Sjarifudin wants corn import tariffs raised<\/p>\n
JAKARTA (JP): Minister of Agriculture Sjarifudin Baharsjah
\nsaid yesterday he had asked the minister of finance to increase
\nthe tariff on corn imports in a bid to protect domestic corn
\nproducers.<\/p>\n
Sjarifudin said he had made the request about two months ago
\nand would raise the issue at the next monthly cabinet meeting
\nearly in June.<\/p>\n
He said he had asked for a review of corn import tariff, but
\ndid not elaborate.<\/p>\n
His comments came in response to earlier reports which said
\nthat many feed producers had recently opted for imported rather
\nthan domestic corn as raw material for their products.<\/p>\n
Corn makes up about 60 percent of poultry feed.<\/p>\n
Earlier reports said feed producers in West Java no longer
\nbought hybrid corn from domestic farmers because its price had
\ncontinued to rise since April.<\/p>\n
Imports were said to be cheaper and to meet quality standards
\nmaking it more reliable for feed producers.<\/p>\n
According to Bandung's Pikiran Rakyat daily, feed
\nmanufacturers currently buy imported corn at Rp 416 (17 U.S.
\ncents) a kilogram.<\/p>\n
They buy domestic corn from village cooperatives at between Rp
\n365 and Rp 420 a kg -- a sharp increase since the beginning of
\nApril when it was only about Rp 380 a kg.<\/p>\n
Village cooperatives currently buy corn from farmers at
\nbetween Rp 330 and Rp 370 a kg.<\/p>\n
Domestic hybrid corn is currently grown by farmers under
\npartnership programs which also involve feed producers.<\/p>\n
Officials at the Ministry of Agriculture have expressed
\nconcern over the situation.<\/p>\n
They said it could affect corn-plantation partnership programs
\ncurrently being developed in Central Java, East Java, South
\nSulawesi, West Nusa Tenggara and Lampung.<\/p>\n
The government-designed partnership programs are expected to
\ncover 1.2 million hectares by the end of the year.<\/p>\n
Sjarifudin said yesterday he saw no need to impose penalties
\non feed producers that refused to use domestic corn.<\/p>\n
"Our approach in these cases has always been a market-oriented
\none. Imposing penalties like that is not market-oriented
\nmanagement," he said.<\/p>\n
Domestic corn production is expected to increase to 9.2
\nmillion tons this year, up from about 8.9 million tons last year.<\/p>\n
Sjarifudin predicted earlier this year that hybrid corn crops
\nwould more than double in area to 1.2 million hectares later this
\nyear, from about 500,000 hectares, as a result of the corn-
\ncultivation partnership program.<\/p>\n
Indonesia imports about 1.3 million tons of corn annually,
\nmainly hybrid corn to support domestic poultry feed production.<\/p>\n
Demand for corn has increased sharply from 1.28 million tons
\nin 1990 to about 3.51 million tons last year. It is expected to
\nincrease to 3.81 million tons this year and 4.08 million tons in
\n1998. (pwn)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/sjarifudin-wants-corn-import-tariffs-raised-1447893297",
"image": ""
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