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Jakarta Post

Poor agricultural output hit by fluctuating prices

  • The Jakarta Post

Jakarta   /   Sat, September 25 2010   /  11:59 am

Agri-experts and other observers said Friday that fluctuating commodity prices, difficult access to capital and poor downstream development had held back Indonesia’s agricultural performance

PT Perkebunan Nusantara (PTPN) IV president director Dahlan Harahap said that fluctuating prices were among the main factors influencing the poor performance of agricultural companies .

“Although we already have good management systems, if the prices continue to go up and down, performance of companies will remain unsteady,” he told a seminar on the agriculture industry at the Indonesia Business-BUMN Expo and Conference (Ibbex) 2010 at the Jakarta Convention Center.

He said fluctuating prices were critical since most firms relied on exports. He mentioned crude
palm oil (CPO) of which 77 percent is exported, rubber (83 percent), cacao (86 percent) and coffee (70 percent...