JAKARTA - The Ministry of Industry (Kemenperin) said that the stock of plastic raw materials for the food and beverage (mamin) industry is currently estimated to be sufficient for the next two months.
This situation has begun to cause concern among industry players, especially related to the sustainability of supply and the increase in product prices.
Acting Director General of the Agro Industry Ministry of Industry Putu Juli Ardika said that the availability of stocks was actually safe for the time being. However, the price of plastic began to rise due to uncertainty in global energy supply triggered by the conflict in the Middle East.
"The food and beverage industry is worried about how the stock will be, because the stock (is only) one to two months. So, how do you fill it?" said Putu when met at his office, Tuesday, April 21.
Based on the results of the meeting with manufacturers, Putu explained, plastic raw materials had experienced supply constraints, but are now available again. According to Putu, the government is now focusing on ensuring the smooth supply while moderating price spikes.
One of the proposals being studied is the exemption of import duties on LPG for the plastics industry. "Well, this is what the Minister (Agus Gumiwang) proposed, how to temporarily exempt the import duties or be borne by the government," he said.
The high price of plastic is due to the conflict in the Middle East, which has begun to affect the selling price of various types of domestic retail products.
Starting from household appliances, packaged food and beverages to electronic products.
This was revealed by the General Chair of the Indonesian Association of Retailers and Shopping Center Tenants (Hippindo) Budihardjo Iduansjah.
He said that the increase in the price of these products has been felt by the retail sector since about two weeks ago, especially products that use plastic as both the main raw material and product packaging.
"Currently, we in retail have received a price increase from suppliers. So, from two weeks ago or last week it has also entered (the information)," said Budihardjo when met by reporters at the Smesco Building, Jakarta, Wednesday, April 15.
"On average 10 percent, yes, but we are negotiating again. Some are up 5 percent, 10 percent like that," he added.
Regarding the price increase, Budihardjo said, currently retailers are in the process of negotiating prices with manufacturers or suppliers of goods. So, they can get the old price before the price increase of plastic.
"But if it can't, yes, we negotiate the price to rise gradually. That is, there is indeed an increase in prices, especially from food and beverage entrepreneurs. Electronics, electrical appliances related to cables are all rising," he said.
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