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Gas Container Imports to Be Halted in March

The imports should have been stopped end of 2008 but Pertamina requested extension.

Rabu, 7 Januari 2009, 08:22 WIB
Hadi Suprapto, Elly Setyo Rini
3 kg gas containers in a factory in Tangerang. (Antara/Ismar Patrizki)

VIVAnews - The Indonesian government and Pertamina agreed to stop importing steel gas containers for kerosene-to-LPG conversion program by March 2009.

"It should have been ended by late 2008. However, Pertamina requested for extension until March," said the Department of Industry's Directorate General of Industry, Metal, Machineries, Textiles and Multifarious's Director of Metal I Gusti Putu Suryawirawan on Tuesday, Jan 6.

Pertamina's targeted steel gas containers imports in 2008 was 6.5 million units. However, the imported number of gas containers were only one million units.

Suryawirawan said that no imports of gas containers are allowed after March 2009.

Pertamina has held tender for steel gas containers import for January-March 2009 period. "Up until March, 18 million steel gas containers will be supplied," he said. In addition, total gas containers supply until late 2009 will reach 45 million.

Steel gas container price for the new tender will decrease due to a fall in the price of supplementary goods. Steel gas container price will be at Rp 117,000 (US$10.70) compared to the previous Rp 126,000 (US$11.53) per unit.

Nonetheless, Krakatau Steel, the main supplier of domestic gas containers' raw materials, is still demanding that old prices are maintained to enable the company to sell remaining stock of gas containers.

Translated by: Bonardo Maulana Wahono



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