PTPN III Boss Asks Indonesia Not To Go Crazy With Sugar Imports

Sugar (Photo: dock. Antara)

JAKARTA - The BUMN Plantation Holding, PT Perkebunan Nusantara III or PTPN III asked the government to limit imports of consumption sugar. The goal is to maintain the sustainability of the sugarcane farmers' businesses in the country.

President Director of PTPN III Mohammd Abdul Ghani said that if imports are not limited and imported sugar goes crazy into the country, the domestic sugar cane farmers' businesses will die.

"If imported sugar goes crazy, we die and farmers can't fix the agronomim," he said in a statement with Commission VI of the DPR, at the DPR Building, Parliament Complex, Tuesday, June 25.

Currently, continued Ghani, farmers' productivity is 4 to 5 tons per year. With the production of these 5 tons, the cost of sugar production (HPP) is IDR 9,700 per kilogram (kg). This figure has been deducted by production and processing costs.

Therefore, said Ghani, PTPN III targets farmer productivity to increase to 8 tons per year. That way, the sugar HPP will be at the level of Rp6,300 per kg and can compete with imported sugar.

"For 8 tons, the principal burden for HPP farmers is only Rp. 6,300. This means that if it is Rp. 6,300 farmers, it may not need to be bought now, Rp. 14,500 is expensive. Of course, if you are too expensive, you will feel sorry for consumers," he said.

When farmer productivity reaches 8 tons per year, continued Ghani, the ideal purchase price is IDR 12,000 per kg. That way, farmers and consumers both benefit.

Ghani also asked the House of Representatives Commission VI to protect PTPN and domestic sugar cane farmers from the invasion of imported sugar, along with efforts to increase domestic sugar productivity.

"We want to ask for the support of Commission VI of the DPR before the production of farmer productivity reaches 8 tons, please protect us from entering imported sugar," he said.