Farmer group to sue fertilizer firms

Farmer group to sue fertilizer firms

JAKARTA: The Indonesian Farmers Association (HKTI) plans to
sue four state-owned fertilizer companies for allegedly failing
to address their chronic supply shortages that in turn have been
blamed for farmers' low productivity.

"We think we need legal intervention in dealing with the
supply shortages, so we will file a lawsuit against Pupuk
Sriwijaya, Pupuk Kaltim, Pupuk Kujang and Petrokimia Gresik as
parties mandated by the government to produce and distribute
fertilizers," HKTI vice chairman Agusdin Pulungan said on
Wednesday.

He said the shortages of fertilizers take place every single
year, especially during cultivating seasons, which often caused
prices to soar abnormally, thus hampering farmers' productivity.

Since the total production of urea, for example, was 6.5
million tons per year and the annual national consumption was
only 4.5 million tons, there should be no reason for these
companies not to meet farmer's supply needs, Agusdin added.

The association also urged the government through the Supreme
Audit Agency to conduct a thorough audit on the companies to
identify the root of the problem. --JP