Fish powder mills to be built

JAKARTA (JP): The Ministry of Agriculture plans to build 80 fish powder mills worth Rp 800 billion (US$88.8 million) to reduce the country's dependence on imports, a senior official has said.

Director General of Animal Husbandry Erwin Soetirto said Wednesday the mills would help reduce skyrocketing prices of feed meal in the domestic market. Fish powder is a raw material for feed meal production.

The import of raw materials for feed meal totaled 194,000 tons worth $150.4 million last year. Imported fish powder alone costs $240 per ton.

"It is expected that the plan to build the plants can go into action soon because it is supported by World Bank funds," Erwin said.

The ministry received $150 million in aid from the World Bank early this month to be used for the development of food crops, especially for those used as raw materials for feed meal.

Erwin said his office was still assessing where the plants would be built. He pointed out that they would be placed near fish producing areas, such as Tegal, Cilacap and Pekalongan in Central Java and Pacitan and Banyuwangi in East Java. (gis)