REPUBLIKA.CO.ID, MATARAM -- The Indonesian Bureau of Logistics (Bulog) of the West Nusa Tenggara (NTB) Regional Division aims to buy five thousand tons of red onions from regional farmers in 2015.
"The target is appropriate for the one set by the central government," Head of the NTB branch of Bulog, M. Sugit Tejo Mulyono, said here on Tuesday(27/1).
He mentioned that red onion is one of the seven commodities used for commercial purposes, or businesses run by Bulog.
The other six commodities are corn, soy, chili, beef, sugar and rice, apart from the rice under the rice for the poor (Raskin) program.
According to Mulyono, Bulog was ordered by the Ministry of State-Owned Enterprises (BUMN) to run businesses using other commodities, in addition to its main task of absorbing rice production from domestic farmers.
"Before officially using the seven commodities for commercial purposes this year, Bulog will conduct a feasibility study, which it plans to complete by the end of 2015," he stated.
The study will be conducted by visiting the production center in Bima, the largest in NTB, where officials will interact directly with farmers.
The focus is to study their cultivation techniques and marketing results, as well as the feasibility of the prices fixed, Mulyono explained.
The results of the study will be submitted to the BUMN Ministry to be analyzed, after which it will issue the final instruction on the businesses.
"Based on the results we submit, we will receive an instruction regarding the purchase of red onions this year," Mulyono affirmed.
He added that the red onions bought will be sold back to meet the needs of local markets.
Moreover, business partners of Bulog will send red onions to Papua and Surabaya, as well.
"We have informed relevant business partners about the plan to supply five tons of red onions to Papua, to start with, but have not informed them about Surabaya's supply because it still being debated," the NTB head of Bulog noted.
Red onion is one of the eminent horticultural commodities of NTB, with the largest production center located in Bima district.
The Central Statistics Agency (BPS) recorded that 101,628 tons of onion was produced in NTB on 9,277 hectares of land in 2013. The production rate was higher than that in 2012, when 100,989 tons of the commodity was produced on 12,333 hectares of harvest area.
The largest production center is located in Bima district, where the volume of production in 2013 was 80,218 tons. It is followed by Sumbawa district (11,885 tons), East Lombok district (7,823 tons), Dompu district (1,583 tons), North Lombok district (55 tons), and Bima municipality (35 tons).
Bulog is an Indonesian stated-owned company that deals with distribution of food and price control.
According to State Enterprises Minister Rini Soemarno, the company is expected to help stabilize prices for farmers and the community, while meeting its obligation to generate profits.
"Special managerial expertise is needed as Bulog has to buy rice from farmers at a reasonable price and maintain stable market prices, while making profits at the same time to survive, with regard to supporting the food self-sufficiency program," she remarked recently.
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