Indonesian Political, Business & Finance News

Destruction of smuggled sugar

| Source: JP

Destruction of smuggled sugar

H.M. Rienaldo Thamrin has written that the plan of Trade
Minister Rini Soewandi to destroy smuggled sugar shows the
absence of a sense of crisis and the influence of the old
paradigm of sectoral arrogance, which takes no account of the
interests of the nation (Tempo, April 18).

I agree that the smuggled sugar should not be destroyed
because the smugglers have imported it using state foreign
exchange funds, which are not easy to come by.

The worry that smuggled sugar will enter the market in
Indonesia and therefore cause domestically produced sugar to
decline in price, is quite understandable. It is indeed quite a
problem here. If you distribute the smuggled sugar to the poor,
who do not usually buy sugar, they may be happy but may also sell
it so that they can buy rice or instant noodles.

Ultimately, of course, the smuggled sugar will also enter the
market.

I suggest, therefore, that the sugar should be sold to
industrial companies that usually use imported molasses as a raw
material.

I have approached some MSG manufacturers to ask them whether
they are ready to buy the sugar but they have rejected the offer
on the grounds that such sugar is something that is forbidden
under Islamic law. This means that if it were used to produce
something, whatever was produced would also be forbidden under
Islamic law. I guess smuggled sugar may have to be sold to
alcoholic drinks manufacturers in the end as their products are
considered forbidden under Islamic law.

My conclusion is that the smuggled sugar need not be
destroyed.

SUNARTO PRAWIROSUJANTO, Jakarta

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