APTINDO calls for standard wheat flour

APTINDO calls for standard wheat flour

JAKARTA (JP): The Association of Indonesian Flour Producers
(APTINDO) called on the government on Tuesday to introduce an
industrial standard for the production of wheat flour in the
country.

The association's chairman Franciscus Welirang said that the
government should apply the National Industrial Standard (SNI) to
local flour production in a bid to protect consumers from low
quality products.

"The application of the industrial standard is also essential
to protect local producers from an influx of cheap, imported
flour from overseas," Fransiscus said at a hearing with the House
of Representatives Commission V for industry and trade.

During the hearing, the association's members complained that
the government's decision in 1998 to remove the import duty on
wheat flour had severely hurt their businesses.

With zero import duty, local wheat producers faced
difficulties in competing with imported wheat, he said.

The government should reimpose the import duty to curb the
inflow of foreign products, he said, adding that the import duty
on flour should be set at at least the same level as that
provided for in the ASEAN Free Trade Area (AFTA) trade agreement.

Under the AFTA agreement, which will be implemented in 2003,
the common tariff on flour imports among ASEAN countries is set
at 5 percent.

Flour imports significantly increased to 367,000 tons in 1999
from 57,000 tons in 1998 as a result of the removal of the import
duty, according to the association. (03)