Seeing an indication that
the price game resulted in high prices of medium quality rice to around IDR
9,500 per kg at the level, the government will hold a total audit of rice in
Indonesia, which will be conducted by PT (Persero) Sucofindo. Speaking in Jakarta
on Friday (February 20), Trade Minister Rachmat Gobel said that this audit will
be carried out thoroughly ranging from issuance of regulations to control the
price of rice, distribution and market operation mechanism, including sanctions
for those who violate them. Even the government has coordinated to increase
oversight to prevent undesirable things.
“We coordinated with a number of agencies that deal with
rice, including associations and employers to ensure the availability of basic
commodities, including rice and the distribution and procurement of rice, as
well a task force to carry out market operations. In case of violation, the
government will impose criminal sanctions based of the applicable regulations.
The Ministry of Trade will coordinate with the
Coordinating Minister of Economy reporting about price development and stock.
To that end, the Ministry of Trade will provide medium-term and long-term
policy strategy.
I requested an audit, whether the system is running
correctly. I see that there is a game in which traders should sell rice to the State
Logistics Agency (Bulog) with a price of IDR 7.400/kg, the traders are given
the job of distributing Bulog’s market operations rice, as assigned by the
government at a price of IDR 7,400/kg. If traders are selling rice with prices
above IDR 7,400/kg, it means that there is something weird. Accounting to the
government, this is against the rules, “he said.
In the same occasion, Director of Bulog, Leny Sugihat,
said that at the instructions of the Minister of Trade, since December 2014,
this state-owned enterprise has conducted market operations, which aims to
control and stabilize rice price. Market operations are conducted through three
ways. First, it is performed at the request of the local governments throughout
Indonesia, to be channeled through the rice stall in Cipinang Market. Second,
bulog cooperates with PD Pasar Jaya. And third, market Operations are carried
out by Bulog’s task force.
However, every day Bulog continuously monitors the
development of rice prices, as well as performs monitoring every month. From
December 2014 to January 2015, bulog has released more than 75 thousand tons of
rice in the framework of market operations, and the rice entered the Cipinang
Main Market (Pasar Induk Cipinang). “Therefore, there should not be a price
increase in the Market, because for price of medium quality rice at the retail
level, the Ministry of Trade has set the price of rice, for of gudang in Java
at IDR 6,800/kg plus IDR 600 per kg for distribution so the price becomes IDR
7,400/kg.
Actually, in the last two months, there were 75 thousand
tons of rice distributed to the market, and the price should not multiply. But,
Bulog who immediately checked into the market, can no longer find rice price of
IDR 7,400 per kg. Bulog is supposed the provide by the community. That’s why
Bulog visited community residences, since Monday (February 15) has conducted
market operations in 50 residential points in Jakarta, Depok, Bekasi and
Tangerang. This cooperation is carried out by Bulog with the Jakarta Military
District Command (Kodam Jaya) for fleet procurement and personnel assistance.
Bulog sees that this condition until March, if necessary, will be continued
until the price of rice is stable. It is predicted that from March to June
there will be harvest, so it is estimated that rice stocks would be sufficient.
The government will not import rice, considering that
next month we are entering harvest season, and government rice stock in Blog’s
hands is still sufficient, so that the government will use Bulog’s rice reserve
for conducting market operations. In line with Gobel, Director General of Food
Crops of the Ministry of Agriculture, Hasil Sembiring, suggested that there
should be no fears of shortage of rice supply, considering that there is
optimization of paddy land of 1.3 million hectare. For January, February,
March, and April this year it is predicted that in January, there will be rice
harvest of 621,398 thousand hectare area, in February, 1.3 million hectare
harvest, and increased again in March at 2.4 million hectares, or even greater.
In April, to size of rice field increased again to 2.1 million hectare.
When it is used in the form of GKP (dry grain harvest),
the crop in January is predicted to be 3.2 million tons, an increase to 6.2
million tons in February, 12.25 million tons in March, and 10.6 million tons in
April. Thus, in January and April, the area that becomes GKP is 19.1 million
tons. When converted to rice, in January 1.9 million tons, in February 3.9
million tons, 7.1 million tons in March, and 6.1 million tons in April. After
April, it is predicted that harvested area will increase according to
government programs, where there is additional planting of around 2.6 million
hectares of rice plants. Thus, what is increasing is the size of harvest crops.
(E)
Business News - February 25, 2015
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