Govt urged to tackle infected cotton problem

Govt urged to tackle infected cotton problem

JAKARTA (JP): The Indonesian Textile Association (API) has
urged the government to address the problem of cavitoma-infected
cotton imported by PT Argo Manunggal International from Calcot
Ltd. in California, the United States.

Anas Sukarmadji said yesterday that the dispute between Argo
Manunggal, one of Indonesia's largest textile companies, is not
an ordinary commercial problem that can simply be resolved
through an arbitration body.

"The Indonesian government therefore should intervene into
resolving the problem," Sukarmadji was quoted by the Antara news
agency as saying.

He said he appreciated the quick and positive response from
trade and industry minister Tunky Ariwibowo, who officially asked
American Secretary of Agriculture Dan Glickman last week to help
resolve the fungus infection.

"But I think the agriculture ministry should also investigate
the problem as complained about by Argo Manunggal, especially
because the U.S. supplies around 45 percent of Indonesia's annual
imports of about 2 million bales," added Sukarmadji, who is an
executive from the Kanindo textile group.

Tunky, asked by reporters after he attended the Indonesian
summit yesterday, confirmed that he had written the U.S.
secretary of agriculture asking for his cooperation in resolving
the problem.

Argo Manunggal first raised the issue in January after
discovering that the cotton fiber delivered by Calcot during the
October-December period (20,545 bales) had produced an excessive
amount of waste due to low fiber strength and had produced low-
quality yarn.

Laboratory tests of the samples were taken from the
consignment at the Japan Spinners Inspecting Foundation in Osaka,
which concluded that the cotton had been infected with cavitoma
fungus, according to the complaint report filed by Argo
Manunggal.

The Indonesian textile company has lodged complaints with
almost all the private and government agencies and organizations
in the United States that deal with the cotton trade and quality
certification.

Argo Manunggal claims that Calcot has not responded positively
to the complaints.

However, Husein Aminuddin, the chairman of the Sekbertal
Spinners Association, played down the complaint, arguing that it
was an ordinary trade dispute that should be settled through an
arbitration body such as the Liverpool Cotton Association Ltd.,
of which he is an associate director.

Moreover, Aminuddin contended, no other importers except Argo
Manuggal had complained of a cavitoma infection.

Argo Manunggal argued in its complaint that it would resolve
the dispute through one of the arbitration bodies.

"However, since the issue is related to disease infection the
problem should be brought to the attention of the Indonesian and
American governments," Argo Manunggal argued.

The United States Department of Agriculture also had a
lukewarm reaction to the complaint. It said that cavitoma is a
condition, not a disease organism, and is therefore a quality
issue and not a phytosanitary one.(vin)