RI to import high-quality U.S. rice<\/p>\n
JAKARTA (JP): Indonesia is prepared to import 10,000 tons of
\nhigh-quality rice from the U.S. under the GSM-102 credit
\nguarantee program, Minister of Food Ibrahim Hasan says.<\/p>\n
Ibrahim told a meeting of editors and reporters here yesterday
\nthat the imported rice, due to its fine quality, would not
\nthreaten local rice producers.<\/p>\n
\"This has been approved by President Soeharto and a memorandum
\nof understanding will soon be signed between the governments of
\nthe two countries,\" Ibrahim said.<\/p>\n
He said the imported rice would likely only be sold at top-
\nrated restaurants and hotels, and wouldn't prevent Indonesians
\nfrom continuing to consume the inferior locally-produced rice.<\/p>\n
Under the General Agreement on Tariffs and Trade (GATT),
\nIndonesia is actually required to import as much as three percent
\nof its domestic consumption of some 20 million tons of rice.<\/p>\n
He said the world market supply was only about 12 million tons
\nof rice, or about four percent of the world output, while
\nIndonesia's domestic rice production reached 25 million tons a
\nyear.<\/p>\n
\"The world rice market is dominated by the U.S., Vietnam and
\nThailand, who supply 60 to 70 percent of the world market,\"
\nIbrahim said.<\/p>\n
He therefore saw the plan to buy 10,000 tons of rice from the
\nU.S. as an effective way of meeting GATT rules.<\/p>\n
Ibrahim said the GSM-102 will guarantee US$200 million in
\nloans for U.S. agricultural exports to Indonesia, such as rice,
\nsoybeans, cotton and meat. \"The loans will mature within three
\nyears and the interest will not exceed 3 percent,\" he said.<\/p>\n
\"We are also proposing to import about 75,000 tons of
\nsoybeans,\" he said.<\/p>\n
Ibrahim added that the imports would also benefit Indonesia in
\nterms of soft-loan financing. (10)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/ri-to-import-high-quality-us-rice-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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