ID :
54533
Thu, 04/09/2009 - 11:08
Auther :
Shortlink :
https://www.oananews.org//node/54533
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RI GOVT NEEDS TO SET SUGAR REFERENCE PRICE SOON
Surabaya, Apr 8 (ANTARA) - Local sugar producers and the growers had asked the Indonesian government to set sugar reference price soon because this year's milling season would soon be started.
Spokesman for PT Perkebunan Nusantara (PTPN) X Dadya Indraksa said here Wednesday in the absence of a sugar reference price it would be difficult for the sugar producers to set the auction reference price of the commodity.
"The milling season will start early in May, but up till the reference price of sugar has yet to be determined by the appropriate authorities. We still have no idea about the production cost to be taken into account in setting the price of sugar," he said.
According to Dadya, the sugar reference price will be used as basis to determine the program on the growers' sugar advance payments to the investors.
Like the previous milling season, the sugarcane growers are still hoping for investors willing to provide advance payments to maintain sugar price stability against harmful world price fluctuations.
"The price reference can also serve as a controlling means of sugar price on the market. The importance of sugar price deserve proper government attention," Dadya added.
He also said that in this year's milling season, state plantation company PTPN X has projected sugar production at 593,000 tons, an increase from last year's 510,000 tons.
Corporate Secretary of PTPN XI, Adig Suwandi hoped the sugar price set by the government this year should exceed last year's Rp5000 per kg.
"Rp 5000 per kg is no longer relevant to the current condition, in which production cost had been increased significantly," he said.
Quoting the result of an independent survey by three universities in Indonesia, namely UGM of Yogyakarta, IPB of Bogor and Unibraw of Malang, sugar production cost now reached Rp5100 per kg.
"Added to the profit margin of 10 percent, the ideal reference sugar price should at least be Rp5600 per kg," Adig added.
Spokesman for PT Perkebunan Nusantara (PTPN) X Dadya Indraksa said here Wednesday in the absence of a sugar reference price it would be difficult for the sugar producers to set the auction reference price of the commodity.
"The milling season will start early in May, but up till the reference price of sugar has yet to be determined by the appropriate authorities. We still have no idea about the production cost to be taken into account in setting the price of sugar," he said.
According to Dadya, the sugar reference price will be used as basis to determine the program on the growers' sugar advance payments to the investors.
Like the previous milling season, the sugarcane growers are still hoping for investors willing to provide advance payments to maintain sugar price stability against harmful world price fluctuations.
"The price reference can also serve as a controlling means of sugar price on the market. The importance of sugar price deserve proper government attention," Dadya added.
He also said that in this year's milling season, state plantation company PTPN X has projected sugar production at 593,000 tons, an increase from last year's 510,000 tons.
Corporate Secretary of PTPN XI, Adig Suwandi hoped the sugar price set by the government this year should exceed last year's Rp5000 per kg.
"Rp 5000 per kg is no longer relevant to the current condition, in which production cost had been increased significantly," he said.
Quoting the result of an independent survey by three universities in Indonesia, namely UGM of Yogyakarta, IPB of Bogor and Unibraw of Malang, sugar production cost now reached Rp5100 per kg.
"Added to the profit margin of 10 percent, the ideal reference sugar price should at least be Rp5600 per kg," Adig added.
