{
    "success": true,
    "data": {
        "id": 1662596,
        "msgid": "plastic-prices-surge-threatening-closure-of-umkm-bottled-water-industry-1775602324",
        "date": "2026-04-08 05:02:00",
        "title": "Plastic Prices Surge, Threatening Closure of UMKM Bottled Water Industry",
        "author": "Erlangga Djumena",
        "source": "KOMPAS",
        "tags": "",
        "topic": "Economy",
        "summary": "The Association of Bottled Drinking Water Companies (Aspadin) warns that the scarcity and soaring prices of plastic, driven by a 70% increase due to halted naphtha supplies from Gulf countries amid regional conflicts, are jeopardising the survival of small and medium-sized enterprises (UMKM) in the bottled water sector. Industry leaders indicate that without resolution within two months, several UMKM producers may halt operations, forcing price hikes of Rp 2,000 to Rp 3,000 per carton as internal efficiencies prove insufficient. This disruption, exacerbated by the closure of the Strait of Hormuz affecting petrochemical distribution, underscores the vulnerability of Indonesia's manufacturing supply chains to global geopolitical tensions.",
        "content": "<p>JAKARTA, KOMPAS.com - The Association of Bottled Drinking Water\nCompanies (Aspadin) states that some of its members are at risk of\nclosure due to the scarcity and high prices of plastic.<\/p>\n<p>Aspadin General Chairman Firman Sukirman said that if plastic remains\nscarce in the next two months, several small, micro, and medium-sized\nenterprise (UMKM) bottled water industries will collapse.<\/p>\n<p>Firman explained that bottled water producers are currently facing\nnot only price increases but also shortages.<\/p>\n<p>\u201cIt could be that in the next two months, some UMKM bottled water\nindustries will be unable to produce due to a lack of raw materials,\u201d\nFirman said when met at the Parliament Complex in Senayan, Jakarta, on\nTuesday (7\/4\/2026).<\/p>\n<p>Some types of plastic have even experienced increases of up to 70 per\ncent. As a result, the bottled water industry has no choice but to raise\nthe prices of packaged water products.<\/p>\n<p>\u201cLike it or not, with these unreasonable prices, we have to adjust\nour prices. Why? Internal efficiencies alone are no longer sufficient,\u201d\nFirman stated.<\/p>\n<p>According to Firman, bottled water industry players could still make\ninternal adjustments if the plastic price increase was only 2-3 per\ncent.<\/p>\n<p>However, due to the excessively high plastic prices, they have now\nraised the prices of their packaged water products.<\/p>\n<p>Some packaged water products in bundles have seen increases ranging\nfrom Rp 2,000 to Rp 3,000 per package.<\/p>\n<p>Nevertheless, this does not rule out the possibility of packaged\nwater prices rising further in line with plastic price fluctuations.\n\u201cSome have raised it by Rp 2,000, others by Rp 3,000 per carton, meaning\nper pack,\u201d he said.<\/p>\n<p>It is known that plastic is expensive and scarce because 70 per cent\nof its raw material, naphtha, supplied from Gulf countries has stopped\ndue to the war.<\/p>\n<p>The conflict in West Asia has closed the Strait of Hormuz, disrupting\nthe distribution of oil and petrochemical products.<\/p>\n<p>Naphtha is a processed product from fossil fuels.<\/p>\n<p>General Secretary of the Indonesian Market Traders Association\n(IKAPPI) Central Board, Reynaldi Sarijowan, stated that plastic prices\nhave risen by up to 50 per cent from the days before the war.<\/p>\n<p>\u201cFar before entering Ramadan, it was still Rp 10,000. Then it\ngradually increased over a week, a week, a week, by Rp 500, by Rp 700,\nvarious amounts, until today the peak is projected at 50 per cent,\u201d\nReynaldi said when contacted by Kompas.com on Monday.<\/p>",
        "url": "https:\/\/jawawa.id\/newsitem\/plastic-prices-surge-threatening-closure-of-umkm-bottled-water-industry-1775602324",
        "image": ""
    },
    "sponsor": "Okusi Associates",
    "sponsor_url": "https:\/\/okusiassociates.com"
}