UMKM "Bruised" by Plastic Price Surge

JAKARTA, KOMPAS.com - Micro, Small, and Medium Enterprises (UMKM) have been battered by the high cost of plastic over the past few weeks.

The surge in plastic prices has put pressure on UMKM operators, reducing their profits by 16 to 25 per cent.

A rice trader at Lenteng Agung Market in South Jakarta, Timan, has had to spend more capital due to the plastic price hike.

“The profit that should have been Rp 30,000 per sack has been reduced by Rp 5,000 to cover the additional cost of the plastic,” said Timan when met at his stall on Friday (10/4/2026).

In the end, Timan had no choice but to squeeze his rice selling margins even though his capital expenditure has increased.

“Yes, we end up reducing profits and increasing capital,” said Timan.

According to him, UMKM operators are feeling the impact of the plastic price increase very acutely.

Timan uses various sizes of plastic for buying rice by the kilo.

The plastic that used to cost Rp 65,000 per bundle has now surged to Rp 135,000. That means an increase of 100 per cent.

In addition, the price of sacks has also risen. Sacks of 10 kilogram and 20 kilogram sizes have jumped by Rp 1,000 per unit.

“Wow, the increase is extraordinary,” Timan complained.

A pukis trader at Lenteng Agung Market, Sata, said the price of plastic she usually buys has surged from Rp 8,000 to Rp 12,000 per pack, and mika from Rp 18,000 to Rp 25,000.

Faced with this increase, she chose to hold her pukis selling price because she fears losing customers.

As a result, profits from selling pukis have dropped by up to 25 per cent.

“About a quarter, for example, if a day I get Rp 100,000, it becomes Rp 75,000,” she said.