Publishers in a bind over cheap books<\/p>\n
By Fitri Wulandari<\/p>\n
JAKARTA (JP): People don't read enough books because they are
\nexpensive. Publishers don't produce enough books because demand
\nis low.<\/p>\n
While this may be oversimplifying the problem, Indonesia's
\nbook publishing business has been caught in this kind of vicious
\ncycle that has forced dozens of publishers to close shop in
\nrecent years.<\/p>\n
The quest for making books affordable to the masses, critical
\nif Indonesia as a nation hopes to stay afloat in the increasingly
\ncompetitive global world, remains illusive to this day.<\/p>\n
While many book entrepreneurs have simply given up, the few
\npublishers that have remained admit that they are caught in a
\nbind between the need to produce books that are affordable to
\nmost people, and the need to survive as business concerns.<\/p>\n
\"Book publishing is not a lucrative business. Unless you have
\nsome idealism about public education, you won't survive,\" says
\nPetrus Damianus Subagya, marketing manager of book publishing
\ncompany PT Grasindo.<\/p>\n
A country with a population of more than 210 million people
\nshould be a mouthwatering prospect for any industry, including
\nbook publishing.<\/p>\n
Yet, statistics provided by Alfons Taryadi, chairman of the
\nadvisory council of the Indonesian Book Publishers Association
\n(IKAPI), in his book Buku dalam Indonesia Baru, sums up the
\nappalling situation. Indonesia publishes a mere 4,000 new titles,
\nmostly reference and general books, every year. On average, each
\ntitle sells only about 3,000 copies.<\/p>\n
That is hardly enough for a nation as large as Indonesia.<\/p>\n
The economic crisis, dating back to 1997, has made the
\ncondition worse. Some 200 publishers have closed shop in the last
\nfour years. Now, there are only 400.<\/p>\n
Subagya says those that survive are mostly publishers with
\nstrong capital, or are efficiently managed, or have other
\nbusinesses to fall back on during the lean times.<\/p>\n
In the quest for making books more affordable, the initiative
\nremains with the publishers, and probably the government, to get
\nIndonesia out of this chicken-and-egg situation, rather than with
\nthe people.<\/p>\n
People's low spending on books and poor reading habits in
\ngeneral are variables beyond the publishers' control, as are
\nvolatile paper prices.<\/p>\n
But Subagya says heavy taxation and an inefficient
\ndistribution system for books -- two factors that contribute to
\nthe high cost of making them -- are variables that can be
\ncontrolled.<\/p>\n
Subagya believes that book prices could still be reduced, if
\nthere were a strong will, particularly from the government.<\/p>\n
But don't expect much from publishers, who are already
\noperating on very thin margins. \"We don't really make money in
\nthis business,\" Subagya says.<\/p>\n
Book prices could be reduced if the government eliminated or
\ncut the tax components and applied special prices for paper
\nprocured by publishers, and postal rates for shipping books, he
\nargues.<\/p>\n
Currently all books -- except for school textbooks, holy books
\nand religious books -- are subject to a 10 percent value-added
\ntax (VAT). This is on top of the various taxes already levied on
\nmaterials, such as paper and printing materials.<\/p>\n
Imported books are also subject to a 10 percent tariff, on top
\nof the regular VAT.<\/p>\n
\"We could cut our prices by 10 percent immediately if the
\ngovernment waived at least the VAT. It's not much, but at least
\nit could entice the public,\" Subagya said.<\/p>\n
IKAPI chairman Arselan Harapan concurs that the government
\nholds the key in the quest for making books affordable,<\/p>\n
The government should establish a clear-cut policy that covers
\nall aspects of book publishing from taxes, export-import issues,
\npublishers, distribution, libraries, to writers and editors,
\nArselan says.<\/p>\n
Murti Bunanta, from the School of Librarianship at the
\nUniversity of Indonesia in Jakarta, believes that the problem,
\nand hence the solution, is far more complex.<\/p>\n
\"It involves many aspects: book publishers, writers,
\nbookstores, government policy, social and cultural conditions,
\netc,\" Murti says.<\/p>\n
If books are to be made less expensive, then it should not be
\nat the expense of writers, she said. \"They too have to live.\"<\/p>\n
Eriyanto, a media analyst and writer from the Information
\nStudy Institute (ISAI), says there is very little economic
\nincentive for aspiring writers because the rewards hardly match
\nthe time and effort expended.<\/p>\n
Although writers are supposed to receive 10 percent of the
\nroyalties for each copy sold, they rarely get their fair share
\nfor various reasons, including being cheated by publishers, he
\nsaid.<\/p>\n
Writers too are in a dilemma because they know that their
\npublishers are hard-pressed for money, he says.<\/p>\n
Arselan of IKAPI says that while the government and book
\npublishers are grappling for ways of making books affordable, the
\ncommunity must not simply stand idle.<\/p>\n
Making inexpensive books is not solely the responsibility of
\npublishers or the government, he says.<\/p>\n
\"Why can't companies set up libraries for their employees, or
\nreal estate developers build a library in each housing complex?\"
\nArselan asks.<\/p>\n
(This one should be made in a graphic illustration)<\/p>\n
Where the money goes for a book that retails for Rp 20,000:
\nCost (paper and printing), 30 percent, Rp 6,000;
\nCommission to bookstores, 35 percent, Rp 7,000;
\nValue added tax, 10 percent, Rp 2,000;
\nWriter's royalty, 10 percent, Rp 2,000;
\nOverhead costs, 10 percent, Rp 2,000;
\nProfit, 5 percent, Rp 1,000<\/p>\n
Source: Petrus Damianus Subagya of PT Grasindo<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/publishers-in-a-bind-over-cheap-books-1447893297", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }