Thu, 10 Dec 1998

Central Java provides fertile ground for unrest

BLORA, Central Java (JP): Looting broke out again in Blora on Wednesday when crowds of people said to be from out of town ransacked stores in search of fertilizers.

Witnesses said 1,000 people arrived in Todanan, 40 kilometers northwest of Blora, early on Wednesday morning. They arrived on motorcycles, in trucks and on foot.

District head Adi Purwanto said the people had come in search of fertilizers from villages in the nearby regency of Grobogan. However, agricultural supplies stores in the local market have been closed since unrest sparked by the price and shortage of fertilizers first flared up here on Sunday.

Looters claimed traders have been hoarding fertilizers and said they could not afford to pay the new unsubsidized prices.

On Friday, Minister of Agriculture Soleh Solahuddin said the government had decided to lift subsidies on fertilizers and end restrictions to their trade after state fertilizer firm PT Pupuk Sriwijaya (Pusri) failed in its duty to ensure that an adequate supply of fertilizers reached the nation's farmers.

Producer floor prices for unhusked rice were also raised at the same time to compensate farmers.

Unrest caused by a shortage of fertilizers first flared up in the area on Sunday. On Monday evening, 2,000 people looted shops and houses, including five shops selling fertilizers. Stores selling general supplies and gold were also looted.

Regent Soekardi appealed to shop owners to sell fertilizers at the old, subsidized prices after looting lasted well into Tuesday afternoon.

As of Tuesday, only one shop had reportedly been forced to sell urea and SP36 fertilizer for the old prices of between Rp 500 and Rp 800 per kilogram. Prevailing market prices are now Rp 1,115 and 1,600 per kilogram respectively.

On Wednesday, crowds were also seen carrying sacks of fertilizer out of a warehouse belonging to Pusri.

All motorists approaching the area were stopped by police and warned to be careful. (har/anr)