48 factories suspend operations

48 factories suspend operations

SURABAYA, East Java: Amid the prolonged drought in East Java,
48 fertilizer factories have suspended their operations, as
farmers have been unable to work their land and are waiting for
the dry season to end.

Chairman of the Association of small- and medium-scale
fertilizer producers Noer Soetjipto said on Friday in Surabaya
that the figure was expected to increase in the next two months,
as the rainy season was forecast to arrive in early December.

"Many factories have stored products in their warehouses,
waiting for the dry season to end, at which time the farmers are
expected to resume their activities," he said, saying the
companies had laid off some of their workers to minimize their
operational cost.

He said the lay-off was a must, as otherwise, the companies
owner would pay around Rp 108 million per month for their
employees' salaries

Local farmers have being facing a massive crop failure, since
tens of thousands of hectares of rice plants have died from the
drought. -- JP