Mon, 04 Apr 1994

JP/3/CANDIES/0

Dispute over candy for change rages as traders cite convenience

JAKARTA (JP): Jakarta's supermarkets are responding to scathing criticism of their candy for change policy by insisting that the sweets are the handiest substitute when they are short of small-denomination coins.

It is not easy to get small change at nearby banks, Nani, who coordinates the activities of cashiers at the Gelael Melawai Supermarket in the Blok M area of South Jakarta, said over the weekend.

"Nor is it easy for us to regularly go to Bank Indonesia (central bank), which is quite far from here, just to get the necessary coins," she said, adding that the supermarket currently has only one car at disposal.

Last week the Indonesian Consumers Foundation (YLKI) released a report, signed by Agus Pambagio, the foundation's executive secretary, which accused supermarkets of committing a "criminal" act by returning candy instead of coins in change to shoppers because the sweets are not legal tender.

The report quoted an official of the central bank as saying that it assured the availability of small change and invited supermarkets to exchange their money at its offices.

According to the report, the central bank has never withdrawn coins of Rp 1, Rp 5, Rp 10, Rp 25 and Rp 50 from circulation.

For that reason, the supermarkets are expected to have such coins on hand even though the smallest denomination -- one rupiah -- is worth only 46 thousandths of a U.S. cent.

The consumer foundation report appealed to shoppers to ask for the coins because they are a legal means of payment and candies are not.

H.E. Dahlan, president of the Golden Truly supermarket chain, countered that the central bank is unable to provide the chain with enough coins. "We always try to get the coins from the central bank but it was not able to meet our demand."

Nani also said experience shows that shoppers prefer candy to coins which are worth only Rp 5 or Rp 10 as change.

"We provide two kinds of candy. The first is worth Rp 25 per piece and the other Rp 10 per piece," Nani said, adding that she sometimes combined both kinds as change.

"If the change is Rp 45, we always give Rp 50 instead of candy," she added.

When asked why the supermarket does not round off prices so that small-denomination coins would not be needed for change, Nani said that the current pricing method common among supermarkets was better than rounding off prices upwards because that would make things seem more expensive.

Fan Han Ling, the assistant manager of the Hero Supermarket in Blok M Plaza, South Jakarta, said giving candy to shoppers instead of coins in change is a common practice among supermarkets and that none of the store's customers have lodged any complaints about it.

Fan said that everyday his office asks for change in small denominations from the head office, which sends coins over.

"Sometimes the head office sends us enough small change but sometimes the change they send us does not suffice so that we have to give customers candy instead."

Fan said the prices at Hero supermarkets are always multiples of 25 so that the cashiers never have to deal with the smaller coins such as Rp 5 or Rp 10 which are no longer in common use. (06)