Thu, 10 Apr 1997

BBI told to stop making hoes

JAKARTA (JP): President Soeharto has asked state-owned engineering company PT Boma, Bisma, Indra (BBI) to stop producing hoes to avoid a direct competition with small companies.

Minister of Cooperatives and Small Enterprises Subiakto Tjakrawerdaya said that BBI should focus its activities on the production of machinery equipment.

"The company no longer needs to produce hoes because small hoe makers can make good quality ones," the President was quoted by the minister as saying.

Speaking to reporters following a meeting with the President, Subiakto said BBI started producing hoes several years ago due to the shortage of good quality hoes.

Small hoe makers recently complained to the President that they could not sell their products due to the competition from the firm.

Subiakto was quoted by Antara as saying that the President has asked BBI to concentrate on giving technical assistance to small hoe makers, providing raw materials to them, and helping them distribute their products. (jsk)