Subcontractors asked to join rice project
Subcontractors asked to join rice project
JAKARTA (JP): President Soeharto yesterday encouraged local subcontractors to get involved in the establishment of the one- million-hectare rice estate project in Central Kalimantan's peat- moss areas.
Soeharto made his remarks during a meeting yesterday with State Minister of National Development Planning (Bappenas) Ginandjar Kartasasmita, Minister of Public Works Radinal Moochtar and Minister of Agriculture Sjarifudin Baharsjah at the Bina Graha office here.
Radinal told reporters after the meeting that the signing of the contract for the construction of the project's primary drains was conducted earlier this month.
The primary waterworks will be built by PT Sumatra Timur Indonesia, a subsidiary of PT Sambu, which had extensive experience in converting peat-moss areas into plantations in Riau, he said.
Radinal said the secondary drains will be constructed by state-owned PT Pembangunan Perumahan and PT Widjaja Karya.
From the one million hectares of peat-moss area, some 600,000 hectares will be converted into rice estates. The giant project will cost over $217 million, which will be taken from the interest on reforestation funds.
Radinal explained that the conversion of the peat-moss areas would be carried out in several phases. Two areas, measuring 10,000 hectares each, have been converted into demonstration plots for rice farming so far.
"We are presently preparing farmers for work on this project. The government expects them to work on the fields, and not only to ask for the land," Radinal said.
The giant project is part of the government's masterplan to regain self-sufficiency in rice.
Indonesia used to be the biggest rice importer in the world, but became self-sufficient in 1984. Rice exports exceeded imports until 1993, but the country has had to rely partly on imports since then.
Last year, rice production fell to its lowest level in 15 years with 46.6 million tons from 48.2 million tons in 1993. The decline was caused by unfavorable weather and plant diseases. (pwn)