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'Trubus' benefits from agribusiness trend

| Source: JP

'Trubus' benefits from agribusiness trend

CIMANDE, Bogor (JP): As there is no indication that the
economy will recover soon, many people have begun to turn to
agribusiness, the most resistant economic sector, for a living.

The savvy see this trend as a perfect business opportunity to
provide new entrants into agribusiness with the knowledge they
will require to start a business of their own.

Trubus farming magazine has jumped on this trend. Since June
last year, the monthly magazine, which was first published in
1971, began to hold agribusiness-related courses. It has also
published books on farming.

Among the courses offered by Trubus is a three-day program on
cultivating vegetables such as paprika, tomatoes and pak coy (a
kind of mustard green) using hydroponic technology in Cimande,
Bogor, a two-day course on growing vegetables in low altitude
areas in Karawang, West Java, and a two-day course on cultivating
chili during the rainy season in Bogor. The fee for each course
ranges between Rp 990,000 and Rp 1.32 million.

The hydroponic course, for instance, introduces people to the
markets for each crops and provides technical guidance, including
designing a hydroponic network, mixing the correct fertilizers,
identifying pests and taking preventive measures against these
pests. The course focusing on the cultivation of chili teaches
people how to minimize production costs and increase yield.

Short-term crops are selected based on an area's altitude. In
Jakarta, which is in a low altitude region, one can grow chili,
but for greater yields it is best to cultivate chili in high
altitude regions, such as Bogor and the surrounding areas.

The magazine's deputy chief editor, Pinus Lingga, said there
was an ever increasing number of people wishing to enter
agribusiness, especially to grow chili and vegetables which could
be harvested in a short period.

"Unfortunately, there are only limited human resources
available. Those who have the knowledge and know the technology.
That's what we are trying to provide, by training human resources
for agribusiness," Lingga told The Jakarta Post.

The response has been very positive. Some 700 people have
taken the courses since they began in June.

Onny Untung, the magazine's managing editor, said that
enrollment for the last hydroponic course was closed 10 days
before the class began. "We also have a waiting list to join the
course on cultivating chili," he said.

Enrollment for the courses is limited to 35 people. Of the
students in the courses, 90 percent come from a nonagricultural
background.

Lingga guarantees agribusiness is a profitable business, with
proper management and technology of course.

But agribusiness is not cheap.

To grow chili, for instance, one needs to invest at least Rp
50 million per hectare. After seven to eight months, however, one
can harvest up to 12 tons of chili per hectare.

"With the price of chili now, count the profit yourselves. But
to get such profits, you have to deal with some problems,
including pests. But with the right technology, there is no
problem you can't overcome," Onny said.

Using hydroponic technology to cultivate vegetables is also
expensive.

For 2,000 square meters of land, Rp 50 million is needed to
develop a good hydroponic system, including the microirrigation.

"I know it's not cheap to start the business, and not every
farmer can raise the needed investment, but many begin with small
spaces, such as 500 square meters," said Onny, adding that the
magazine was also planning to offer counsel for those having
difficulties in the business.

The economic crisis is one of the factors raising the price of
the initial investment, Lingga said.

"We still have to import chili seeds from Taiwan and Korea,
and the sharp depreciation of the rupiah has raised prices," he
said.

He said a dependency on imports would not occur if the
government paid attention to agriculture. "Agriculture used to be
looked down on," Lingga said.

But the magazine, which also sells fertilizers, seeds and
pesticides, among other things, to those in agribusiness, is
enjoying a profitable business. "Our turnover has increased by
about 60 percent ... previously, it was very difficult even to
sell seeds," Lingga said.

And there is no fear there will be no market for the crops.

Onny said there were plenty of opportunities to export crops
to a number of countries, including Japan.

He said that at the moment, many exporters were complaining
about a lack of crops. An exporter said he could not meet his
monthly export target of 90 tons of paprika.

"There's a huge demand for paprika, but if we count the yield
of paprika from all over the country, it does not even reach 20
tons a week," Onny said.

And there is always a great demand for chili. "For
Indonesians, there's no substitute for chili, so there will
always be a demand for chili," Onny said. (ste)

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