The Indonesian Chamber of Commerce and Industry (Kadin) has proposed to the government to revise a 1996 regulation on antidumping and antisubsidy duties.

The deputy chairman of Kadin's permanent committee on food, beverage and tobacco industries, Ratna Sari Loppies, said a provision in the government regulation contradicted an article in an agreement to implement a World Trade Organization (WTO) ruling.

The provision stipulates that an investigation into an alleged dumping allegation can be carried out only if it is requested by domestic producers whose collective output constitutes more than 50 percent of the respective industry output.

The provision is not in line with a WTO ruling, which says an investigation can be carried out if requested by producers that control 25 percent of industry output.

"The discrepancy between the WTO ruling and the government regulation has made it hard for domestic manufacturers to file petitions on dumping," Ratna told The Jakarta Post recently.

Dumping occurs when a manufacturer exports their products to another country at prices below those charged in their home market or even below their production costs.

The WTO allows governments to protect specific home industries from the negative impacts of a spike in imports of any products causing serious damage to a domestic industry that produces directly competing products.

Ratna said the WTO article was in fact already well translated into one article of a 2001 industry and trade minister decree, which replaced a similar decree from 1996 on mechanisms, terms and conditions of investigation for petitions against dumped and/or subsidized goods.

"But a ministerial decree cannot overpower a government regulation, can it? That's why we need to revise the 1996 government regulation, and also to strengthen the 2001 ministerial decree."

Trade Minister Mari Elka Pangestu said she had passed on Kadin's proposal to a related unit in the Trade Ministry.

"I've asked my staff handling this to study and evaluate this proposal. *They said* there were several points we need to study and change in the regulation," Mari told the Post at the State Palace recently.