Saturday, 20 Safar 1441 / 19 October 2019

Saturday, 20 Safar 1441 / 19 October 2019

Demand for refined sugar projected to increase five percent

Kamis 24 Jan 2019 02:10 WIB

Red: Reiny Dwinanda

Refined sugar.

Refined sugar.

Foto: Republika/ Wihdan
Govt to import 2.8 million tons of refined sugar although current stok is adequate.

REPUBLIKA.CO.ID, JAKARTA -- The Indonesian Food and Beverage Association (GAPPMI) has projected a five percent rise in demand for refined sugar as the industry will need to meet its targeted growth of 9.8 percent in 2019. Demand for raw sugar in 2019 for the food and beverage industry is expected to reach 3.6 million tons.

"The current stock is still adequate," the association's chairman, Adhi Lukan, stated when contacted here on Wednesday.

However, the government has decided to import 2.8 million tons of the commodity, with the stock currently reaching 800 thousand tons. According to Lukman, the import volume has yet to take into account the projected increase in demand by five percent.

"The government will review it every three months, and if necessary, (the import volume) will be increased," he stated.

Meanwhile, Rahmat Hidayat, the deputy chairman of GAPPMI, stated that growth in the food and beverage industry will boost the demand for raw material.

"When the industry grows, possibly, the demand (for raw sugar) will be more than 3.6 million tons. We believe that the government will scrutinize this issue wisely," he noted.

The Industry Ministry had earlier set the growth target for the food and beverage industry at 9.8 percent in 2019.

Baca Juga

The industry has become the main driver for the nation's industrial growth that is targeted at 5.4 percent in 2019, in addition to four other industries: machinery; textile and garment; leather, leather products, and footwear; and metal goods, computer and electronic goods.

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