOT), allocated for Cooperatives and Micro, Small, and Medium Enterprises (UMKM), as regulated in Presidential Regulation no. 49 of 2021 concerning Amendments to Presidential Regulation No. 10 of 2021 concerning the Investment Business Sector.
Auxiliary permits (PB UMKU)
PB UMKU permits sit on top of the main NIB and Sertifikat Standar — each is issued by a different ministry, and only when a specific operational activity is performed. This KBLI carries 25 candidate permits across 2 regulators; most operations only need a handful. Emerhub maps your operation to the exact set, files them, and tracks renewals.
Pharmaceuticals
24 permitsBPOM (National Agency of Drug & Food Control). Applies to drugs, processed food, traditional medicine, cosmetics, and health supplements — produced, imported, repackaged, or distributed for human consumption. BPOM is the gating regulator; product registration is required before any commercial sale.
- Approval for Quasi Drug AdvertisingPersetujuan Iklan Obat Kuasi2 requirements1 obligationFood and Drug Supervisory Agency
- Approval for the Implementation of Clinical Trials for Health SupplementsPersetujuan Pelaksanaan Uji Klinik Suplemen Kesehatan2 requirements6 obligationsFood and Drug Supervisory Agency
- Approval for the Implementation of Clinical Trials for Quasi DrugsPersetujuan Pelaksanaan Uji Klinik Obat Kuasi2 requirements6 obligationsFood and Drug Supervisory Agency
- Approval for the Implementation of Clinical Trials for Traditional MedicinePersetujuan Pelaksanaan Uji Klinik Obat Tradisional2 requirements6 obligationsFood and Drug Supervisory Agency
Veterinary & Animal Medicine
1 permitMinistry of Agriculture. Applies if you produce, import, distribute, or sell animal medicines, vaccines, or feed; if you breed livestock; or if you operate a veterinary practice. A "veterinary control number" (NKV) is the entry-point permit for animal-product processors.
Common questions about KBLI 21022
What is KBLI 21022?
KBLI 21022 (Traditional Medicine Products for Humans) is the 5-digit Indonesian Standard Industrial Classification code for traditional medicine product industry for humans. It sits within the Manufacturing Industry category in the official KBLI 2020 taxonomy maintained by Badan Pusat Statistik (BPS).
Can foreign investors operate under KBLI 21022?
No — KBLI 21022 is reserved for 100% Indonesian capital under Pres. Reg. 10/2021. Foreign investors cannot hold shares in entities operating under this code. Common in traditional industries, broadcasting, and culturally significant activities.
What is the risk level of KBLI 21022?
KBLI 21022's risk levels per business scale: Micro High, Small High, Medium High, Large High. Foreign-owned entities (PT PMA) must register at the Large scale.
What licenses does KBLI 21022 require?
What is the minimum capital for a PT PMA under KBLI 21022?
Not applicable to PT PMA — KBLI 21022 is not viable for foreign-owned entities, so neither BKPM Reg. 5/2025's paid-up minimum nor any sector-specific capital floor enters the picture. The structural barrier comes first.
How long does it take to register a business under KBLI 21022?
Not applicable to PT PMA — KBLI 21022 is not viable for foreign-owned entities, so the 4-8 week PT PMA setup timeline doesn't apply. Move to a sibling code with a Large-scale matrix or a different structure.
Is KBLI 21022 eligible for Indonesian tax incentives?
Yes — KBLI 21022 is on the Tax Allowance priority list (PP 78/2019). Eligible for 30% reduction of taxable net income over 6 years plus accelerated depreciation.
Which authority issues the KBLI 21022 license?
Not applicable to PT PMA — KBLI 21022 is not viable for foreign-owned entities, so OSS doesn't designate a PMA issuing authority. Smaller-scale registrations (Micro / Small) for Indonesian operators are typically issued at the Regency / City level.
What other permits beyond the NIB does KBLI 21022 need?
Beyond the NIB, KBLI 21022 carries 25 PB UMKU permits across 2 sector regulators: Pharmaceuticals (24), Veterinary & Animal Medicine (1). Most operations only need 2-4 of these — the relevant set depends on which specific activities you actually perform; Emerhub maps the right subset before filing.
What KBLI codes are similar to 21022?
KBLIs in the same subgroup 2102: 21021 (Traditional Medicine Raw Material Industry for Humans); 21023 (Traditional Medicine Product Industry for Animals); 21024 (Raw Materials Industry for Traditional Medicine (for Animals)). These are closely related activities — see the related-codes section below for full list.
