Indonesia Anti Dumping Committee (KADI) started antidumping investigation on imported bi axially oriented polypropylene (BOPP) with tariff heading Number 3920.20.10.00 and 39920.20.90.00 imported or originating from Thailand Vietnam, on Thursday (September 3). The investigation is based on Government Regulation No. 34/2011 on Anti-dumping Measures, Countervailing and Safeguard Measures.
“BOPP investigation was conducted with regard to the petition filed by PT Tias Sentosa Tbk. and PT Lotte packaging,” said Chairman of KADI, Ernawati. last week. Based on data from the Central Statistic Agency (BPS), the total volume of imports of BOPP in 2012 is 44,093 MT, 44,182 Mt in 2013, and 35,544 Mt in 2014.
Cumulatively, the volume of import of countries accused of Dumping (Thailand and Vietnam) in 2012 was 26,487 MT increased to 32,975 MT in 2013 and to 23,443 Mt in 2014. In 2014 cumulatively, the two countries have a market share of 66% of total imports of BOPP.
For interested parties who want be involved in the investigation, are given an opportunity to submit information response, related to investigation and/or request for hearing in writing to KADI. KADI gives on opportunity to give a notification to participate in the investigation, no later than 14 (four then) days from date announcement.
On the other hand, the government continues to encourage the development of downstream Petrochemical industry generated by oil. One is plastic packaging produced by local companies. Downstream plastic industry, such as packaging industry, has great potential which is highly prospective, both in the domestic and export markets.
Plastic packaging industry in Indonesia is continuously growing in the last five years, in line with the development of the food industry, chemicals, and pharmaceuticals industry with plastic packaging material. In the coming years, the plastic packaging industry in Indonesia will continue to grow by 7 – 8 percent. This is supported by the continued growth of plastics user especially food & beverage industry, chemicals, and pharmaceuticals industry; the growing strength of the structure of the plastics industry from upstream to downstream, and the development of technological innovations of production process, which is more efficient and environmentally friendly.
Moreover, the potential consumption of plastics products in Indonesia is still quite large, because national consumption per capita per year has reached 10 kg. Along with the National economic growth that continues to increase the need for downstream plastic product will increase as well.
Downstream plastic product, especially packaging, in general, is an intermediate products that is widely used the industry that produces a variety of consumer needs, such as food and beverage industry; cosmetic goods, pharmaceuticals; automotive; chemicals; agriculture; household products; and lubricating oil. BOPP is also used as raw materials for food and beverage packaging industry, pharmaceuticals, cigarettes, shampoo, garments, cosmetics, cassettes/VCD/DVD, office equipment and adhesive tapes.
Currently, the plastic packaging industry reached 892 companies that produce rigid packaging; flexible packaging; thermoforming; and extrusion spreading in several regions of Indonesia. The installed capacity reached 2.35 million tons per year with a utilization rate of 70 percent so that the average production reached 1.65 million tons.
Number of workers absorbed is more than 500 thousand people with production value reaching tens of trillions. Although the structure of the national plastics industry is quite complete from upstream to downstream, but the production capacity is still limited to raw material, therefore, in order to strengthen the structure of the plastic industry, the government continues to encourage the development of petroleum refining industry. (E)
Business New - September 9, 2015