Investment In Paper Industry Expected To Increase Eight Percent

Jakarta, Jan 31 (ANTARA) - Paper industry in Indonesia is expected to be able to increase its investment up to eight percent this year. The director general of agro-industry, Benny Wachjudi said here on Thursday: "I hope investment in the industry could rise six to eight percent." Investment in the paper industry is indeed expected to increase, but not in the pulp industry which is still difficult to rise, he said. He said investment in the paper industry could increase because Indonesia has abundant pulp supply. "We have pulp and it could help increase investment. We also export pulp and paper exports have also been quite good in the midst of anti-dumping and other issues," he said. Benny said paper industry growth could indeed be hindered due to electricity supply problems but not pulp industry because it uses coal. According to data from the National Statistics Agency (BPS) Indonesia`s paper exports to Japan rose 3.68 percent from January to September 2012 to US$457.9 million from US$441.7 million the year before. The growth occurred in the midst of accusations that Indonesian paper producers have sold their products to Japan at a price lower than in the country. Most of Japan`s total paper imports is from Indonesia comprising up to 79.1 percent, followed by China reaching 7.1 percent, Thailand 1.6 percent and Taiwan 1.4 percent.