Minister Of Agriculture Dismantles Oplosan Rice: Bulk But Premium Prices Are Sold To Weight Reduced
JAKARTA - Minister of Agriculture (Mentan) Andi Amran Sulaiman revealed the findings of rice quality examinations in the national market.
From the results of checking on 268 rice brands circulating in 10 provinces, it turns out that around 85 percent of rice is not in accordance with quality standards, both in packaging and in content.
"Then this is 85 percent that is not in accordance with the standard. Some are uploaded, some are not uploaded, immediately change the packaging. So this is all bulk rice but it is sold in premium prices. The bulk rice is sold but the medium price is sold. Some reduce the size of 5 kilograms (kg) but 4.5 kg," he said in a working meeting with Commission IV DPR RI, Jakarta, Wednesday, July 16.
Amran estimates that the total value of losses from the circulation of rice that does not meet the quality of Rp. 99 trillion. "And this is the total value after we have multiplied the amount of rice in circulation, which is Rp. 99 trillion," he said.
This finding began with irregularities in the national rice distribution chain, where the price of unhulled rice at the farmer and milling levels has decreased, but prices at the consumer level have increased.
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"We tried to analyze it because there was an anomaly where two months ago, one month ago there was a decline in prices at the farmer level or milling. We repeat, the price decline occurred in mills or farmers but there was an increase at the consumer level," said Amran.
Furthermore, Amran refers to data from the Central Statistics Agency (BPS), which shows that Indonesia's rice production has increased by 14 percent or a surplus of more than 3 million tons.
With this excess supply, the price of rice in consumers should also decrease, not the other way around.
"This is an anomaly. On the other hand, according to BPS, our production increases by 14 percent or more than 3 million tons. There is a surplus of 3 million tons more than needed. But prices go up, on the other hand farmers go down, farmers should only increase at the consumer level," he said.