Govt Discusses Beef Price

Jakarta (Antara Bali) - At least four ministers, two deputy ministers and the state logistics board (Bulog) head met on Monday to discuss efforts of overcoming soaring beef prices in the domestic market.

The four ministers were Chief Economic Minister Hatta Rajasa, Trade Minister Gita Wirjawan, Agriculture Minister Suswono and State-owned Enterprise Minister Dahlan Iskan.

The meeting was also attended by Bulog head Sutarto Alimoeso and two other deputy ministers of the ministry of finance and the ministry of public works.

"We met to discuss the problem of soaring beef prices. I think it is a simple problem: a problem of supply and demand. My concern is to maintain price stability. The price now is increasing from the previous Rp60,000 (US$6.2) per kg to RpRp95,000 (US$9.8) per kg," Trade Minister Gita Wirjawan said after the meeting.

Based on data available at the Central Bureau of Statistics (BPS), the beef price in the fourth week of January 2013 was recorded at Rp90,000 (US$9.33) per kg.

This price has been in that level since the first week of December 2012. It was said that the beef price in Indonesia now was the most expensive in the world.

The World Bank recorded that the average beef price per kg in Indonesia in December 2012 was US$9.76 while prices per kg in Malaysia was US$4.3, in Thailand US$4.2, In Australia US$4.2, in Japan US$3.9, in Germany US$4.3 and in India US$7.4.

"Beef price in the market in the last three months has remained high, even it continues to increase. If this continues to take place without efforts to lower it, I am afraid it will reach Rp120 thousand (US$12.45) per kg. This rate is beyond the financial reach of consumers," Deputy Trade Minister Bayu Krisnamurthi meanwhile said two weeks ago ( Feb.5). (*/DWA)