Food prices down in several towns: Report

JAKARTA (JP): The government's efforts to lower the prices of basic commodities by selling directly to the public has shown positive results, a media report said yesterday.

The government's "market operation" has brought about encouraging results in Semarang and Yogyakarta, two major Javanese cities.

In the traditional markets of Kotagede, Sentul and Prawirotaman in Yogyakarta, prices of all basic foodstuff except rice dropped significantly, Antara reported.

The price of cooking oil, for instance, steadily decreased over the last four days from Rp 5,000 (71 U.S. cents) per liter to Rp 3,200 per liter, the news agency quoted several traders as saying.

It reported that the price of wheat flour dropped from Rp 1,000 per kilogram to Rp 700 per kilogram, tapioca flour from Rp 2,000 to Rp 1,700 and sugar from Rp 1,800 to Rp 1,600.

High priced essential commodities sparked rioting in various parts of the country over the past month. Rioters targeted mainly shops and property of entrepreneurs of Chinese descent.

Traders said the latest development in prices was due to the government's market operation which enabled people to buy goods at prices lower than market rates.

Smooth delivery and easy terms of payment for cooking oil by distributors also attributed to the lower prices of essential commodities.

Head of Yogyakarta's industry and trade office Ngadiyono, who supervised the market operation, said over the weekend the government would keep trying to bring the price of cooking oil down to Rp 3,000 per liter.

In Central Java's capital of Semarang, the prices of commodities were also reported to have decreased in traditional markets such as Johar, Bulu and Peterongan.

The price of top quality cooking oil in Johar market on Saturday, for instance, was down from Rp 5,200 per liter to Rp 4,250, whereas second-grade cooking oil was lowered from Rp 4,500 per liter to Rp 3,000.

The price of sugar was down from Rp 2,000 per kilogram to Rp 1,650, wheat flour from Rp 1,200 to Rp 1,000 per kilogram and eggs from Rp 5,500 Rp 4,600 per kilogram.

Johar market manager Paimin also credited the government through its local logistics agency and Apegti, an association of sugar traders, with the decrease in prices of foodstuff, Antara said.

National Logistics Agency chairman Beddu Amang said in the South Sulawesi's capital of Ujungpandang Saturday that the government guaranteed availability of all basic commodities.

As reported by the news agency, Amang renewed calls for people not to panic because the government would continue its market operation, especially for rice, sugar and wheat flour.

Amang said the agency currently had rice stocks of two million tons and another two million tons would be coming next month. (aan)