Cooperatives demand rice payment

YOGYAKARTA: Dozens of people representing 15 Village Cooperative Units (KUD) urged on Wednesday the provincial legislature help them obtain nearly Rp 7 billion in debt payments from the Provincial Logistics Agency (Dolog).

During a rally held at the legislature building on Jl. Malioboro, spokesman for the protesters Budiono said the debt was accrued from the purchase of some 3,000 tons of unhusked rice in August.

According to a government regulation, Dolog is obliged to buy farmer's rice through KUD at a price set by the government.

"We have cracked under pressure, because the farmers have frequently come to us to ask for their money," Budiono said.

He said the cooperatives had halted operations due to the lack of money.

Last month hundreds of farmers rallied at the logistics agency compound to demand the payment. They said they ran out of money to cultivate their rice fields and to buy seeds.

The Dolog head, Thamrin Samidi, told the farmers that beginning in the middle of October, he would pay for the rice in two stages. (44)