Imported cement expected to heal acute shortage<\/p>\n
JAKARTA (JP): The government decided yesterday to open the
\ngates to imported cement to overcome an acute shortage that is
\nalready hampering its development programs.<\/p>\n
Coordinating Minister for Political Affairs and Security
\nSoesilo Soedarman, making the announcement at his office
\nyesterday, also promised to punish the speculators hoarding
\ncement in order to profit from the shortages.<\/p>\n
On a separate occasion, the dominant Golkar faction in the
\nHouse of Representatives (DPR) condemned the cement speculators,
\nlikening their tactics to those employed by the communists in
\nsabotaging the nation.<\/p>\n
The prices of cement have skyrocketed in recent months because
\nof shortages caused partly because of the rising demand from the
\nconstruction sector, but also aggravated by the speculators.<\/p>\n
In Jakarta, a 40 kilogram sack of cement now costs up to Rp
\n12,000, double the official reference price. In the regions, the
\nsacks could sell for more than Rp 20,000.<\/p>\n
The cement shortage was discussed yesterday at the monthly
\nmeeting of ministers under Soesilo's charge.<\/p>\n
The government feels that reopening imports is the best
\nsolution, Soesilo told reporters after the meeting. "We have to
\ntake immediate action because the scarcity is threatening the
\ndevelopment program."<\/p>\n
Commenting on reports of hoarding by speculators, the minister
\npromised to take tough action. "No-one should profit from other
\npeople's misery," he said.<\/p>\n
Details of the imports will be announced by Coordinating
\nMinister for Industry and Trade Hartarto soon.<\/p>\n
Government officials earlier said that despite the increase in
\nthe country's production capacity, the cement shortage would
\nlikely remain until 1997 in the absence of imports.<\/p>\n
Golkar<\/p>\n
The Golkar faction of the DPR joined in the condemnation of
\ncement speculators yesterday, saying that the profiteers were
\nemploying "communist tricks" to serve their personal interests.<\/p>\n
The faction supports the government's plan to take action
\nagainst speculators, although members question the lack of any
\nclear explanation from the government about the shortage.<\/p>\n
The faction's deputy chief, Ali Mursalam, told reporters
\nyesterday that the speculators are undermining the government's
\neconomic development drive.<\/p>\n
The reference to communists was picked up from remarks by the
\nGolkar chairman, who warned on Wednesday against the latent
\ndanger of communism in Indonesia.<\/p>\n
On Saturday, Oct. 1, Indonesia marks Pancasila Sanctity Day,
\nwhich is held to commemorate victory over communism when the
\nnation foiled a coup attempt by the Indonesian Communist Party
\n(PKI).<\/p>\n
The coup, launched on the evening of Sept. 30, 1965, was
\naborted during the following morning thanks to the rapid reaction
\nof Army Maj. Gen. Soeharto, now Indonesia's president. (par\/pan)<\/p>",
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"sponsor": "Okusi Associates",
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