Government told to impose antidumping duties on flour

The Jakarta Post, Jakarta

The House of Representatives urged the government to immediately impose antidumping duties on flour products from Europe, Australia, and the United Arab Emirates to protect local producers.

The demand was made during a hearing session between the House Commission V overseeing trade and industry affairs and the Indonesian Wheat and Flour Producers Association (APTINDO).

"We want the government to quickly impose antidumping duties ... to protect local flour producers," commission chairman Ismangun Notonegoro said.

The country's flour producers are PT Bogasari Flour Mills, PT Sriboga Ratu Raya, PT Pangan Mas, and PT Berdikari.

The Indonesian Antidumping Committee (Kadi) late last year proposed a plan to impose antidumping duties of between 5 to 35 percent from zero percent on flour products from the above countries, but the plan was canceled by Minister of Industry and Trade Rini Soewandi because of high demand at home in the run up to end-of-year festivities.

The giant Bogasari, which is a unit of the publicly-listed instant noodle maker PT Indofood Sukses Makmur, has been the most aggressive in complaining of dumping practices by the overseas flour producers.

Bogasari's market share at home had declined to 70 percent last year from almost 90 percent previously.

Phillip S. Purnama, senior vice president of Bogasari, said that any delay in the anti-dumping measures would only encourage other overseas flour producers especially from India and China to flood the local market.