Indonesian Political, Business & Finance News

RI 'unlikely' to ban Euro farm products

| Source: JP

RI 'unlikely' to ban Euro farm products

JAKARTA (JP): The government is still considering whether to
suspend imports of European farm and poultry products amid the
scare caused by dioxin-contaminated animal feed in Belgium.

Ministry of Health spokeswoman Mariani said on Thursday the
ministry was gathering information on the scare and coordinating
with related government institutions.

"We are still discussing the issue with the animal husbandry
section of the Ministry of Agriculture, which is actually in
charge of the matter. We will soon issue a decision," she told
The Jakarta Post.

She said a report from the animal husbandry section indicated
the volume of Indonesia's imports of farm and dairy products from
European countries was not significant.

"It would be unlikely for Indonesia to take an extreme action,
such as banning or destroying European foods here. However, we
advise all concern parties to exercise caution until the final
decision is made," she added.

The scare emerged in late May when Belgium announced that high
levels of cancer-causing dioxin in chicken and eggs spread to the
country's pork, beef and dairy products.

Many countries, including the Philippines, Thailand,
Singapore, Hong Kong, Japan, Taiwan and Malaysia, subsequently
imposed blanket trade bans on European farm and dairy products.

The European Union's executive body, the European Commission,
on June 2 ordered its 15 member states to ensure that all
potentially dioxin-contaminated products, either food or animal
feed, be traced, removed from the market and destroyed.

Recent Belgian media reports estimated the food scandal would
cost Belgium about 30 billion Belgian francs (US$767 million),
with the country's budget predicted to be affected for the next
two years, Reuters reported.

Secretary-general of the Indonesian Hotel & Restaurant
Association Rianto Nurhadi said the scare did not affect the food
supply to the hotel and restaurant industry here since most farm
and poultry supplies were imported from New Zealand and
Australia.

"We only depend on certain European countries for beverages,
especially wine, not for meat or dairy products," he said.

Data from the Central Bureau of Statistics shows Indonesia's
imports of Belgium meat, fat and milk products and eggs in 1997
were 2,004 metric tons, totaling $4.2 million, compared to the
volume of imports of similar products from Australia of 45,974
tons worth $68 million. (cst)

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