APSN Banner

Tariffs on food, agricultural commodities to be raised

Source
Agence France Presse - June 11, 2002

Indonesian President Megawati Sukarnoputri has agreed to increase import tariffs on all food and agricultural commodities in the near-term, a report said.

"We must adjust our stance by implementing higher tariffs for all food and agricultural commodities and the president has already agreed to this to ensure our food products are more competitive," Agriculture Minister Bungaran Saragih was quoted in Tuesday's Kompas daily as saying.

Saragih who was in Rome with Megawati to attend an international food conference said the country currently had low import tariffs and other countries were providing hidden subsidies to protect their farmers.

Indonesia currently has tariffs of 30 percent for rice and sugar and five percent for raw sugar, while there are no tariffs for soybeans and corn, he said.

Indonesia does not provide any subsidies, while Europe and the US generally set high import tariffs and give export credit subsidies to their farmers, he added.

Country