Indonesian Political, Business & Finance News

Zulhas: Import of 1,000 tonnes of rice from the US comprises only specialty types

| Source: ANTARA_ID Translated from Indonesian | Trade
Zulhas: Import of 1,000 tonnes of rice from the US comprises only specialty types
Image: ANTARA_ID

Jakarta (ANTARA) — Food Coordinator Minister Zulkifli Hasan (Zulhas) has clarified that the planned rice import from the United States comprises only specialty varieties and does not affect staple food requirements for the general population.

He explained that the specialty rice import amounts to only approximately 1,000 tonnes and will not be widely distributed in the domestic market. “Specialist rice includes varieties such as rice for people with diabetes. We are clearly not importing rice for everyday consumption,” Zulkifli stated at the Presidential Palace Complex in Jakarta on Monday.

According to him, specialty rice is typically intended for specific market segments, such as international restaurants or consumers with particular health requirements, for instance rice with specific characteristics for diabetic patients.

He noted that similar arrangements exist in trade cooperation with Japan, where Japanese restaurants in Indonesia import rice varieties with specific characteristics directly from the country of origin. The price of such rice varieties is relatively high and targets a limited market.

“It’s expensive — over 100,000 rupiah per kilogramme. Who would buy it? Only those eating at Japanese restaurants. That’s how it works with Japanese rice,” he explained.

The Food Coordinator Minister emphasised that Indonesia does not import medium-grade or consumption rice from the United States. He stressed that domestic production is sufficient, making imports unnecessary.

Meanwhile, specialist imported rice has a significantly higher price, making it uncompetitive in the general market.

This rice import is part of a reciprocal trade agreement with the United States. The Agreement on Reciprocal Trade (ART) document stipulates that Indonesia will import agricultural commodities valued at $4.5 billion USD.

One of these commodities is rice totalling 1,000 tonnes per year. This rice includes paddy, husked rice, white rice, and broken rice (menir).

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