Cianjur SMEs Affected by Rising Plastic Prices
SMEs in Cianjur Regency, West Java, are feeling the impact of rising plastic prices. The increase, reaching 80-100%, directly affects production costs.
Yeti Hernawati, for example, claims to feel the full impact of the rising plastic prices. This is because plastic packaging is an essential need for her cake and processed food business.
“The rise in plastic packaging prices has been happening since Eid. This naturally impacts production costs, which have ballooned,” said Yeti on Thursday (9/4).
The rise in plastic raw material prices is said to be due to global conditions, including the conflict in the Middle East. For business actors, even a small rise in raw material prices will have a significant impact.
“Plastic needs are one of the main things in our business. It’s certainly burdensome,” she stated.
The price of clear plastic, which was previously around Rp15,000, has now surged to Rp25,000. Meanwhile, the price of plastic jars has risen from Rp5,000 to Rp8,000 per unit. “Like it or not, we have to recalculate production costs,” she explained.
Yeti admitted she does not dare to increase selling prices to offset the rising plastic prices. She is worried that consumers will object, making her products unsellable.
“We have to think carefully if we want to raise prices. Especially if consigned to shops, we can’t raise them immediately. It has to be proposed first and usually the increase is limited. The most it can rise is around Rp2,000,” she clarified.
Intan Suhartini, a plastic trader, said the increase has been occurring since before Eid. However, prices have risen more significantly after Eid.
“The initial rise was observed in February. It was about 5-10% at that time. But after Eid, it jumped again up to 40-100%,” she revealed.
The highest increase occurred in plastic made from polypropylene (PP) base material because it depends on imports. This material is commonly used for clear plastic, drink cups, and jars.
“The price of clear plastic, which was still Rp35,000 per kilogram two months ago, now reaches Rp52,000. Pure plastic bags have also risen up to 100% from Rp18,000 to Rp36,000,” she concluded.