Indonesian Political, Business & Finance News

Organic farming could have healthy future in RI

| Source: JP

Organic farming could have healthy future in RI

Zakki P. Hakim, The Jakarta Post, Jakarta

When a neighboring poultry farm complained that water from her
farm had killed its chickens, Entik Kusnadi learned that the
accumulation of pesticides, chemical fertilizers and other
substances she used on her cabbages had polluted the water used
for the chickens.

"If this kind of farming could kill chickens, it could surely
do the same to humans," Entik told The Jakarta Post recently.

Since then, she has used organic farming methods to grow
carrots, tomatoes, spinach, chilies, cabbages and avocados.

Although many people still think organic commodities are more
expensive, Entik believes organic farming is a promising business
as more and more people realize the importance of organic food
for their health and the health of the environment.

According to the Ministry of Agriculture, there are at least
15 million potential customers for organic commodities among
Indonesia's population of 220 million.

However, the head of the ministry's Authority for Organic Food
Competency, Syukur Iwantoro, said the market was currently
dominated by foreign players.

"The problems are in public awareness and product
standardization," he said recently.

He said many farms and plantations in the country already met
the requirements of organic farming operations simply by
following the farming methods passed down to them by their
ancestors.

There is no universally accepted definition of organic
farming, but in general it is regarded as a production system
that avoids or largely excludes the use of synthetically
compounded fertilizers, pesticides, growth regulators and
livestock feed additives.

To the maximum extent feasible, organic farming systems rely
on crop rotation, crop residues, animal manure, legumes, green
manure, off-farm organic wastes, mechanical cultivation, mineral
bearing rocks and aspects or biological pest control to maintain
soil productivity and tilth, to supply plant nutrients and to
control weeds, insects and other pests.

Syukur used gayo coffee and cashew nut plantations in the
country as an example of operations that unknowingly implemented
the methods of organic farming.

"There are many other commodities in the country that are
cultivated using organic farming methods without the farmers
realizing it," he said. "Now we are here to open their eyes,
before the foreigners do."

Because organic commodities are perceived as expensive, many
farmers and big plantations, upon realizing the potential of
organic farming, seek international recognition through formal
accreditation from foreign agencies.

This recognition will enable them to export to major world
markets such as the U.S., Canada and the European Union, as well
as smaller but promising markets like Australia and New Zealand.

To gain international recognition, an organic farmer must pay
up to Rp 250 million (US$28,000), which remains beyond the reach
of most farmers in the country.

Last month, the Ministry of Agriculture made state surveyor
firm PT Sucofindo the country's first accreditation agency for
organic products. The company says it charges farmers far lower
fees than international companies, but declined to state a
figure.

Syukur said the ministry would boost Sucofindo's competency by
cooperating with international certification agencies, raising
the firm's recognition with both domestic farmers and the global
market.

In the long term, the ministry hopes to benefit from the
world's $23 billion organic commodities market.

But Entik said Sucofindo certification would cost her up to Rp
60 million, a sum she considers to be still too expensive.

In the meantime, she will concentrate on distributing her
products in the domestic market rather than exporting them.

She has found happiness in growing and distributing organic
food to people seeking a healthier way of life.

On her expanded one hectare of land, compared to 2,000 square
meters when she first started with her husband, she also has
developed a healthy "industrial" relationship with her farm
workers.

With conventional farming, commodity prices fluctuate based on
several factors, such as the price of fertilizers, which can yo-
yo depending on government subsidies.

The market price for conventionally grown tomatoes can go as
high as Rp 8,000 per kilogram or as low as Rp 1,000 per kilo.

But the price of organic tomatoes is usually flat at about Rp
6,000 per kilo, thus providing a steady income for farmers.

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