Sugar Prices In Indonesia Are More Expensive Than Brazil, Zulhas Reveals The Cause

Coordinating Minister for Food Zulkifli Hasan (Photo: Doc. VOI)

JAKARTA - Coordinating Minister for Food Zulkifli Hasan revealed that sugar production costs in Indonesia are much more expensive when compared to Brazil. Thus, the price of sugar at the consumer level has become very high.

Zulhas, as Zulkifli Hasan is familiarly called, said that to produce 1 kilogram (kg) of sugar in Indonesia, the cost reaches 80 cents. Meanwhile, Brazil only spent 15 cents.

"I just came home from Brazil. Sugar, if we sugar cane, the cost is 1 kg, 70 to 80 cents of sugar. So we buy more expensive sugar. Brazil to get 1 kg of sugar, that's 15 cents. Very far. 15 cents, we are 80 cents," he said at the Green Impact Festival, at the Djakarta Theater, Jakarta, Thursday, July 23.

The high cost of producing sugar, continued Zulhas, is because Brazil adopts technology in the agricultural world. In addition, the seeds used by Brazil are also much superior.

"He has seeds, he can grow once 7 to 10 years. You don't have to plant anymore, you just have to harvest, harvest, harvest. It can be strong for 7 to 10 years. Our seeds, 2 to 3 years have to change," he said.

Worse yet, continued Zulhas, the sugar cane seeds that should have been replaced within 3 years were maintained until 20 years. This condition, according to Zulhas, also affects the quality of the harvest.

"But what happened, it should be every 2 to 3 years to replace it, this seed doesn't even change for 20 years. Imagine, (Brazil) which can be more than 100 tons, we might be able to reach 30 to 50 tons," he explained.

According to Zulhas, the production costs have made the price of sugar in Indonesia much more expensive than Brazil.

"So it's a lot. So the cost becomes expensive," he said.

For your information, the history of sugar in Indonesia is quite long, especially since the Dutch colonial era, Indonesia was once the largest sugar exporter in the world. In the 1920s to the 1930s, Indonesia reached the peak of sugar production and became the main sugar exporter to various countries.

However, after Indonesia's independence in 1945, sugar production slumped and Indonesia began importing sugar to meet domestic needs. Currently, Indonesia imports more sugar than exports it.