Packaged Beverage Factories Cry Out to Government Over Surging Plastic Prices

Jakarta, CNBC Indonesia - The Indonesian Packaged Drinking Water Association (Amdatara) has requested the government to intervene in order to curb the rise in plastic raw material prices.

Amdatara’s General Chairman, Karyanto Wibowo, stated that the government needs to intervene in the plastic price increase to prevent industry players from growing more concerned. Without this, further rises in product prices will become unavoidable.

“If there is no swift intervention from the government, steeper price increases and disruptions to the supply of packaged drinking water (AMDK) in the market will be hard to avoid,” Karyanto told CNBC Indonesia on Monday (13/4/2026).

He also encouraged the government to intervene in various ways, such as relaxing value-added tax (VAT) on packaging, exempting anti-dumping import duties on resin, and providing liquidity stimulus for AMDK SMEs.

“We are currently pushing the government to provide shock absorber policies in the form of VAT relaxation on packaging, exemption from anti-dumping import duties on resin, and liquidity stimulus for SMEs so that this industry can continue to survive and meet the needs of the community,” he explained.

As is known, the AMDK industry is one of the important pillars of the national manufacturing sector. Currently, there are 707 factories with an installed production capacity of 47 billion litres per year and absorbing around 46,000 direct workers.

This industry also supports millions of workers along the distribution supply chain and makes a significant contribution to the Indonesian economy as part of the food and beverage subsector.

In addition, AMDK plays a strategic role in public health by providing access to safe, hygienic, and quality drinking water, thereby helping to reduce the risk of diseases transmitted through unclean water.