Senin, 13 Desember 2021

Legal Aspects of Technology Transfer in Indonesia


Team of Hukumindo

Previously, the platform has talk about "Some Legal Aspects of Export-Import According to Indonesian Law" read also "How To Legally Adopt a Child in Indonesia?" and on this occasion we will discuss about Legal Aspects of Technology Transfer in Indonesia.

Understanding Technology

Technology comes from the word technologia (Greek) techno meaning 'skill' and logia meaning 'knowledge'. According to the Big Indonesian Dictionary (KBBI), the word technology means the scientific method to achieve practical goals, applied science or the entire means to provide goods needed for the survival and comfort of human life. While quoted from the Encyclopaedia Britannica (2015), technology is the application of scientific knowledge for practical purposes in human life or in changing and manipulating the human environment.[1]

Quoted from the book Waiting for the Prosperity of the Country: a collection of essays on the socio-economic development of Indonesia (2006) by Burhanuddin Abdullah, in addition, technology refers to tools and machines, the notion of technology also includes methods, processes, and ideas. Read also: Packaging of Fiber Craft Products Because in the 20th century, technology was broadly defined, namely ways or activities that allow humans to change and tamper with their environment (nature, humans, and all of their creations). With that definition, technology has included anything that humans can do to improve their lives.[2]

International Trade & Technology Transfer

The development of international trade and the free trade movement have resulted in more and more technology transfers being carried out between developed and emerging countries. Because technology transfer is closely related to intellectual property rights, especially those related to industry, then cross-country legal protection is needed.

According to M. Blakeney, the definition of technology transfer is the systematic transfer of knowledge for the processing of a product, the application of a process or the provision of technical assistance, but does not include solely the sale of goods. From this definition, the transfer of technology is only within the national scope, while from an international perspective, technology transfer occurs through transactions between the technology-owning country and the technology-receiving country. Technology transfer occurs through transactions between the country that owns the technology and the country that receives the technology.[3]

An example is the international cooperation between Indonesia and Germany, which consciously results in the transfer of technology. The cooperation in the field of science and technology that has been fostered by Germany and Indonesia is a long history in the course of history. This cooperation began when the German government established the Federal Ministry of Nuclear Affairs which later changed its name to the Federal Ministry of Education and Science. This collaboration was realized because of the well-established bilateral relationship between the two countries and the role played by B.J. Habibie, who at that time served as Minister of Research and Technology and Head of the Agency for the Assessment and Application of Technology. In addition, personally, Habibie also has a personal closeness with Germany because he studied at one of the universities in Germany.[4]

It was this cooperation in the nuclear field which later developed and became the basis for the birth of cooperation in the field of science and technology in which the scope covered in it became wider. Henceforth, nuclear development cooperation is included in the framework of cooperation in the field of science and technology. The cooperation agreement between Indonesia and Germany has been signed since March 20, 1979. This cooperation aims to conduct and develop research together.[5]

Legal Aspects of Technology Transfer in Indonesia

Agreements regarding technology transfer are basically a mere contractual relationship between the buyer and the seller. The agreement involves local parties as buyers and recipients of technology and expertise from foreign companies as sellers. In Indonesia, technology transfer agreements are subject to agreement law that generally applies, namely the Civil Code (BW), while the provisions regarding technology transfer can indirectly be found in scattered laws such as the trademark law, copyright law copyright and patent laws. And if you have any issue with this topic, contact us, feel free in 24 hours, we will be glad to help you.

*) For further information please contact:
Mahmud Kusuma Advocate
Law Office
Jakarta - Indonesia.


1. "Pengertian dan Perkembangan Teknologi",, Penulis : Ari Welianto, Editor : Ari Welianto, Diakses pada tanggal 11 Desember 2021,
2. Ibid. 
3. "Legal Aspects of the Transfer of Technology to Development Countries", M. Blakeney. 1989, London Oxford: ESCPublishing. Hlm.: 135.
4. "Kerja sama Bilateral Jerman dan Indonesia Bidang Sains dan Teknologi",, diakses pada tanggal 11 Desember 2021,
5. Ibid.

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