Rice stock enough for 12 months, Bulog says<\/p>\n
JAKARTA (JP): The State Logistics Agency (Bulog) has dismissed
\nrumors that the country would soon face a rice shortage, saying
\nthat current stocks were sufficient for one year and imports
\nwould continue to flow in.<\/p>\n
Bulog chairman Beddu Amang said yesterday that Bulog rice
\nstocks were currently 2.5 million tons, enough to meet domestic
\ndemand for about 12 months.<\/p>\n
\"We have enough rice for this year. We are continuing to
\nprocure rice and we will import more if our supply is not
\nadequate,\" Beddu said in a media conference.<\/p>\n
He said the agency planned to distribute 200,000 tons of rice
\neach month, 150,000 tons of which would be given to civil
\nservants and members of the armed forces. The remaining 50,000
\ntons would be used for market operations, he added.<\/p>\n
Rice distributed by Bulog makes up only part of the domestic
\nsupply because not all locally grown rice is sold to the agency.<\/p>\n
Beddu said last month that the agency's stocks stood at 2.1
\nmillion tons, enough to meet domestic demand for only three to
\nfour months.<\/p>\n
He also said that domestic rice procurement may fall to
\n250,000 tons this year, the lowest level in 20 years.<\/p>\n
When asked about the differences between the two announcements
\nregarding Bulog stocks, Beddu said the previous account was based
\non the assumption that Bulog's market operations would require
\nover 200,000 tons of rice per month.<\/p>\n
\"Our market operation in October 1997 used 260,000 tons of
\nrice, in November 340,000 tons, in December 445,000 tons, in
\nJanuary 413,000 tons, in February 482,000 tons and in March
\n386,000 tons. The quantity of rice required for market operations
\nbegan to show a decreasing trend in April, when it fell to
\n120,000 tons because the harvest had started. Since then 73,000
\ntons were used in May and 46,000 tons in June,\" Beddu said.<\/p>\n
Beddu was optimistic that the agency would be able to supply a
\nsufficient amount of rice throughout the country at a reasonable
\nprice.<\/p>\n
\"Don't worry, our stocks will increase because we are
\ncontinuing to import rice and we are still receiving food aid
\nfrom other countries,\" he said.<\/p>\n
Meanwhile, Sudjarwo, spokesman for state port operator PT
\nPelindo II which operates Tanjung Priok port, said that no more
\nrice shipments were expected until August.<\/p>\n
\"The last ship carrying imported rice arrived last Friday. It
\nbrought 13,700 tons of rice from Bangkok,\" he said.<\/p>\n
Beddu, however, promised that imports would continue to flow
\nin. He added that Japan had pledged to supply 500,000 tons of
\nrice through a soft loan with a 30-year maturity and a further
\n100,000 tons as a grant, Taiwan had agreed to sell 200,000 tons,
\nChina 250,000 tons, Vietnam 10,000 tons, and Thailand 5,000 tons
\nin the form of a grant.<\/p>\n
Beddu also said that from yesterday sugar mills were allowed
\nto sell their produce directly to the public, adding that Bulog
\nplanned to import raw sugar to help meet domestic demand.<\/p>\n
He said the raw sugar would be refined in sugar mills in
\nJakarta and in mills owned by the state sugar plantation company
\n(PTPN).<\/p>\n
\"Importing raw sugar is US$100 per ton cheaper than importing
\nrefined sugar. The processing cost is $40 per ton so by importing
\nraw sugar and processing it ourselves we will be able to sell it
\nat lower prices,\" Beddu said, adding that refined sugar was sold
\nat $360 per tons.<\/p>\n
He said that Indonesia would need to import 1.3 million of
\nsugar this year if domestic output reached 1.8 million tons.
\nAnnual consumption in the country is a staggering 3.1 million
\ntons.<\/p>\n
Beddu said the International Monetary Fund (IMF) has agreed
\nthat up to Rp 5.6 trillion could be used to subsidize foodstuffs
\nand fertilizers, of which Rp 2.7 trillion would be used to import
\nrice to ensure that supply remained plentiful and prices remained
\nlow.<\/p>\n
\"The subsidy is not being given to help foreign farmers, but
\nto help consumers,\" he said. (gis)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/rice-stock-enough-for-12-months-bulog-says-1447893297",
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