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Jakarta Post
24 July 1999

Indonesia gets lower coffee export quota=20

JAKARTA (JP): Indonesia's coffee export quota will be reduced by 3 percent t=
o=20
5.68 million 60-kilogram bags (340,800 metric tons) in the 1999/2000 harvest=20
year from 5.85 million 60-kilogram bags in the 1998/1999 harvest year, a=20
senior trade official said on Friday.=20

Director General of International Trade Djoko Moeljono said the lower export=20
quota was part of an agreement with other members of the Association of=20
Coffee Producing Countries (ACPC) in a bid to prop up prices.=20

He said other member countries also agreed to cut exports by 3 percent for=20
the 1999/2000 harvest year, from Oct. 1, 1999, to Sept. 30, 2000.=20

"Under the recently signed ACPC agreement, Indonesia's export program for th=
e=20
1999/2000 harvest year is set at 5.68 million bags, or 3 percent lower than=20
the 5.85 million bags set for the 1998/1999 harvest year," he told reporters=
.=20

He added the agreement was signed during the ACPC meeting in Brazil on July=20
6.=20

Djoko said coffee prices on the international market continued to plunge=20
since August last year due to a surge in exports from Brazil, the world's=20
biggest coffee grower.=20

He said Brazil exported 24 million bags (1.44 million tons) of coffee this=20
harvest year, far above its agreed export program of 15 million bags, due to=20
bumper crops. The move has led to an oversupply on the international market=20
and resulted in the sharp drop in prices.=20

Djoko said ACPC, a group of 14 coffee-producing countries, including Brazil,=20
Colombia, El Salvador, Indonesia, Uganda and the Inter-African Coffee=20
Organization, set an annual export program for each member in order to=20
stabilize coffee prices.=20

"But since it was not an official export quota, there was no punishment for=20
Brazil. It only received a reprimand from other ACPC members in the meeting,=
"=20
he said.=20

Coffee bean prices on the international market are down to a current 24 U.S.=20
cents per kilogram from 73 cents per kilogram in September.=20

Djoko said to raise prices, ACPC members agreed to cut their export volume b=
y=20
three percent, while Brazil exports would be maintained at 15 million bags.=20

The Association of Indonesian Coffee Exporters (AICE) said on Friday that th=
e=20
agreement to lower the export volume was badly needed to lift prices.=20

"Although 1999/2000 production will be higher, we agree to cut exports in a=20
bid to lift prices. It is important to push up prices in order to increase=20
export earnings," AICE's executive secretary Noer Madjid told The Jakarta=20
Post on Friday.=20

He warned, however, since Vietnam, Indonesia's closest rival on the list of=20
coffee exporters, was not an ACPC member, it was likely that Vietnam's=20
exports would exceed Indonesia's in the 1999/2000 harvest year.=20

Indonesia is the world's third-largest coffee producer after Brazil and=20
Colombia, with an output of 420,000 tons in 1997/1998. The country's=20
production is 90 percent robusta and 10 percent arabica.=20

Lower production=20

Noer said AICE revised its estimate for coffee production this year to=20
330,000 tons from a previous forecast of 470,000 tons.=20

He said heavy rains caused by the La Ni=A4a weather pattern could damage=20
harvest of coffee in some important producing areas.=20

"According to surveys and reports from our chapters, we predict our coffee=20
production can not reach the 470,000 tons targeted earlier due to unfavorabl=
e=20
weather in most of the production areas," he said.=20

"We estimate that Indonesia's coffee output this year will only reach 330,00=
0=20
tons."=20

Excessive rains and strong winds since October, which hit coffee buds mostly=20
in the area south of the equator, has distrupted the flowering process.=20

The country's coffee production was earlier predicted to reach 470,000 tons,=20
in which 350,000 tons would be exported and the rest, 120,000 tons, would be=20
sold domestically. But until the middle of July, production has only reached=20
over 200,000 tons.=20

"With monthly production amounting to 20,000 tons, it is impossible that we=20
can produce 470,000 tons in the next three months," he said.=20

Noer said Indonesia usually faced a peak in coffee harvest in the May-=20
October period, but this year most coffee buds in the country's coffee belt=20
could not bloom.=20

But Noer said coffee exports in the 1998/1999 harvest year would not drop=20
drastically since domestic consumption was predicted to fall sharply this=20
year.=20

Indonesia's main robusta-producing areas are South Sumatra, Lampung and=20
Bengkulu. The three Sumatran provinces, which traders call Indonesia's coffe=
e=20
triangle, produce up to 70 percent of Indonesia's total production of coffee=
.=20

The country's arabica coffee is produced in Aceh; North Tapanuli, North=20
Sumatra; Toraja, South Sulawesi; and by state-owned coffee plantations in=20
East Java and Central Java. (gis)=20


Indonesia Unhulled Rice Output Seen To Rise 0.6% This Year

JAKARTA, July 23 Asia Pulse - Indonesia's output of unhulled rice this year=20
is estimated to edge up 0.6% to 49.53 million tons, the official statistic=20
office BPS said in a statement on Thursday.

BPS said the country's production of unhulled rice would rise despite a an=20
expected 0.91% decline in harvest areas to a total of 11.62 million hectares=20
this year.

"This means a significant improvement in productivity," the BPS statement=20
said.

In 1998 production was 41.97 quintals per hectare, up to an estimated 42.61=20
quintals in 1999.

BPS said maize corn production would drop 10.18% to 9.13 million tons in 199=
9=20
and that of dry soybean would slide 2.34% to 1.28 million tons.

The country is expected to import 2 million tons of hulled rice in the fisca=
l=20
year starting April.

The government has said it would import rise from Egypt, Pakistan, Vietnam,=20
Thailand, Myanmar, China and Taiwan.

The country enjoyed long self sufficienty in rice starting 1984 before it=20
became the world's largest importer of the staple food.

(ANTARA)=20
=20

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Didistribusikan tgl. 24 Jul 1999 jam 11:25:29 GMT+1
oleh: Indonesia Daily News Online <[EMAIL PROTECTED]>
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