Minister vows to cut imports, boost output

Minister vows to cut imports, boost output

JAKARTA (JP): The newly appointed Minister of Agriculture
Justika Sjarifudin Baharsjah promised yesterday to boost the
production of several important commodities including rice, corn
and soybeans to cut back on imports.

Justika, who replaced her husband Sjarifudin Baharsjah, said
increasing the production of such commodities would be her top
priority.

She acknowledged that it would be difficult to meet the
target, given the unfavorable weather conditions and a decline in
the amount of productive land.

"It's a tough job because the agriculture sector very much
depends on the weather and the climate. Besides, we are facing
decreasing land allocation for agriculture," she said after her
installation ceremony.

She said that at least 10,000 hectares to 30,000 hectares of
agricultural land was converted for non-farming purposes every
year.

Although the availability of farm areas has decreased, Justika
said she was optimistic that an improvement in land productivity
would prop up farm production.

"We will develop soybeans on some idle land which cannot be
used to plant rice."

Indonesia, known for its rich natural resources, ironically
imports at least 1.2 million tons of sugar, 1.3 million tons of
corn and 1 million tons of soybeans each year. The country
imported 1 million tons of rice last year.

Besides these commodities, Indonesia also imports meat, milk
and milk products, fruits and other produce to meet local demand.

The chairman of the State Logistics Agency (Bulog), Beddu
Amang, said last month that Indonesia would need at least Rp 13.5
trillion (US$13.5 million) to import 1.1 million tons of sugar,
700,000 tons of soybeans, 4.25 million tons of wheat, and 3.3
million tons of rice in 1998/1999.

Justika said the ministry would also continue to subsidize
feed meal prices in order to help the country's poultry industry,
which is on the brink of collapse due to skyrocketing feed
prices.

But she decline to give further details on the form of
subsidy.

In the fishery sector, the minister will focus on efforts to
boost the export of shrimps, after there was a slight increase
last year due to the prolonged drought.

Exports of shrimp reached 97,280 tons worth US$1 billion last
year.

Justika said she would also emphasize the development of the
rural-based agriculture sector, which could process farming
products and absorb workers.

"Agro-industry will have value-added benefits for agricultural
commodities and provide jobs in rural areas."

She said the sector was expected to grow at least 5 percent
this year. (gis)