The Indonesian House of Representatives (DPR) presented its explanation during the Constitutional Court hearing on the judicial review of the Job Creation Law (Law No. 6/2023), emphasizing that the business licensing system for managing coastal and small island areas remains in line with previous Constitutional Court rulings. DPR member Nasir Djamil clarified that the licensing mechanism prioritizes local and indigenous communities and does not contradict the 1945 Constitution. He further stressed that private sector involvement through licensing does not diminish the state’s authority, ensuring that management of natural resources continues to serve the people’s prosperity.
In regard to agriculture, DPR reiterated that plant breeding conducted by small farmers is exempted from specific licensing requirements, consistent with Constitutional Court Decision No. 138/PUU-XIII/2015. Existing regulations under Government Regulation No. 52/2023 also allow small farmers to develop and distribute local plant varieties on a limited scale. The judicial review (Case No. 168/PUU-XXIII/2025), submitted by several civil society organizations, challenges seven provisions, including those related to agricultural commodity imports. While petitioners argue that such rules could disadvantage traditional communities, DPR affirms that the current framework ensures fairness, protection, and sustainable agricultural development.
