ID :
36326
Thu, 12/18/2008 - 16:56
Auther :

CRYSTAL SUGAR PRODUCTION TO DROP BELOW 2008 TARGET

Jakarta, Dec 18 (ANTARA) - National white crystal sugar production in 2009 is predicted to total only 2.9 million tons, or lower than the target of 3.3 million tons due to a decrease in the sugar price, a senior official said.

"The price of sugar remains low so that farmers could not be encouraged to expand their sugar cane plantations," director general for plantation affairs Ahmad Manggabarani said in breakfast meeting here on Thursday.

The sugar price at the farmers' level is set at Rp5,000 per kg.

He said that besides the lower price, the revitalization of sugar factories had yet to be carried out maximally.

The director general said that with a production of 2.9 million tons in 2008, Indonesia was able to become self-sufficient in sugar with direct consumption. The production was with a sucrose content of 8.41 percent.

Sugar supply in 2008 in the national level stood at 5.88 million tons, consisting of 4.53 million tons of production plus initial stocks of 1.35 million tons.

He said that national need for sugar in 2008 was 1.1 million tons of white crystal sugar and 89,000 tons of refined crystal sugar stocks.

In the intra - ASEAN trade context, sugar gets protection. It is given a 'special consideration on rice and sugar' category protection, where it receives a 50 percent protection import duty for white crystal sugar and 30 percent for raw sugar until 2010.***2***

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