Do we have to import rice?

In Indonesia rice is a vital commodity and there are worried rumors if there is a shortage of it or prices soar beyond control. The government realizes this and always keeps a close watch on the rice situation. If a shortage in certain areas is expected then Bulog (the National Logistics Agency) steps in with what we call market operation to keep prices stable and the stocks adequate.

In The Jakarta Post on Dec. 4 we read: "According to Bedu Amang (Bulog chief) the Indonesian government will not import rice because the national rice supply is adequate." But the state minister of food, according to Kompas on Dec. 4, 1997 said that the government would keep the import tap open to fill the shortage in our national rice stock.

The Bulog chief stated that the supply was adequate and thus no import was needed. On the other hand, the state minister of food, who is one and the same person, stated that the government would import rice to overcome the shortage in the rice stock. I do not know who to believe.

However, allow me to present the facts according to the National Bureau of Statistics, which explains the rice production, consumption and the surpluses, expressed in million tons. In the following list P=production, C=consumption and S=surplus.

1994: P 29,216, C 25,138, S 4,620

1995: P 31,738, C 25,547, S 6,191

1996: P 32,604, C 25,951, S 6,653

1997: a surplus of 4,996 is expected.

Due to the increase of production every year the surplus stock is never used, so if we add up all surpluses since 1994 then Indonesia has a surplus of 22,410 million tons. Unfortunately, there is no explanation given as to what has happened to this.

In our financial crisis now is it necessary to import rice and spend foreign currency for that?

Only the state minister of food can give the correct answer, because he is the one who said that the government would import rice and not the Bulog chief.

SOEGIH ARTO

Jakarta