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The government has decided to delay the second phase of 500,000 rice imports as it is now near the grand harvest.

“It is delayed until the end of June, 2007,” said Bayu Krisnamurthi, Deputy Coordinating Minister for the Economy, Agriculture and Maritime Affairs Division, after attending the rice coordination meeting in Jakarta yesterday (2/5).

He explained that the government's plan to import rice will not change.

During the planting season 2006-2007, the government decided to import 1.5 million tons of rice.

The first phase of rice imports amounting to 500,000 tons was realized between last February and March.
The second phase is delayed and the plan for the third phase of another 500,000 tons is only optional.

This means the import will be carried out only if the Indonesia government needs it.

In addition, the government's decision whether or not to take the remaining rice (outstanding) depends on the national rice procurement and domestic price progress.

What is clear, is thato far the government has not decided to take the third rice import phase.

“The outstanding import (500,000 tons), hopefully, would not necessarily be realized,” said the man who was sometimes called Yayok.

According to him, the government will continue monitoring the progress until this June.

Based on the prognosis, the farmers' rice can be absorbed by the government until May or June.

The State Logistic Company (Bulog) can already absorb the farmers' rice 400,000 tons of the 900,000 tons target until May.

“We will catch up the remaining between May and June,” he said.

Mustafa Abubakar, Bulog Managing Director, said up to April, of the one million tons of the first and second phase import plan, 520,000 tons have been realized.

“We'll see the progress after May. In June, we'll see the domestic absorption number,” he said in Jakarta yesterday.

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