Government discusses mitigation of plastic price increase impact

Jakarta (ANTARA) - Minister of Cooperatives and SMEs Maman Abdurrahman stated that the government is currently discussing mitigation steps for the plastic price increase, triggered by a surge in raw material costs due to global supply uncertainties, including the impact of the conflict in the Middle East. He emphasised that this situation has affected SME actors, so the government is preparing measures to maintain the continuity of small and medium enterprises. When met at the Ministry of Cooperatives and SMEs office in Jakarta on Monday, Maman acknowledged that several SME actors have voiced complaints regarding the rising plastic prices for product packaging. “Aspirations have already come in. The need for plastic for product wrapping has indeed increased … But we will prepare the mitigation,” said Maman. Regarding the details of the steps to be taken, Maman assessed that it is still too early to explain before the technical discussions are completed. Domestic plastic prices are reported to have jumped 30–80 per cent following the escalation of the conflict in the Middle East involving the United States (US)-Israel and Iran. This turmoil disrupts the supply of main plastic raw materials and drives up prices in the domestic market.