Remove flour subsidies

Remove flour subsidies

Comments on the flour business are getting sharper. This is so
not only because the protected sector has not been touched by
deregulation measures, but also because the disguised subsidy is
so huge.

It is not surprising that so many parties are now raising
objections to the protection and subsidies received since 1979.
In a series of sessions in the House of Representatives during
the past year the issue -- previously untouchable -- has also
been raised.

The discussions are based on the public's realization that
protection of the flour business continues to cause considerable
damage. Consumers are forced to pay prices that are higher than
normal, while the growth of industries which rely on flour, both
downstream and upstream, is hampered.

If we are now raising the question of unfair subsidies, which
have long encumbered consumers, it is obviously not inconsiderate
to speak of the privileges that are being enjoyed by certain
people. In this era of openness and globalization the business
sector must open itself up to healthy competition practices so
that the public is not unjustly burdened.

If it is the government's intervention that has led to the
protection of the flour business, now the government must
intervene to end it.

-- Media Indonesia, Jakarta