Rising Plastic Prices Narrow the Operational Space for SMEs
Rising plastic prices are making it increasingly difficult for micro, small, and medium enterprises (SMEs) to maintain their operations. An SME owner in South Jakarta, Tino, 28, says he must adapt to the sharp increase in operational costs. He notes that the price of plastic he usually buys has risen significantly in a short time.
This increase is forcing Tino to reorganise his plastic usage in his business. He says he is still managing with the available stock but is considering limiting its use once supplies run out.
“As far as I remember, yesterday when I checked at the market near my house while shopping, I usually buy plastic for Rp9,000. Now it’s almost Rp16,000,” said the doughnut entrepreneur.
“I ended up buying online to get promotional prices,” he added.
Looking ahead, he says he is considering no longer using plastic for serving purchases.
“There’s still stock now. Later, if the stock runs out, I won’t use plastic. Unless for bulk purchases, then I have to provide plastic,” he explained.
Not only plastic, but cost pressures are also coming from increases in various main raw materials. This situation is further narrowing the room for manoeuvre for small business operators.
“It’s definitely affecting with the rise in plastic prices. But actually, all the raw materials for my business have gone up: almonds, flour, cooking oil, margarine,” Tino clarified.
He admits that the current situation is quite tough for small business owners like himself. He expressed hope that the government will quickly take steps to address the condition.
“So it’s quite difficult for small businesses like now. I hope the government quickly addresses this situation,” he concluded.
SME Minister Maman Abdurrahman revealed that his office has received reports and aspirations from SME actors regarding the increase in the price of product packaging.
The war between the United States-Israel and Iran is impacting the surge in prices of various types of plastic in Indonesia, including in Bangka Belitung Province (Babel).
Plastic product prices have risen since early April 2026 due to disruptions in imports of raw materials from the Middle East.
Apindo views that the increase in plastic raw material prices has exceeded normal fluctuation patterns, even in some cases rising by more than 100%.
Pure raw material plastic is sold for Rp23,000 per pack, up from the previous Rp15,000 per pack.
The recent rise in plastic prices over the last few days is starting to be complained about by business actors and the public.