High staple food prices still a burden to the poor

JAKARTA (JP): Recent strengthening in the local currency against the U.S. dollar has been of little consequence to poor Jakartans struggling to put enough food on their tables.

Observations made on Sunday by The Jakarta Post at three of the capital's major traditional markets revealed that the recent surge in the rupiah has not resulted in lower staple food prices.

This grim fact will disappoint many people, particularly the poor, who had thought an end to their misery was now in sight.

Customers at Jatinegara market in East Jakarta and Cikini and Palmerah markets in Central Jakarta expressed their frustration at the persistent high prices. They questioned why traders who had been so quick to double and even triple prices when the rupiah fell in value were now refusing to reduce their prices after recent gains made by the rupiah in the currency market.

"It is unfair," Maria, a Jatinegara resident, said.

Similar frustrations were voiced by another customer, Dahliana Lubis from Cipinang Muara in East Jakarta, who said prices were still going up.

"When the dollar was about Rp 10,000, a coconut cost Rp 1,500, but now that the dollar has weakened a coconut costs Rp 2,250.

"The same thing has happened to eggs, which have risen from Rp 5,000 per kilogram to Rp 7,000 per kilogram," Dahliana said.

Some traders admitted that foodstuffs which should have remained unaffected by the monetary crisis were subject to "automatic" price increases when the rupiah fell in value against the dollar.

"Up to now, these prices have not been readjusted," said Adas, a vegetable trader at Cikini market.

Some traders have introduced marginal cuts to the price of some of staple goods, such as rice, sugar and cooking oil.

Lina, a rice trader at Palmerah market, now sells medium quality rice at Rp 2,700 per kilogram, when once she sold it for Rp 3,200 per kilogram. (ind)