BANJARMASIN, South Kalimantan: The State Logistics Agency (Bulog) Regional Division of South Kalimantan forced to bring in 20 thousand tons of rice from East Java and South Sulawesi to the needs of subsidized rice-for-the-poor or raskin distribution, Antaranews reported.
Head of Service Bulog South Kalimantan Regional Division in Banjarmasin Muhammad Zainal said on Thursday that up to October 2015 only 7,800 tons rice collected from local farmers from 27 thousand tons absorption target.
The lack of absorption of local farmers’ rice, he said, among others constrained by purchase price still below the market price, so that farmers choose to sell to middlemen.
Based on government, farmers purchase price by Bulog Rp7.300 per kilogram, while the price in the market has reached Rp7.800, even Rp 8 thousand per kilogram for medium rice types.
“In fact, the absorption of this rice has escorted by the military, but we still can not reach the desired target, even still far from expectations,” he said.
In addition, he said, the quality of farmers rice do not correspond to the quality set by Bulog, such as high water content.
The lack of accumulation of local farmers’ rice by Bulog is contrary to South Kalimantan rice production, which was estimated to have increased compared to previous years.
Head of South Kalimantan Agriculture Agency Fathurrahman said in 2014 rice production reached 2.094 million tons, while in 2015 production target rose to 2.190 million tonnes.