Indonesia may import 1m tons of rice in 2001<\/p>\n
JAKARTA (Reuters): Indonesia, traditionally one of the world's
\nbiggest rice buyers, is expected to slash rice imports this year
\nbecause of a good domestic crop and abundant stocks, traders said
\non Thursday.<\/p>\n
The country is seen importing a maximum of one million tons of
\nrice in 2001, far below the 2.5 million it bought last year,
\ntraders said.<\/p>\n
Lower imports would likely hit Thailand and Vietnam, the
\nworld's number one and two rice exporters, they added.<\/p>\n
\"I expect the (import) number will be very, very small. We see
\nIndonesia having a good crop this year,\" said one trader at an
\ninternational trade house in Jakarta.<\/p>\n
\"At best, total imports should not be more than one million
\ntons,\" he added.<\/p>\n
Traders said Bulog bought one million tons of last year's 2.5
\nmillion tons of imports. They said Indonesia imported around 3.6
\nmillion tons of rice in 1999.<\/p>\n
State commodity regulator Bulog reiterated last week it would
\nnot import rice this year due to heavy stocks resulting from the
\nlast harvest. The agency is assigned to buy rice from farmers
\nduring the harvest to stabilize prices.<\/p>\n
Indonesia's statistics bureau forecast on Tuesday the country
\nwould produce 50.08 million tons of unhusked rice this year, down
\nfrom 51.18 million tons in 2000, due to fewer plantings and lower
\nproductivity.<\/p>\n
But traders said there would be ample stocks even if the crop
\nwas smaller or damaged.<\/p>\n
\"If we look at the total stocks available in Indonesia today
\nincluding Bulog's, in terms of the total supply, Indonesia is in
\na very, very comfortable situation,\" another Jakarta-based trader
\nsaid.<\/p>\n
One trader in the East Java capital of Surabaya said: \"Bulog's
\nstocks are now over one million tons. They will buy rice from
\nfarmers, not import.\"<\/p>\n
Traders said freshly-harvested rice was starting to flow with
\nIndonesia's main rice harvest underway in Java island and soon to
\nbegin in Sumatra and other islands.<\/p>\n
Farmers have blamed a recent easing of domestic prices on a
\nsmall influx of cheap imports.<\/p>\n
Farmers in Java said they were forced to sell their crop at
\n900 rupiah\/kg, much less than 1,500 rupiah\/kg set by price
\nregulator Bulog.<\/p>\n
Farmers are not permitted to sell all their crop to Bulog.<\/p>\n
According to data from Vietnam's Saigon Port, four vessels are
\nexpected to ship 7,300 tons of 15 percent broken whites to
\nIndonesia this week.<\/p>\n
Traders said they were surprised Vietnam and Thailand were
\nexporting rice to Indonesia as it was not profitable.<\/p>\n
\"Prices of Vietnam and Thai rice are low right now but with
\nthe rupiah rate at 9,600 against the dollar and with a 30 percent
\nimport duty, imports are not profitable,\" the source at the
\ninternational trading house said.<\/p>\n
Indonesia slapped a 30 percent import duty on rice in January
\n2000 to protect local farmers from cheap imports.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/indonesia-may-import-1m-tons-of-rice-in-2001-1447893297",
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