Cassava Plastic Bag (Image credit: core77)

Indonesia government encourages industries to use bio-plastics

One of the measurements for success in implementing a tax on the plastic bag is the decline in the petroleum-based plastic production and the usage of it. While unrecyclable plastics decrease, the usage of eco-friendly plastic – made up from papers or other natural resources – increase in the packaging industry, said Heru Pambudi, the Director General of Customs and Excise on Wednesday, July 3.

The public knew there is plastic made out of corn and cassava, it is expected by using this plastic the environment could still be protected without abandoning the public needs for packaging, added Heru in the Customs and Excise office in Jakarta.

Previously on Tuesday July 2, the Finance Minister Sri Mulyani Indrawati said government planned to impose tax on unrecyclable plastic bags at Rp 200 per sheet and at Rp 30,000 per kilogram – with an estimation of 150 pieces for each kilogram. The tax shows the country’s contribution in combating plastic pollutions in the world.

Although the tax will affect the price of plastics bags – which is expected to be around Rp 450 to Rp 500 per piece (inflation of 0.045 percent), the Director General of Customs and Excise said the decision on applying the tariff was made after considering many factors and would not destroy industries.

Industry actors, people’s purchasing power, human resources, and the environment have been taken into consideration by the Ministry, added the Director-General.

Although the materials are different, the function of bioplastics derived from corn and cassava will remain the same just like the regular plastic bags and it surely will meet the needs for wrapping things.

He suggested to all industries to switch from using unrecyclable plastics to eco-friendly plastics.

According to the director general, the government promised to give lower or free duties for production machines and raw materials in order to support the bioplastic bags in industries.

Source: https://en.tempo.co/read/1220915/plastic-bag-tax-industry-pushed-to-produce-bioplastic?BeritaUtama&campaign=BeritaUtama_Click_4