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Cut in Gas Supply, Industry Cancels Expansion

"Due to suppressed profit, expansion will be difficult"

Selasa, 9 Maret 2010, 12:01 WIB
Arinto Tri Wibowo, Elly Setyo Rini
  (Syarif Abdullah | Surabaya Post)

VIVAnews - The gas supply for industry will be cut by 20 percent as of April 1, 2010. The slash in gas supply is figures as being able to increase products' prices.

However, ceramic industry as one of gas consumers will prefer delay and cancel expansion to rising products' prices.

"Meanwhile, the price increase has yet to inflict any effect. We still believe gas supply will not be cut," Chairperson of the Association of Indonesian Ceramic Industry, Ahmad Wijaya, told VIVAnews on Tuesday, March 9.

Should gas supply be cut, he said, the industry would choose cutting the company's profit than modifying the products' prices.

"Due to suppressed profit, expansion will be difficult," he said.

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Translated by: Bonardo Maulana W



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