Indonesia to Export Rice Next Year

Jakarta, Indonesia | November 24, 2008 by D-8 Secretariat

Indonesia is ready to export rice in 2009

Indonesia would be able to export rice next year to alleviate a global food crisis, Indonesian Foreign Minister Hassan Wirajuda told the Australian Parliament recently.

The planned export will be the country’s first in 16 years.

“Indonesia’s rice production first reached self-sufficiency and surplus levels 16 years ago. With a projected rice production increase of 5 percent this year, Indonesia should be able to export rice again from next year,” Wirajuda said in Australia on Friday, as quoted by tempointeraktif.com.

Indonesia, which is currently the fourth most populous country in the world, has been importing rice for several years due to shortages in local rice production levels.

Officials, however, have shunned the rice import this year, saying production levels were already sufficient.

In the world that has been experiencing a serious food crisis, this news is very encouraging, says D-8 Economist, Esen Gonen. She also reminded the fact that food prices are very crucial that study reveals that unrest linked to high food price has already occurred in more than 25 countries. At the beginning of 2008, real prices reached their highest level in nearly 30 years. Projections suggest that they are likely to remain relatively high in the next few years, although at a lower level that what is being observed in the first quarter of 2008. “We hope that our other member countries can also be self-sufficient and even export the surplus to help ease the global food crisis,” she said.

One of the result from D-8 6th Summit in KL earlier this year, was that head of states of D-8 pledged their readiness to deal with the global challenges regarding with the skyrocketing food prices. Some identified potential cooperation that discussed among D-8 head of states and need to be followed for their implementation are:

* To develop some fertilizer and pesticide plants in D-8 countries, and apply Preferential Trade Agreement for exporting and importing the products to ease D-8 farmers to produce more food products and the supply;
* To develop cooperation on animal feed factory within D-8 countries; and apply Preferential Trade Agreement for exporting and importing the products;
* To establish a Seeds Bank in D-8 Countries for enough seeds stock whenever are needed for increasing more food products within the countries, as well as a ready stock whenever needed by farmers because of natural disasters, and other unfortunate situation;
* To establish D-8 Food Fund for helping the needy on the food within D-8 countries caused by current unfortunate situation in food crisis time;
* To set up an R&D and technological cooperation in the areas of agricultural development, especially to increase the productivity both in inland-farming and agro-based industry;
* To cooperate for diversifying agricultural products supply, including fishery; animal husbandry; and organic products;
* To establish capacity building, including education and training program; and
* To establish a public-private partnership, by involving more private sectors participation in the programs.

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