Amadeusz Juskowiak

Indonesian sugar output seen short of target

Indonesias raw sugar output is likely to be 18 mln tonnes in calendar 1987 unchanged from 1986 and below the governments 1987 forecast of 25 mln the US Embassy said in its agricultural outlook for 1987

Indonesia bought 162500 tonnes of raw sugar on world markets in late 1986 the report said

The embassy estimated Indonesias calendar 1986 raw sugar production at 18 mln tonnes against a government estimate of 199 mln

It said that Indonesias move into sugar selfsufficiency in 1984 may have been shortlived

The report said The government continues to promote sugarcane production through its smallholder intensification program and a relatively high guaranteed price to sugarcane producers

However there are considerable indications that farmers are reluctant to plant cane because its economic return is not as good as that of other crops

REUTER