Government offers help to dairy cooperatives<\/p>\n
JAKARTA (JP): The government has offered assistance to dairy
\ncooperatives in finding a solution to their debt problems.<\/p>\n
\"The cooperatives facing problems with their debts should
\nreport to the government. We are ready to help solve the
\nproblems,\" Minister of Cooperatives and Small Enterprises
\nSubiakto Tjakrawerdaya said after the opening of an annual
\nmeeting of the Indonesian Association of Dairy Cooperatives on
\nFriday.<\/p>\n
He said his ministry might establish a special team to study
\nthe debt problems of dairy cooperatives and to seek ways to solve
\nthem.<\/p>\n
He acknowledged that out of the association members'
\noutstanding debts of Rp 300 billion (US$124.3 million), Rp 40
\nbillion had gone sour.<\/p>\n
Subiakto explained that the cooperatives' financial
\ndifficulties were mainly due to the fact that the farmers only
\nhad small herds of cows, lacked capital and lacked knowledge
\nabout cattle raising.<\/p>\n
\"The productivity of their cows, therefore, is very low,\" he
\nsaid.<\/p>\n
He said each farmer currently had only one to three milk cows,
\neach of which produced only 10 liters of milk per day.<\/p>\n
The dairy business would be profitable if each farmer had a
\nminimum of 10 cattle, each with a productivity of 15 liters per
\nday, he said.<\/p>\n
When asked whether the government might offer to write off
\ndairy farmers' debts, Subiakto said: \"It's possible. But,
\ncertainly we have to study the debt problems case by case\"<\/p>\n
Meanwhile, the chairman of the association, Hardjono
\nHamidjojo, reported to the minister that most of the group's
\nmembers had made a profit since 1992, with a collective profit of
\nRp 141.6 million in 1992, Rp 1.07 billion in 1993, Rp 537 million
\nin 1994, Rp 409.7 million in 1995 and Rp 309.4 million in 1996.<\/p>\n
The association, he said, currently grouped 205 cooperatives
\nwith 80,000 total members.<\/p>\n
He said Indonesia's milk consumption was estimated at two
\nmillion tons this year, while local production might reach only
\n600,000 tons. The country, therefore, would have to import the
\nbalance.<\/p>\n
Domestic milk consumption usually increases by an average of
\n12.8 percent per year, he added. (10)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/government-offers-help-to-dairy-cooperatives-1447893297",
"image": ""
},
"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
}