GAPKINDO WANTS GOVT TO REINFORCE RUBBER DOWNSTREAM INDUSTRY

by Andi Abdussalam

Jakarta, Feb 16 (Antara) - The Indonesian Rubber Producers Association (Gapkindo) wants the government to strengthen the country's rubber industry by opening the downstream rather than the upstream sector to foreign investors.          Gapkindo chairman Moenardji Soedargo said his association would welcome it if the government opens the door to foreign investors in the downstream rubber business to reinforce the integral structure of the rubber industry in the country.          However, the rubber industry in the upstream sector, such as crumb rubber business, should allow only the national or domestic industry players, with the number of existing factories in the country now reaching 140.          As of now, the existing rubber factories in the upstream areas were unable to operate to their full capacity and could not absorb workers optimally. "In such conditions, offering new investment (in the upstream sector to foreign investors) will kill the existing industry," Moenardji Soedargo said in Jakarta on Monday.