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Minister clarifies rice reports
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Maritime Affairs and Fisheries Minister Susi Pudjiastuti (left), Agriculture Minister Andi Amran Sulaiman (center) and Environment and Forestry Minister Siti Nurbaya Bakar attend a hearing with House of Representatives Commission IV in Jakarta on July 24.
(Antara/M Agung Rajasa)
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griculture Minister Andi Amran Sulaiman clarified on Monday reports about rice sold as premium and medium product by PT Indo Beras Utama (IBU) during a meeting with House of Representatives Commission IV overseeing agriculture.
Rice is categorized as premium and medium according to water content and the amount of broken rice after milling.
The minister said the government had allocated Rp 30 trillion (US$2.25 billion) to subsidize fertilizer and Rp 50 trillion to Rp 60 trillion for paddy seeds and tractor purchases for farmers.
Read also: Troubled rice trader strikes back after bogus scandal
Generally, he added, the farmers produced the IR64 rice variety, which sold for about Rp 7,000 per kilogram. “If the price jumps much higher than Rp 7,000, it would be improper because the type of the rice is similar,” Amran said as reported by tribunnews.com.
The police recently raided a rice warehouse in Bekasi, West Java, owned by PT IBU. National Police Criminal Investigation Department (Bareskrim) economic crimes chief Brig. Gen. Agung Setya said the company had bought unhusked paddy from farmers for Rp 4,900 per kilogram.
The company reportedly sold it as medium and premium rice under the Maknyuss and Cap Ayam Jago brands at Rp 13,700 and Rp 20,400 per kilogram, respectively. Meanwhile, the retail price set by the government was Rp 9,500 per kilogram.
PT Tiga Pilar Sejahtera, the parent company of PT IBU, has denied any wrongdoing. (bbn)
