Businesses Start Estimating Losses
Tuesday, 02 May, 2006 | 15:34 WIB

TEMPO Interactive, Jakarta: Businesses started estimating the losses due to the demonstration commemorating the World Labor Day yesterday. Although there has not been an official statement, the total loss of all businesses in Indonesia is estimated to be around Rp840 billion.

Executive Director of the Indonesian Textile Association, Ernovian G. Ismi, said up to now the businesses have not yet know the official loss amount due to the halt in production. However, the numerous laborers chosen to take a day off and join the demonstration has caused an interruption in the production process.

He predicts many textile companies could not meet the textile quota. “This made the buyers stay away because it’s as if we are not able to fulfill the contract,” he said. For that reason, he suggests businesses to ask the laborers to replace the working day lost yesterday so that the production quota can be reached.

The General Director of the Indonesian Food & Beverage Association, Thomas Dharmawan, said the opposite. However, he predicts, on a national level, businesspersons will undergo material loss due to the demonstration.

He illustrated that annually national production reached Rp 210 trillion. Based on that assumption, there are 250 working days in a year, and if the production process is halted even for one day, the loss will be around Rp840 billion. “That's only concerning one day. What if the production process stops more than a day?”

The Industry Minister, Fahmi Idris, said many businesspersons voluntarily allowed their employees to join the demonstration. Some only gave half a day to join the demonstration. “If it is said to disturb the production process, it has indeed,” he said.

According to Fahmi, the government also has not yet been able to calculate the loss of the demonstration because it was to last for three days. The police remain alert until May 21. “Perhaps the loss can be found after May 21.”

Maruli Ferdinand and Zaky Almubarok