WARTAHOT – Member of House Commission XI Ecky Awal Mucharam, as well as Vice Chairman FPKS Ekku Affairs confirms that despite the general rate of inflation is relatively low, but inflation in goods volatile (volatile) is still very high.
“One side of the government seem to be successful in reducing inflation, but the inflation of the price of the goods churned still quite high,” he explained.
BPS data showed inflation luggage volatile (volatile) at the end of 2016 reached reached 5.92 percent; general inflation rate of 3.02 percent; core inflation was 3.07 percent; and inflation goods regulated by 0.21 percent. And throughout 2016, contributing to the formation chili inflation reached 0.35 percent and the main contributor.
As we all know the price of chili ‘increasingly spicy’ up to Rp160 thousand per kg. In fact, in some traditional markets exceeded 200 thousand per kg. So that the real extent of the high commodity chili is not only related to the weather, but it is a fundamental governance issue is niaganya. Starting from the process of production, distribution, marketing, to final consumption.
The issue on the production side, further Ecky seen how the influence of middlemen who became a supplier of funds and the means of production for farmers in the area. The government must have the courage to go deeper into the business process, so as to break the web of middlemen. Coupled with the People’s Business Credit (KUR) which have not been targeting the agricultural sector effectively. Because of the limitations of these factors of production, farmers are forced tied to middlemen.
In addition, the distribution channels also affect the price of chili. Condition of the road led to higher transport costs. The overall cost will be charged to the consumer. In various studies concluded, transport accounts for about one third of the selling price of goods. Therefore, urgent repair of basic infrastructures, firmly Ecky.
Therefore Ecky support farmers should be able to distribute the results of his efforts as short as possible to consumers through intermediaries. For macro issues such as inflation and economic stability stems from the micro management of things like this.
Besides there is a comprehensive and sustainable policies in tackling soaring food prices that kept recurring. The government’s policy is not currently in earnest to design appropriate policies to touch the root problem.
The surge in food prices annually recurring, should be approached with an increase in production management and supply management (stock management) were good. We have not seen this, whereas other countries are already way, said Ecky at the Parliament Complex Senayan Jakarta.
The issue price fluctuations are not only twisted red chili commodities, fluctuations in the price is high enough happened in other commodities, such as onions, rice to beef. These conditions once again proves the government has the right solution to overcome the problem of food prices, especially horticulture.
“These conditions should be a serious warning to the government, because of the potential occurs on a commodity essential needs of the other. Including food cartels must be cut and the government should seriously carry out the plan to build a large refrigerated warehouse (cold storage) like those of Dubai to manage food-strategic food. So that when the supply is high, the existing supply can be stored in the refrigerated warehouse for subsequent use at the time of production is reduced, “anjur Ecky.
We see the development of horticultural production technology still lags behind many countries. And with the large population food needs to be very strategic. If there is no comprehensive and sustainable policies, will lead to food insecurity and recurrent price fluctuations and detrimental to the people, he concluded. (tjo)