March 14, 2011

 

Indonesia's soy council warns over corn, soy stock scarcity

 

 

The Indonesian National Soybean Council warns the government of problems coping with local supply shortage of soy and corn grains due to shrinking output.

 

Benny A Kusbini, chairman of the National Soybean Council, said imports would not be easy as the world's stocks of the two commodities are also dwindling.

 

Kusbini described as dangerous a policy to continue to rely on imports to make up for the shortage in domestic supplies of the commodities.

 

According to Kusbini, the country needs to import around 1.5 million tonnes of soy a year, but this year imports are expected to increase with production not up to expectation.

 

Kusbini added that domestic production of soy is between 700,000 tonnes and 900,000 tonnes a year as against consumption of 2.4 million tonnes.

 

The government has repeatedly failed in bringing to reality its statement that the country would be self sufficient in soy supply.

 

Kusbini said the country would continue to face the same problem in the coming year if the government could not encourage the farmer to grow soy.