Sat, 10 May 1997

No more subsidy for Baliem farmers

JAYAPURA: PT Freeport Indonesia has finally decided to stop its air transportation subsidy for the Baliem vegetable farmers in Jayawijaya.

In a letter to the Jayawijaya regent J.P. Wenas dated April 9, 1997, PT Freeport Vice President and Senior Advisor in Kuala Kencana, Timika, Charles E. White, said the stoppage would be effective in May this year.

The stoppage was due to financial reasons. Since April 1, 1997 vegetables have been supplied to Freeport staffers by PT Pangansari Utama Food Industry owned by tycoon Mohamad (Bob) Hasan, Antara reported yesterday.

Freeport, through its purchasing department, had bought the Jayawijaya farmers commodity and transported it from Wamena to Jayapura by chartered aircraft belonging to Air Fast.

The copper mining giant had spent Rp 1 billion (US$480,000) per year for this, Antara reported. The policies were meant to help Jayawijaya farmers, whose farming land is now used for mining. (sur)