Bulog role in cooking oil distribution comes to an end<\/p>\n
JAKARTA (JP): The government removed yesterday the
\ndistribution role of the State Logistics Agency (Bulog) for
\ndomestic cooking oil.<\/p>\n
Minister of Trade and Industry Rahardi Ramelan said that with
\nthe new scheme, effective today, the state joint marketing office
\n(KPB) would buy all cooking oil from the Association of
\nIndonesian Edible Oil Industries (AIMMI) and sell it directly to
\nmarket retail cooperatives (Inkoppas) in the city at Rp 3,500 per
\nkilogram.<\/p>\n
The cooperatives would then sell cooking oil at city markets
\nat a maximum price of Rp 4,000 per kilogram.<\/p>\n
KPB's head Asep Tojib said Jakarta's cooking oil supply
\ncurrently stood at 22,520 tons. The amount is sufficient for 35
\ndays' supply at 600,00 tons per day.<\/p>\n
Previously, KPB and plantation firms had to sell their crude
\npalm oil to Bulog, which then distributed it to several appointed
\nrefineries to be processed into cooking oil. The refineries had
\nto sell back their cooking oil products to Bulog, which then
\ndistributed it to the domestic market.<\/p>\n
Bulog has long been criticized for inefficiency and
\nuntransparent practices in distributing cooking oil in the
\ncountry.<\/p>\n
On Feb. 1, the agency lost its monopolies to import and
\ndistribute several important commodities under an economic reform
\nprogram agreed with the International Monetary Fund (IMF). It
\nstill controls the market for rice.<\/p>\n
Rahardi said the current scheme was just a temporary scheme
\nand was only in force until the government came up with a better
\nscheme which was more efficient and transparent.<\/p>\n
Rahardi said the current scheme would come into effect only in
\nJakarta due to reports of a scarcity of cooking oil in the city's
\nmarkets which has resulted in skyrocketing prices.<\/p>\n
\"Besides, bad distribution in Jakarta would affect cooking oil
\ndistribution in other cities,\" he added.<\/p>\n
He said the next scheme -- being prepared by the ministry in
\ncooperation with the Ministry of Forestry and Plantations, and
\nstate minister of the empowerment of state enterprises, cooking
\noil producers and traders -- was expected to be ready in two
\nweeks.<\/p>\n
The next scheme will ensure an adequate domestic supply of
\ncooking oil with more transparency, Rahardi said.<\/p>\n
Meanwhile, Inkoppas president H. Wirman said cooperatives
\nwould punish retailers found guilty of selling cooking oil above
\nRp 4,000 a kilo by cutting off their cooking oil supply. (gis)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/bulog-role-in-cooking-oil-distribution-comes-to-an-end-1447893297",
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