Govt to lift urea export ban

Govt to lift urea export ban

JAKARTA (JP): The government plans to lift the ban on urea
fertilizer exports in the near future to allow producers to
benefit from higher prices on the international market, according
to Minister of Agriculture Soleh Solahuddin.

"In the near future, the ban (on urea fertilizer exports) will
be lifted, but I don't know exactly when," Soleh was quoted as
saying by Antara news agency on Monday.

Soleh said that he hoped farmers here would switch to other
types of fertilizer so that repeal of the export ban would not
affect domestic agricultural production.

Indonesia produces approximately six million tons of urea
fertilizer a year and has an annual domestic consumption of 4.5
million tons.

Excess production was exported up until two months ago, when
the government closed the trade.

Producers, most of whom are state-owned fertilizer companies,
have complained that the ban prevented them from benefiting from
higher overseas prices.

Soleh said the price of urea on the international market is
200 percent higher than it is on the domestic market. (29)