Thu, 26 Dec 1996

Prices will keep rising: YLKI

JAKARTA (JP): The Indonesian Consumers Foundation (YLKI) lamented the price rises of several goods, saying the trend will continue through the New Year, the fasting month, Chinese New Year and Idul Fitri celebrations.

The foundation's executive board member, Zumrotin K. Soesilo, blamed traders Tuesday for the price hike by taking advantage of special events.

"After Christmas celebrations, there is New Year, the fasting month, Chinese New Year and Idul Fitri within three months," Zumrotin said.

"The traders will certainly use those events to keep raising the prices," she said.

"The saddest thing is, the prices will not decrease after Idul Fitri celebrations".

On Monday, deputy governor for administrative affairs Idroes found prices of various food staples had increased while he inspected the Jatinegara Market in East Jakarta. He said the rise was still within acceptable levels but told traders not to raise prices again.

The city economic bureau found in a survey of 20 markets that food staple prices rose by between 10 to 30 percent in the first week of December because of increased demand.

Zumrotin urged consumers to change their habits.

"Don't panic and overreact by buying lots of commodities," Zumrotin said.

For instance, she said consumers could use dried chilies or onions instead of fresh ones.

If consumers are willing to change habits they will not be affected by the price hikes, she said.

So traders would then not impose unreasonable prices, Zumrotin said.

However, Zumrotin said little could be done to anticipate the increase of food staple prices.

"Certain commodities are affected by climate, such as vegetables, but not eggs," Zumrotin said.

She said the city administration should have anticipated the hike six months ago and made sure there was enough of everything in the markets.

"The administration should also make sure of the commodities' distribution to markets," Zumrotin said.

She said several commodities in city markets were distributed from other provinces which made prices higher again.

The city economic bureau reported rice rose by 8.95 percent to Rp 1,169 (US$0.49) a kg, up from Rp 1,073, but was steady in the second week.

Other staples which rose were sugar, frying oil, meat, chicken, eggs, chili and fruit. (ste)