Fri, 02 Oct 1998

Local cooperatives protest against KDI

YOGYAKARTA: Representatives of 40 local cooperatives protested against the state-appointed Indonesian Distribution Cooperative (KDI) for selling cooking oil at prices above the current retail prices.

Wawan Edi, a spokesman for one of the local cooperatives, accused the KDI of causing traders and retailers to suffer a loss. He cited how the KDI sold cooking oil to traders for Rp 4,750 per kilogram, plus a transportation fee of Rp 25 per kilogram.

"The market price is currently only Rp 4,529 per kilogram, so traders suffer a loss of Rp 246 per kg, while retailers can only sell the oil for Rp 4,600 per kg," Wawan said.

He blasted the KDI for the lack of transparency in its transactions with cooperatives. "The oil is decanted into sealed drums and sent to cooperatives just like that. We can't even check whether the amount is as the KDI says," he said.

"Many of the containers have 8 liters less than the KDI claims," he said.

He also lashed out at the KDI for forcing cooperatives to pay cash up front then making them wait up to one week for the goods. (23)