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Jakarta Post

Government to exclude F&B plastic packaging from new tax rule

News Desk (The Jakarta Post)
Jakarta
Tue, February 7, 2017

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Government to exclude F&B plastic packaging from new tax rule Supermarket shoppers are seen with shopping carts full of goods. (Harian Kompas/Yuniadhi Agung)

T

he government will move forward with its plan to impose plastic excises, particularly for plastic bags used in retail outlets to prevent the overuse of plastic, but will exclude plastics for food and beverage packaging for now, an official has said.

“We will collect taxes from plastic bags. They should use recycled plastic. But we will not collect excises from food and beverage plastic packaging,” said the Finance Ministry’s customs and excise director general, Heru Pambudi, in Jakarta on Tuesday as reported by kompas.com.

However, excises for food and beverage plastic packaging are expected to be collected in the future. The ministry is researching the possible collection of excises from food and beverage plastic packaging.

He, however, stressed that his office would communicate with all stakeholders, including associations of plastic industries and the plastic users, he added.

(Read also: 17 associations reject plan to impose plastic taxes)

 A forum of 17 associations of plastic producers and consumers, dubbed FLAIPPP, previously expressed its rejection of the government’s plan to impose excises on plastic, arguing that such a policy would reduce the competitiveness of Indonesian products.

Meanwhile, Indonesian Food and Beverage Producers Association (GAPMMI) head Adhi S. Lukman said such a policy would also seriously affect food and beverage companies that used plastic packaging. (bbn)

 

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