www.thejakartapost.com
The international price of silver today was 42 US cents per gram, while the price of silver today in Bali was 66 cents per gram.
For the last 30 years working in the silver industry, I have learned that Indonesia has always followed international pricing, with a very small surcharge, thereby remaining competitive with the rest of the world.
However, this week something has changed drastically. This week, silver prices in Bali have been 50-60 percent higher than international market prices. Can Indonesia afford to lose tens, perhaps hundreds of thousands of workers?
It will, and quickly if something is not done soon. More workshops and factories will close. People will lose their jobs and they will not receive health insurance, workers insurance (Jamsostek) or other benefits.
The government will lose taxes paid by these now bankrupt companies. Indonesia definitely will not be able to compete with all the other silver jewelry producing countries such as China, Thailand, India, Mexico or even the USA.
These countries offer silver at international prices to their factories and workshops — making them all competitive with each other. Indonesia is the only country that will not be able to compete.
How can we pay 55-60 percent more than international market prices and hope to survive?
On behalf of the silver manufacturers association, the home industries, the workshops, casting companies and everyone else in the silver business, I implore the government of Indonesia to step in.
Get to the bottom of this. Import silver if we must, but with fair import taxes that are competitive with the rest of the world.
Please help us before it is too late. ANNA ARIANI SALE
Ubud, Bali