Fri, 11 May 2001

Bulog rejects rice swap deal

JAKARTA (JP): The State Logistics Agency (Bulog) will resist the government's proposal to exchange Indonesia's CN 235 airplanes with rice from Thailand, chief Widjanarko Puspoyo said on Thursday.

"Currently, our rice supply is good, so it would be better if the planned deal were postponed to a later time. And if the government insists on continuing with the swap, the airplanes should be exchanged with other commodities, like sugar," he told a media conference as quoted by Antara.

As earlier reported, state-owned aircraft manufacturer PT Dirgantara Indonesia had planned to set up the deal, via the Ministry of Agriculture and Cooperatives, with the Thai government.

Two CN 235 airplanes would be exchanged for Thailand's agricultural products -- rice, sugar and tapioca.

Widjanarko said the rejection against the proposed deal was part of efforts to protect farmers who have already been hit by the abundance of imported rice.(imn)