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Indonesian government to build 10 new sugar factories

Ngawi (ANTARA News) – The agriculture ministry would build 10 new sugar factories to reduce imports of raw sugar and to create self sufficiency in the supply of the commodity.

“We already has 350,000 hectares of lands in Kalimantan and Sulawesi, where we will open sugar plantations and built sugar mills,” Agriculture Minister Amran Sulaiman said during his working visit here on Wednesday.

The factories to be built with high technology will produce raw sugar and double refined sugar , which is widely used by food and beverage processing industries, the minister said.

In addition the government through state plantation companies will launch replanting for which the government will provide good quality seeds , fertilizer and farming tool free valued at Rp2.5 trillion from the state budget.

Amran said his ministry has coordinated with the trade ministry to limit raw sugar imports which totaled 2.8 million tons in 2014.

“Currently we will imports only 600,000 tons and we will closely control that imported sugar go to industries,” he said.

The countrys production of sugarcane t present is around 70 tons per hectare , he said,. adding the productivity is expected to increase to 75 to 80 tons per hectares.

The countrys production of white crystal sugar in 2014 reached 2.5 million tons only far short of the domestic requirement of 5.7 million tons.

Source : www.antaranews.com, Wednesday 28 January 2015