Trade Department to Prepare Direct Sugar Distribution

Jakarta – Sugar price in several regions have continue to rise even after the Idul Fitri holiday ended last September and the year end holiday past taking the average price of sugar about 20 percent higher from the average price of between Rp9000 – 10,000 per kilogram.

Trade Department said as of January 7th, prices in Banda Aceh, Padang (West Sumatra), Pekanbaru (Riau Province), Samarinda (East Kalimantan, Ambon (Maluku Province), Jayapura (Papua), Mamuju (West Sulawesi Province) dan Ternate (North Maluku Province) have hit Rp12,000 a kilogram.

Director General of Domestic Trade at the Trade Department Subagyo said in Jakarta on Friday “Palembang (South Sumatra) have sent a request for a market operation for sugar,” although price level in the province was at around Rp11,000 per kilogram.

Subagyo said the direct distribution of sugar will probably begins next week with possible price of between Rp9,000 – Rp10,000 per kilogram, the normal price level in domestic market when referred to the current standard international price of US$700 per ton.

He added that market operation was normally conducted when prices go up by around 15 percent and that prices have moved up since September last year. The departement will prepare its domestic stock for the operation.

TEMPO Interactive