Government to Take Moderate Import Policy in Anticipation of Inflation

Fitri Novia Heriani, Robert Sidauruk

The hike in fuel prices announced by the Government  last Friday is expected to trigger a significant rise ininflation.

The Government has predicted that the inflation rate will hit 7.2%. Some experts have predicted an inflation rate of 8.2% for the next four months.

During a press conference in Jakarta last Thursday, Hatta Rajasa, the Coordinating Minister for Economic Affairs, emphasized the importance of protecting  stability in the food supply-demand chain.

“Our economy has been lifted by domestic consumption, therefore it is important to maintain circumstances conducive for  food supply and food prices,” Hatta said.

In addressing this issue, Hatta said that the Government will adopt a moderate-import policy, which will allow significant amounts of food to be imported into Indonesia.

Under this policy, the price of food will be maintained at   stable levels through the period to the peak of this inflation period.

Nevertheless, Hatta asserted that amoderate-import policy will not be to the detriment of local farmers. Hatta further continued that the import of foods will be prohibited during  harvest periods of local farmers.

“There will strictly be sno imports during local farmer’s harvest time periods,” Hatta asserted.

Another effort to anticipate the inflationary impact on the food sector is by granting the National Food Logistic Agency (BULOG) approval to import  3000 ton of beef. Moreover, the import of this beef is also being conducted in preparation for the upcoming holidays.

Sutarto Alimoeso, Director of BULOG, confirmed the plan for the import of this beef.. Sutarto further noted that the import approval will be issued in the next few days with the importation itself  occurring over three weeks during July.

“Through  this importation, it is hoped that the price of beef in the markets will not exceed more that IDR 100 thousand per kilo,” Sutarto added.

Sutarto also assured that the beef importation will not be directed for profit gain. The price of beef  will be maintained at around Rp 75.000 per kilo with due regards to local cattlemen.

(hot/kc)

Fitri Novia Heriani, Robert Sidauruk

The hike in fuel prices announced by the Government  last Friday is expected to trigger a significant rise ininflation.

The Government has predicted that the inflation rate will hit 7.2%. Some experts have predicted an inflation rate of 8.2% for the next four months.

During a press conference in Jakarta last Thursday, Hatta Rajasa, the Coordinating Minister for Economic Affairs, emphasized the importance of protecting  stability in the food supply-demand chain.

“Our economy has been lifted by domestic consumption, therefore it is important to maintain circumstances conducive for  food supply and food prices,” Hatta said.

In addressing this issue, Hatta said that the Government will adopt a moderate-import policy, which will allow significant amounts of food to be imported into Indonesia.

Under this policy, the price of food will be maintained at   stable levels through the period to the peak of this inflation period.

Nevertheless, Hatta asserted that amoderate-import policy will not be to the detriment of local farmers. Hatta further continued that the import of foods will be prohibited during  harvest periods of local farmers.

“There will strictly be sno imports during local farmer’s harvest time periods,” Hatta asserted.

Another effort to anticipate the inflationary impact on the food sector is by granting the National Food Logistic Agency (BULOG) approval to import  3000 ton of beef. Moreover, the import of this beef is also being conducted in preparation for the upcoming holidays.

Sutarto Alimoeso, Director of BULOG, confirmed the plan for the import of this beef.. Sutarto further noted that the import approval will be issued in the next few days with the importation itself  occurring over three weeks during July.

“Through  this importation, it is hoped that the price of beef in the markets will not exceed more that IDR 100 thousand per kilo,” Sutarto added.

Sutarto also assured that the beef importation will not be directed for profit gain. The price of beef  will be maintained at around Rp 75.000 per kilo with due regards to local cattlemen.

(hot/kc)

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