Soeharto vows to boost cooperatives
Soeharto vows to boost cooperatives
JAKARTA (JP): President Soeharto pledged yesterday to promote
cooperatives as one of the main pillars of the country's economy.
The President, quoting the Constitution, said the development
of cooperatives was absolutely necessary to improve the welfare
of the people.
He dismissed criticism that cooperatives would not be able to
compete with the private sector in a tightly competitive world
economy.
"Such doubt is baseless, other nations' experiences have
proved that cooperatives can grow steadily, even in tough
economic competition," Soeharto said in a speech at a ceremony in
Senayan to commemorate the 50th anniversary of Indonesian
cooperatives.
Addressing about 4,000 cooperative members, mostly farmers
and fishermen from across the country, the President said the
Constitution clearly stipulates that cooperatives are one of the
country's economic pillars, in addition to state-owned
enterprises and the private sector.
"We must continue efforts with patience and self-confidence to
develop cooperatives to enable them to compete in modern
society," Soeharto said.
At the ceremony, the Indonesian Cooperatives Council (DEKOPIN)
gave the President the title Father of Cooperatives in
appreciation of his extraordinary efforts in developing
cooperatives over the last 30 years.
The President looked very moved and managed to contain his
emotion when he received the title.
"Thank you for this award, I hope this award will not
discourage me from living with and working for cooperatives," he
said.
Minister of Cooperatives and Small Enterprises Subiakto
Tjakrawerdaya said on Friday that cooperatives between 1993 and
1996 increased from 41,903 to 48,391 and members increased from
24.65 million to 27.17 million.
"Their total assets increased impressively from Rp 3.57
trillion to Rp 6.58 trillion (US$2.75 billion), while turnovers
surged from Rp 9.5 trillion to Rp 12.58 trillion," Subiakto said.
In the ceremony, the President presented Satya Lencana
Wirakarya awards to 61 people for their contributions in
developing cooperatives.
The recipients included Governor of Aceh Syamsudin Mahmud,
Governor of East Timor Abilio Jose Osorio Soares, vice president
of Salim Group, Anthony Salim, and chief commissioner of PT
Freeport Indonesia, James R. Moffet.
Soeharto took strong measures in 1990 when he invited the
country's 30 richest conglomerates to his farm in Tapos, Bogor.
In the meeting, the President asked large companies in the
country to sell a portion of their shares to cooperatives at
nominal prices. The shares, according to the President, would be
paid for by future dividends of the companies.
Soeharto said sales of big company shares was necessary to
narrow the social and financial gaps of the rich and
impoverished.
After yesterday's ceremony, Soeharto, accompanied by his
eldest daughter Siti Hardiyanti Rukmana and his son Hutomo
Mandala Putra and his wife, visited some stands at an exhibition
organized by small cooperatives. (06)