The government has begun an investigation into the dumping of biaxially oriented polypropylene (BOPP) imported from Thailand and Vietnam, with the product allegedly sold below fair market price, as per The Jakarta Post.
The chair of the Trade Ministry’s antidumping committee (KADI), Ernawati said, “The investigation is being carried out at the request of local firms PT Trias Sentosa and PT Lotte Packaging."
Trias Sentosa, which produces BOPP and baxially oriented polyester (BOPET), saw its net sales drop by 0.8% to Rp 1.28 trillion (US$90.5 mln) in H1 of this year from Rp 1.29 trillion in the same period last year, with domestic sales decreasing by 3.9%.
According to Trade Ministry data, total BOPP imports from Thailand and Vietnam stood at 26.487 metric tons in 2012, making up 60% of Indonesia’s total BOPP imports at the time and last year hit 23.443 metric tons, or 65% of total BOPP imports.
Budi added that the association expected the government to thoroughly investigate the alleged dumping practices and formulate policy to protect the local industry.
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