Indonesian Political, Business & Finance News

Plastic Prices Rise Quietly, Squeezing Small Traders: Impact of Middle East Conflict?

| | Source: KOMPAS Translated from Indonesian | Economy
Plastic Prices Rise Quietly, Squeezing Small Traders: Impact of Middle East Conflict?
Image: KOMPAS

JAKARTA - Price increases do not always come from obvious sources. In the corners of the city, small changes are slowly being felt in plastic, which is usually considered trivial, now adding pressure on small traders.

In recent weeks, plastic prices in several areas of Jakarta have risen. The impact is directly felt by street vendors who depend on the material every day.

Raden Arka (29), a fried rice seller in the Jatinegara area, East Jakarta, admits that the plastic price increase has occurred since Ramadan.

He says he does not yet know the exact cause of the increase. However, this situation is starting to affect his business.

“If it’s me personally, the fried rice already has a listed price. So I don’t know about the future; if it continues like this, it might have to go up,” he said.

With profits per portion only around Rp 500 to Rp 1,000, the rise in material costs like plastic becomes a burden in itself.

“If it’s me personally, it’s hard (to find an alternative besides plastic) because plastic is like a staple item. We’re too dependent on plastic,” Arka said.

“It’s very heavy because our sales are slow right now, sales are not good. So if all goods rise, we’ll be in trouble again,” said Parti.

Even though costs are increasing, she chooses not to raise selling prices.

“We can’t raise them because the usual buyers are fewer. So we won’t increase our food prices; we’ll stick to the same,” she said.

This plastic price increase is said to be related to the surge in global energy prices due to the conflict in the Middle East.

Coordinating Minister for Food Affairs, Zulkifli Hasan, stated that plastic raw materials derived from fossil fuels are also affected.

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