Cooperatives federation supports Soeharto re-election

JAKARTA (JP): The Federation of Employee Cooperatives (Inkopar) came out yesterday in support of re-electing President Soeharto in 1998.

The federation voted to offer their support, announced by chairman Agus Soedono, at the organization's just concluded national congress.

"Federation which operates as one big family gives its full support for President Soeharto's re-election," Soedono told journalists after meeting with the head of state.

The new president will be elected by the People's Consultative Assembly in March 1998. So far, Soeharto -- who has been re- elected six times -- has no serious rival.

Sri Bintang Pamungkas, head of the unrecognized Indonesian Democratic Union Party, recently announced he would challenge President Soeharto in the 1998 presidential election.

On Sunday, the ruling party Golkar, issued a set of criteria for the future president. Observers say the criteria fit President Soeharto, who heads Golkar's powerful board of patrons.

When he heard the federation's statement of support, Soeharto replied it was up to the People's Consultative Assembly to elect the new president, said Soedono.

Soeharto said the assembly would choose a president capable of implementing state policies, said Soedono.

"Indonesian people should not worry about the presidential election because the standard election procedures already exist," Soeharto was quoted as saying.

The President warned members of the People's Consultative Assembly to elect the new president by musyawarah, or with deliberation and consensus, rather than by voting.

The federation will launch an information campaign aimed at promoting cooperatives in small and medium-scale companies.

Cooperatives and small-scale traders' exports are valued at US$2.3 billion, or 7.2 percent of Indonesia's total non-oil exports.

Cooperatives have proven effective in maintaining harmony in the worker-employer relations.

"Welfare programs can reduce industrial action," he said. About 95 percent of labor strikes in Indonesia has been against companies with no cooperative. (ste)