Govt denies report on Goro

Govt denies report on Goro

JAKARTA (JP): Coordinating Minister for Economy, Finance and
Industry Ginandjar Kartasasmita denied yesterday that the
government granted a privilege to wholesaler PT Goro Batara Sakti
to distribute basic commodities across the country.

"The government will no longer tolerate any monopoly in any
form to anybody or to any company," Ginandjar said during a media
conference after the monthly cabinet meeting on economic affairs.

Ginandjar pointed out that President Soeharto himself had
repeatedly expressed his strong commitment to eradicating
monopolistic practices.

"I want to correct some mass media reports that implied that
Goro will hold a monopoly in the distribution of non-essential
goods in the provinces," he said in reply to reporters'
questions.

Wholesaler Goro is 45 percent owned by President Soeharto's
youngest son Hutomo Mandala Putra through his Humpuss business
group, 40 percent by cooperatives and 15 percent by the State
Logistics Agency (Bulog).

Minister of Cooperatives and Small Cooperatives Subiakto
Tjakrawerdaja said Monday after a meeting with President Soeharto
that Goro was asked by the government to help distribute
nationwide basic commodities, other than food staples, in a bid
to help small scale enterprises and cooperatives.

Subiakto added that Goro would not use Bulog's distribution
facilities but the two institutions would cooperate in assisting
the development of cooperatives and small businesses.

Minister of Industry and Trade Mohamad (Bob) Hasan stressed at
the same media conference yesterday that all companies could
distribute goods to the provinces. Goro will not get any special
treatment from the government.

"Every company can become a distributor in the provinces like
Goro as long as it is willing to develop its own warehouses," he
said.

Minister of Information Muhammad Alwi Dahlan pointed out that
Ginandjar's statement on Goro was the government's official
stance. (prb)