Swapping tempeh for bricks

Swapping tempeh for bricks

SURABAYA, East Java: Nearly one-third of the 38,000
traditional tempeh and tofu makers in East Java have suspended
their activities and taken up work as construction workers as
they can no longer attain working capital.

"About 30 percent of them in the last few months have been
forced to take up work as construction workers because of the
difficulty in receiving capital," Benang Danungkusumo, head of
the East Java branch of the Indonesian Communication Forum of
Tofu and Tempeh Cooperatives, said here on Thursday.

Benang explained that the collapse of the banking sector had
resulted in a drying up of credit funds for small enterprises.

The situation is compounded as only 4,000 of the 38,000 tofu
and tempeh makers are members of the cooperative and eligible to
receive support.

According to Benang, to support East Java cooperative members
about Rp 8 billion (US$1.06 million) has to be readied each month
to purchase imported soybeans, the basic ingredient for the
popular Indonesian delicacy.

"We urge the government to lend a hand so banks would be
willing to disperse capital," he said as quoted by Antara.