EC eases grip on RI sack products

The European Committee (EC) has terminated its antidumping investigation into Indonesian sacks and bags exported to Europe, a senior trade official said.

With the EC decision, made on Nov. 18, Indonesian sack and bag products could enter the European market without having to pay antidumping duty, said Pos M. Hutabarat, Director General of International Trade and Industrial Cooperation at the Ministry of Trade and Industry, in a press statement issued on Friday.

The termination move was made following a request from the European Association for Textile Polyefins (EATP) to withdraw its earlier complaint with the EC on the Indonesian export products.

On April 13, 1995, the EC accused the Indonesian sack and bag manufacturers of dumping practices. Since October 1997, the EC has imposed an antidumping duty on Indonesian sack and bag products.

The European Union (EU) is one of the main export destinations of Indonesian sacks and bags, with an average annual export value of US$17.7 million during 1999-2002. This market absorbs around 27.82 percent of the country's total sack and bag exports.

The EU market is also seen as a gateway for Indonesian export products to non-EU markets. -- JP