Jakarta, March 5 (Antara) - The soaring beef price in the domestic
market of late, particularly in Jakarta, has been blamed on stock
shortage, lack of supply and dependence on import.
The price hikes happened amid the government's efforts to boost local
breeding and to make its meat self-sufficiency program by 2014 a
success.
The Agriculture Ministry has expressed optimism that the country can
achieve self-reliance in meat production by 2014 despite the current
high meat imports. It argued that the population of cows has always
increased every year.
According to Director General of Husbandry and Animal Health at the
Agriculture Ministry Syukur Iwantoro, the number of cows across the
country reached 15.421 million in 2011 and the number rose to 16.656
million in 2012, he said.
"We remain optimistic that self-reliance in meat production can be
achieved if it receives supports from all agencies," he said.
Therefore, the government hoped it would meet 85 percent of its meat
need which reached 549 thousand tons per annum. Ranchers should
therefore increase the number of their cattle which now reached about
14.8 million cows.
In the meantime, besides supply from domestic sources, beef needs would
also be met by imports. For this, importation mechanism would be
arranged.
But according to Syukur Iwantoro, the ministry would make a constant
effort to increase the population of cows and to reduce beef and live
cow imports to up to 10 percent of the overall needs.
To this end, the government hopes it would develop calf breeding to
raise young cows that would be bred to increase the number of slaughter
cows.
In this case, State-owned Enterprise Dahlan Iskan has proposed to the
government the importation of calves to be raised at home, saying that
importers should not import beef only and reap big profit.
The government, Dahlan said, should oblige meat importers to also
import young cattle to be bred in the country. "We proposed that
registered importers should also import calves. They should import
productive female cows to be bred in an effort to meet the country's
need for beef," the minister said on Tuesday.
He said that he had officially submitted the proposal to the ministry
of agriculture. He made the remarks after chairing a leadership meeting
of state-owned enterprise ministry at the building of PT Askes Jakarta.
The minister said that meat importers so far had enjoyed a big profit
from the import quota given by the government. "They should not merely
seek profit and enjoy high margin of price difference," he said.
Dahlan said the price of meat in Singapore for example was only about
Rp45,000 per kg but in Indonesia it was over Rp90,000 per kg. "This
price difference benefits them a lot," Minister Dahlan said.
The state-owned company minister said that state-owned plantation firms
(PTPN) were now active in raising cows at their plantation areas.
Indonesia has the potentials to raise cows in the oil palm plantation
areas. After all, Indonesia is still importing some 350,000 cows per
annum.
PTPNs are required to breed cattle. PTPN IV can raise10,000 heads of
cow, other PTPNs can breed 15,000 cattle, the minister said. This all
is expected to meet shortage of supply in the future like what is taking
place of late and caused consumers to complain.
Consumers of late have been complaining of the sky-rocketing of beef prices in the country.
Based on data available at the Central Bureau of Statistics (BPS), the
beef price in the fourth week of January 2013 was recorded at Rp90,000
(US$9.33) per kg.
This price has been in that level since the first week of December
2012. It was said that the beef price in Indonesia now was the most
expensive in the world.
The World Bank recorded that the average beef price per kg in Indonesia
in December 2012 was US$9.76 while prices per kg in Malaysia was
US$4.3, in Thailand US$4.2, In Australia US$4.2, in Japan US$3.9, in
Germany US$4.3 and in India US$7.4.
"Beef price in the market in the last three months has remained high,
even it continues to increase. If this continues to take place without
efforts to lower it, I am afraid it will reach Rp120 thousand (US$12.45)
per kg. This rate is beyond the financial reach of consumers," Deputy
Trade Minister Bayu Krisnamurthi meanwhile said two weeks ago ( Feb.5).
In the meantime, Chief Economic minister Hatta Rajasa said recently
that the government will speed up beef supply to stabilize prices which
have been increasing of late. "We will soon stabilize prices by speeding
up beef supply," Hatta Rajasa told a press conference at his office.
The chief economic minister said the government through the trade
ministry officials would visit slaughter houses to check live cattle and
frozen beef supply. Guaranteed availability of supply would help drive
down prices, he said.
"There are 400 abattoirs. We can also see the volumes of supply and
demand through an online system. Supply to Jakarta and West Java would
be accelerated. The supply would be in the form of frozen beef and live
cattle," the minister said.
Besides, the importation of beef would be decided through an auction
and transparent mechanism which was open to credible but registered
importers at the trade ministry.
"The beef import mechanism will be regulated by the agriculture minister," the minister said.
He said that the ministry of agriculture would cooperate with
state-owned railway company PT Kereta Api and state-owned shipping firm
PT Pelayaran Nusantara Indonesia (Pelni) for the transportation of the
cattle from cattle producing regions to Jakarta.
"The agriculture ministry will accelerate the beef supply from the
Indonesian eastern region with a special ship and train. Next April,
train can transport frozen meat and live cattle from Surabaya (East
Java) to Jakarta," he added.***3***
(T.A014/b003/B003)
(T.A014/A/A. Abdussalam/Bustanuddin) 05-03-2013 21:47 |
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