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Tempeh, tofu makers demand support
Cottage industry: Workers make tofu at an old home-based factory in Kampung Pulo, East Jakarta, in August
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Cottage industry: Workers make tofu at an old home-based factory in Kampung Pulo, East Jakarta, in August. As soybean prices continue to soar, some small operators have suspended their work on the back of mediocre-quality supplies and other production issues.(JP/P.J. Leo) (JP/P.J. Leo)
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span class="inline inline-center">Cottage industry: Workers make tofu at an old home-based factory in Kampung Pulo, East Jakarta, in August. As soybean prices continue to soar, some small operators have suspended their work on the back of mediocre-quality supplies and other production issues.(JP/P.J. Leo)
A group of tempeh and tofu producers has called for government support for the industry amid the rupiah's volatility and stiffer competition in the upcoming ASEAN single market.
'We're asking for support from the [industry] minister so that we can produce tofu and tempeh in a more hygienic way,' said Aip Syarifuddin, chairman of the Association of Tempeh and Tofu Producers Cooperatives (Gakoptindo).
The country, the birthplace of tempeh, should be able to produce hygienic tofu and tempeh at a relatively low cost to remain competitive against other producers across Asia ahead of the introduction of the regional single market, he added.
The single market, known as the ASEAN Economic Community (AEC), is set to come into effect at the end of this year.
Tofu and tempeh, both widely eaten across the country, are currently produced to various standards, with many going through unhygienic traditional processes.
Gakoptindo, Aip said, was asking the government to provide stainless steel kitchen utensils to replace the existing equipment, which mostly involves used oil or paint cans.
The stainless steel equipment, which would cost between Rp 150 million (US$10,690) and Rp 200 million, would be able to produce 2 to 3 tons of tofu and tempeh a day, he said.
Aip told reporters that his association was also asking the government to help tofu and tempeh makers sell their products at fair market value.
While the price of imported soybeans, the main ingredient of tofu and tempeh, is on the rise as the rupiah continues to weaken against the US dollar, local soybean farmers have not used the situation to bump up their prices, which generally remain below market price.
According to Aip, the government has set a fair price for local soybeans at Rp 7,700 per kilogram (kg), higher than the price for imported soybeans, which has reached around Rp 7,000 per kg.
'Many farmers and wholesalers have agreed to trade local soybeans at between Rp 5,500 and Rp 6,500 per kg,' he went on.
Local tofu and tempeh makers are currently dealing with rising production costs, as around 80 percent of the country's total soybean demand is imported, largely from the US.
According to data from Gakoptindo, national soybean production hit 2.5 million tons a year, with only 500,000 kg sourced locally.
The Industry Ministry's director general of small and medium industry, Euis Saedah, said the ministry was still discussing Gakoptindo's proposal, but emphasized that the tofu and tempeh industry was a vital national industry.
'The industry involves around 115,000 business people and employs many households and workers, with total sales hitting around Rp 60 trillion a year,' Euis said.
