Rabu, 28 Agustus 2013

TEMPE MAKERS CUT BACK PRODUCTION AS SOYBEAN PRICES SPIKE

 Andi Abdussalam  
          Jakarta, Aug 28 (Antara) - Because of skyrocketing soybean prices, many tempe (soybean cake) and tofu producers across the country have started cutting down their production.
         Soybean prices have been on the rise ever since the commodity became scarce in the market, which forced tempe and tofu producers to cut back production. Soybean prices increased by varying degrees in various parts of the country, reaching Rp8,000-Rp9,300 per kg¿from approximately Rp7,400 per kg before the fasting month in July.
         With soybean prices reaching Rp8,700 per kg in Lebak District, Benten province, Tempe and tofu makers there have cut their production by half.
         "We have to cut down our soyabean production by 50 percent¿from 30 kg to 15 kg," said tempe producer Adhari, a resident of Cibahbul village in Rangkasbitung.
         However, he added, many other tempe producers in Lebak had stopped production altogether.
         Similar was the case of tempe producer Sunaryo at Maccini Market in Makassar, South Sulawesi.  Sunaryo cut down production as a result of the rising price of soyabean¿the raw material for the production of popular tempe and tofu side dishes.

 
         In Makassar, the price of soybean rose from Rp6,500 per kg to Rp9,100 per kg.  "Most producers use imported soybean because local production fails to meet demand. But the prices of imported soybean rose as the rupiah depreciated against the US dollar. Therefore, we are forced to reduce production," Sunaryo explained.
         Some producers in Tanjungpinang, Riau Islands province, also cut their production by half. "Soyabean price has risen from Rp6,000 per kg to Rp9,000 per kg," tempe maker Sobirin in Jln Pantai Indah Tanjungpinang said on Wednesday.
         Sobirin used to use approximately 100 kg of soybean a day to make tempe¿but now, after the spike in the commodity¿s price, he makes do with 50kg.
         Amar Ma'ruf, manager of the Indonesian Primary Tempe and Tofu Cooperatives (Primkopti) of Kudus, Central Java, revealed that many tempe and tofu producers were forced to stop production as soybean prices shot up.
         "As of now, 10 producers have stopped production because sales fail to recover production costs thanks to the sky-high price of soybean," Amar said.
         In Kudus, soyabean prices have been increasing in stages and have now reached Rp9,000 per kg, up Rp1,500 from the usual price of Rp7,500 per kg.
         Trade Minister Gita Wirjawan noted that the spike in soybean prices of late was driven by limited supply of the commodity and the weakening of the rupiah against the US dollar.
         Gita stated that domestic soybean production was projected to reach 800 thousand tons per annum, while national demand for the commodity was expected to touch 2.5 million tons per annum.
         In 2012, Indonesia could only produce 851,286 tons of soybean, or about 29 percent of the national demand for the commodity that year. Therefore, 2,087,986 tons of soybean had to be imported.
         According to Central Bureau of Statistics (BPS) data, Indonesia needed 2.2 million tons of soybean last year, of which 83.7 percent was for making food products, followed by 14.7 percent for soy sauce and other industries, 1.2 percent for seed, and 0.4 percent for animal feed.
         Almost at the same time last year, in July 2012, a shortage of soybean short led to the commodity¿s prices shooting up.
         Also, many years ago, tofu and tempe disappeared from the dining table for a few days for the same reasons.
         The soybean crisis seems to be cropping up almost every other year. Therefore, the government has decided to take proactive measures to guarantee soybean supply to Indonesia's tofu and tempe makers till the end of this year.
         "We have assured the Indonesian Tofu and Tempe Cooperative (Kopti) of year-long soybean supplies," Minister Gita said.
         In order to achieve that objective, the Cooperatives and Small and Medium Enterprises Ministry and state-owned logistics agency Bulog will jointly launch soybean market operations to increase the commodity's supply in the local market.
         "The government has decided to implement the necessary anticipatory measures, while Bulog will carry out the operations. We hope the rupiah will strengthen as a result of these efforts so that the costs for soybean import would be reduced," Cooperatives and Small and Medium Enterprises Minister Sjarifuddin Hasan said.
         The government has planned to import soybean in the near future as a short-term solution to the problems of limited supply and rising prices of the commodity at home.   
    On Tuesday, Minister Sjarifuddin Hasan inspected many tempe and tofu factories in Matraman and Cipinang, East Jakarta, to examine and assess the production of tempe and tofu there. During the inspection, he found that the daily production output of factories in those areas had dropped from three quintals to one quintal.   
    Noting that several workers of those factories had been laid off, he said: "I observed a number of factories that were in a bad condition. Many producers have laid off their workers." 
    However, Sjarifuddin Hasan expressed hope that the recent increase in the price of soybeans was a temporary phenomenon, and that the commodity would soon be available at its original price.

         "Most of the soybeans in Indonesia are still imported from the United States. As the dollar has recently strengthened against the rupiah, the price of soybean has also increased. But this trend is only temporary," Minister Sjarifoeddin Hasan said on Monday
    Coordinating Minister for Economic Affairs Hatta Rajasa said the national logistics agency (Bulog) would soon conduct market operations to bring down the price of soybeans.

         "To stabilize the prices of foodstuffs, particularly soybeans, Bulog will soon implement a presidential decree which authorizes it to import soybeans as part of market operations," he stated.
         According to the minister, Bulog's intervention will help stabilize soybean prices because it will stop other market players from capitalizing on market speculation.
         "If the prices are kept in check, speculations will stop playing a role in soybean trade. Otherwise, anybody can import soybeans when the price is high," he said.
         Hatta stated that the government, through the ministries of trade and agriculture, had so far been successful in its efforts to stabilize food prices in the market. ***3***
(T.A014/INE/B003)

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