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Bapanas accuses garlic importers of license abuse

Bapanas has blamed garlic importers for causing the current shortage of garlic and the resulting spike in prices by trading their quotas, thereby leading to a shortfall in imports.

Deni Ghifari (The Jakarta Post)
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Wed, June 5, 2024 Published on 2024-06-05T09:49:31+07:00

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Bapanas accuses garlic importers of license abuse A trader shows onions, shallots and garlic on June 27, 2022 at Mandonga Market in Kendari, Southeast Sulawesi. (Antara/Jojon)

T

he National Food Agency (Bapanas) has accused garlic importers of trading quotas among themselves and causing a domestic shortage by not importing enough of the staple food.

Bapanas chief secretary Sarwo Edhy said the import volume of garlic to date had not reached even half of the Trade Ministry’s 349,290-tonne quota issued to date, or a quarter of the government’s full-year target of 665,025 to meet domestic demand.

“We received reports that many importers who had received quotas [are] selling [their quotas] to other companies. This caused delays in [import realization], and we need to anticipate” its impact on the market, Sarwo said on Tuesday, as quoted by Kompas.com.

As of Monday, the garlic import volume stood at 162,139 tonnes, or 46.42 percent of the import quota issued, Bisnis.com reported, citing Trade Ministry data.

Sarwo expressed hope that the government and stakeholders would swiftly summon the recalcitrant importers and press them on the issue, as a supply shortage could cause the commodity’s local prices to jump.

Bapanas’ food price portal shows that the price of garlic increased 16.5 percent to Rp 42,560 in June, from Rp 36,520 (US$2.25) per kilogram in December, while the commodity’s price has risen 1.35 percent month-over-month, according to Statistics Indonesia (BPS).

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Edy Priyono, a deputy at the Executive Office of the President, recommended sanctioning authorized garlic importers that did not meet their quotas.

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