Potential To Cost The State IDR 1.25 Trillion, PDIP Legislators: There Is No Reason For The Trade Minister To Import Rice

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JAKARTA - Member of Commission IV DPR Effendi Sianipar said he was surprised by the findings of the Indonesian Ombudsman which stated that until March 14, 2021, the Government's Rice Reserve (CBP) stock in the logistics affairs agency (Bulog), resulted from domestic and foreign procurement (imports) in 2018 to 2019, still accumulating as many as 859,877 tons.

The rice, according to the Ombudsman, is starting to be threatened that it is not suitable for consumption or decreases in quality, so that it has the potential to cause state losses of up to Rp 1.25 trillion.

"It is clear that there are so many piling up. The potential for rice to decline in quality can reach 500 thousand tons and of course if it is not suitable for consumption, the state will suffer big losses," said Effendi in a statement received on Thursday, March 25.

According to him, under these conditions, it is certain that the DPR will not allow the discourse on rice imports by the Minister of Trade (Mendag) M. Luthfi.

"So firmly, there will be no more reason for the Trade Minister to import rice. Even after the mass harvest is over," said the PDI-P politician.

Furthermore, Effendi emphasized that his party at Commission IV would follow up on the findings by summoning the Indonesian Ombudsman, Minister of Trade M. Luthfi and Head of Bulog Budi Waseso.

"I will propose to the leadership of Commission IV to summon the Minister of Trade and Bulog, we will follow up. What is the reason for the pile up of reserve rice? Why can't Bulog distribute and sell it to the public," said the legislator for the Riau electoral district.

Previously, the Indonesian Ombudsman revealed that the rice stock in Bulog was currently filled with rice whose quality had decreased. The value is almost 50 percent of the total rice stock.

"Whose fault is the rice at Perum Bulog's warehouse? The value is large, there are around 300-400 thousand tons of rice in Bulog's warehouse, which is currently down and has the potential to suffer losses. If half of it is not suitable for consumption, then the potential loss to the state is as much as Rp 1.25 trillion, "said Ombudsman Member Yeka Hendra Fatika in a virtual press conference, Wednesday, March 24.

From 2018-2020, the Ombudsman assessed that the government was able to withstand rice price fluctuations. Although in early 2018 there was a price increase, mid-2018 until now the price is relatively stable. For three years, this commodity has a value of IDR 747 trillion.

However, Yeka said, the value of losses in Bulog's warehouse was still very large. The big loss was due to the rice that had been in Bulog's warehouse for three years not being distributed smoothly.

Bulog cannot sell it directly to the community, unlike before where there was a regulation that Bulog was allowed to sell rice through rastra outlets or prosperous rice, which used to be called poor rice or raskin.

"The rice stock in Bulog as of March 14 (2021) was 883,585 tons, of which 859,877 tons were Government Rice Reserve (CBP) stocks and 23.7 thousand tons of which were commercial rice. "The quality has the potential to decrease by 400 thousand tons from domestic procurement during 2018-2019 and foreign procurement through importation in 2018," he explained.