Soeharto warns of possible food crisis

Soeharto warns of possible food crisis

JAKARTA (JP): President Soeharto warned the nation yesterday
over a possible food shortage due to the long drought which may
continue into December.

Soeharto ordered related ministers to take necessary measures
in ensuring a smooth distribution of food, including sugar,
cooking oil, rice and wheat flour, across the country.

The government plans to prioritize remote areas, as harvest
time is likely to be delayed.

With the failure of many crops this year, Soeharto said the
food crisis could become more serious as it coincides with
Christmas and the Ramadhan fasting month which begins in January.

"If the harvest season is postponed, people will run out of
rice stock. I'm worried that it will trigger anxiety," Minister
of Agriculture Sjarifudin Baharsjah quoted Soeharto as saying.

The next harvest season is expected to occur in March.

In the meeting at Soeharto's residence on Jl. Cendana, Central
Jakarta, Sjarifudin was accompanied by Minister of Industry and
Trade Tunky Ariwibowo and chairman of the State Logistics Agency
(Bulog) Beddu Amang.

To abate the dry spell, Sjarifudin disclosed the government's
plan to make artificial rain in several drought-stricken areas in
Java and other needy provinces.

Many areas across the country have been hit by a long dry
spell causing at least 112,000 hectares of rice fields to dry up
by early August.

This year's condition however is not as bad as in 1994 when
over 544,000 hectares of rice paddies were damaged by drought.

The Meteorology and Geophysics Agency predicted earlier this
year that the rainy season would not start until December, three
months later than usual.

Despite the predicament, Beddu remained confident that Bulog
would not have to import rice. He claimed that the national rice
stock was more than enough until next March.

"We don't need to import rice because we have three million
tons of rice stock," Beddu said.

To help accelerate the distribution of food, Soeharto
suggested that Bulog recommend to appropriate institutions to
issue bank guarantees to distributors who face liquidity problems
as a result of the currency fluctuation.

"This system will also help us withdraw rupiah from the
market," Beddu quoted the President as saying.

Tunky added that he had also been ordered to ensure the smooth
distribution of cement and fertilizer. (prb)