Plastic producers oppose higher tax

The Philippine Plastics Industry Association and other stakeholders expressed opposition to House Bill No. 9171 that will impose a P20 excise tax for every kilogram of plastic bags removed from the factory or customs territory.

“The bill encompasses not only us, but all the industry users of plastic bags as primary and secondary packaging, like processed or frozen foods, hygiene and health care, medical and pharmaceutical products, and all agricultural and agro-industrial commodities, including products for export, also as the safest, stronger, and most hygienic material for transporting goods,” said PPIA president Danny Ngo.

He said the entire domestic retail and micro-businesses using plastic carrier bags and all consumers would shoulder the higher costs. This does not spare even the smallest outlets like sari-sari stores that number over 1.3 million, he said.

The group said the measure would severely affect the informal sector like vendors. The International Labor Organization in 2013 stated that the Philippine informal economy, including micro-retailers vendors, make up 72.5 percent of employment in the Philippines.

Topics: Philippine Plastics Industry Association , House Bill No. 9171 , excise tax
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