President promotes auctions

SURABAYA: President Megawati Soekarnoputri launched a national program on Saturday to promote agricultural produce auction markets so as to shorten the trading chain and increase farmers' incomes.

Megawati said auction markets would enable buyers and farmers to directly make deals, giving no room to brokers and pre-harvest buyers.

She said the government had taken measures to help farmers sell their agricultural products at reasonable prices. Conversion of farmland to industrial and residential purposes was one of the reasons why poverty still prevailed, the President said.

Industry and trade minister Rini MS Soewandi said there were five auction markets operating in West Java, Central Java, East Java, West Sumatra and North Sulawesi.

She said the auction market in the North Sulawesi capital of Manado recorded transactions of up to Rp 8.8 billion (US$1.1 million), the Semarang market up to Rp 24.3 billion, the Bandung market up to Rp 74.3 billion and the Surabaya market up to Rp 38 billion last year. -- Antara