Urgent Need For Regulating The Prohibition of Trading of Lead Paints Under Presidential Regulation

Urgent Need For Regulating The Prohibition of Trading of Lead Paints Under Presidential Regulation

Tahun Terbit: 2021

Keterangan:

The¬† industry¬† of¬† paints¬† and¬† coatings¬† in¬† Indonesia¬† has¬† a¬† relatively¬† robust¬† market¬† in Indonesia. This condition is demonstrated with Indonesia‚Äôs position as the biggest market for paints and coatings in Southeast Asia. During the period of 2014 ‚Äď 2019, the industry of paints and coatings in Indonesia grew at the rate of 6% annually. This growth is resulted from business activities that are performed by 150 paint manufacturers¬† in¬† Indonesia with production capacity reaching 1.5 million MT annually in order to fulfil dominating domestic¬† demands¬† amounting to¬† 1.1 million MT¬† annually.¬† Based¬† on such market¬† data, players within the industry of paints and coatings in Indonesia view the market for paints in Indonesia to be classified as dynamic with the estimation of reaching compound annual growth rate (CAGR) at the rate of 10% with decorative paints act as the highest contributor toward such growth estimation.

 

Furthermore, Law Number 7 of 2014 on Trade (Law No. 7 of 2014) mandates the regulation on  prohibition  or  restriction  of  trading  of  goods  and/or  services  under  Presidential  Regulation (PR). The PR on prohibition of trading of goods may be implemented for the prohibition of trading of lead paints.

Concerning  the  drafting  of  PR,  Ministry  of  Trade  and  Ministry  of  State  Secretariat  are  authorized  to  propose  the  formulation  of  draft  PR  on  Prohibition  of  Trading  of  Goods,  especially  regarding  the  Prohibition  of  Trading  of  Lead  Paints.  This  Policy  Brief  will breakdown the urgent need for prohibition of lead paints in Indonesia, and the available option  of  addressing  this  prohibition  under  the  instrument  on  prohibition  of  trading  of  goods and/or services.

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