The government will launch a market operation in the near future to stabilize sugar prices,Trade Minister Agus Suparmanto said here on Wednesday.
Sugar prices reached Rp17,400 per kg on Wednesday, surpassing its price ceiling of Rp12,500 per kg, according to the National Strategic Food Price Information Center (PIHPS).
"Basically, our stock is adequate. We will soon conduct market operations, and yesterday we talked to distributors, who still have some 160,000 tons of stock," Suparmanto said.
The minister has asked distributors to release their stocks of sugar at the ceiling price of Rp12,500 per kg, in a bid to stabilize the price.
"It must be in line with the ceiling price. Within the next 2-3 days, the supply will be released," he added.
In addition, 260,000 tons of imported sugar will be arriving in March, as part of the import license issued by the ministry this year.
The Trade Ministry has issued an import license for 438,802 tons of crystal raw sugar to be used as a raw material to process crystal white sugar for public consumption.
Of the total import license, 29,750 tons would be imported by the State Logistic Agency (Bulog). The agency has sought to import the sugar from the nearest sources, such as Thailand, Australia or India, to ensure the fastest delivery.
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Translator: Mentari DG, Sri Haryati
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