Bungaran, Rini hold talks to resolve policy disagreement<\/p>\n
Adianto P. Simamora, The Jakarta Post, Jakarta<\/p>\n
Minister of Agriculture Bungaran Saragih and Minister of
\nIndustry and Trade Rini MS Soewandi held a two-hour breakfast
\nmeeting on Friday in what seems to be an effort to patch up
\ndifferences over a host of trade policies.<\/p>\n
The informal meeting also involved senior officials of the two
\nministries.<\/p>\n
Rini declined to comment on the content of the meeting. She
\nonly said: "I came here to have a relaxing talk with Bungaran."<\/p>\n
Bungaran talked briefly to the media.<\/p>\n
"This is our second informal meeting since Ibu Rini was
\nappointed Minister of Industry and Trade. We want senior
\nofficials from the two ministries to get to know each other,"
\nsaid Bungaran.<\/p>\n
He hoped that through such informal talks, the two ministries
\ncould build a common perception on particular issues before they
\nare in future proposed to other related ministers or the Cabinet.<\/p>\n
Bungaran and Rini have been in disagreement over a range of
\ntrade policies linked to a number of the country's key
\nagricultural commodities.<\/p>\n
A high profile dispute between the two erupted in April, when
\nRini launched a campaign to force Bungaran to abandon the ban on
\nimported chicken legs from the U.S. Rini said the ban was against
\na ruling by the World Trade Organization (WTO).<\/p>\n
The Ministry of Agriculture imposed the ban in May 2001 in a
\nbid to protect local poultry farmers.<\/p>\n
The ban remains in effect.<\/p>\n
The agriculture minister has proposed a higher import tariff
\non at least four key agricultural commodities including rice,
\nsugar, soybean and corn to protect local farmers against cheaper
\nimported products. But Rini opposes such plans, fearing a
\nnegative impact on consumers and industries as the end-users of
\nthe commodities. A higher import tariff would raise the prices of
\ncommodities here.<\/p>\n
Bungaran had argued that the higher tariff was needed because
\nother countries had already introduced such policies and had even
\nprovided their farmers with subsidies, something the government
\nof Indonesia could not afford.<\/p>\n
He added the higher import tariff on agricultural commodities
\nwas not against any of the WTO's rules.<\/p>\n
Rini then unveiled plans to adopt a ceiling price and floor
\nprice mechanism on sugar to protect both the interests of farmers
\nand consumers.<\/p>\n
But the plan was criticized by Bungaran, saying that such a
\npolicy would be costly for the cash-strapped government.<\/p>\n
Indonesia produces 1.5 million tons of sugar annually, with
\ndomestic consumption of three million tons a year.<\/p>\n
Indonesia imported around 2.1 million tons of sugar in 1999
\nand 1.2 million tons in 2000.<\/p>\n
But Bungaran told the press after the meeting that Rini had
\nagreed in principle to a higher import duties on sugar. She also
\nsupported ideas to provide subsidies to local farmers.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/bungaran-rini-hold-talks-to-resolve-policy-disagreement-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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