Jakarta -Revised data on rice production potential this year, which the government has just released through the Central Bureau of Statistics (BPS), is considered to have approached the real conditions in the field.
The Secretary General (Secretary General) of the Rice and Rice Milling Entrepreneurs Association (Perpadi) Burhanuddin also considered the latest data to affirm the real conditions that answer the concerns of business people who have been fighting over buying grain from farmers.
According to him, the current number of mills reached 182,000 with installed milling capacity reaching 180 million tons of GKG per year, equivalent to 108 million tons of rice. Much larger than rice production which ranges from 30 million tons.
“As a result of the quarrel that is most affected by it is a small rice mill which is now 40% -60% is no longer operational. The number of small grinders is around 92% or 170,000 perpetrators,” he said, Tuesday (10/24/2018).
The mill is usually able to grind less than 1.5 tons of GKG / hour. Grinders can only produce medium rice whose selling price is determined by the government and must compete with big players who have strong capital.
“As long as it is not regulated by the government about partnerships and there is no [collaboration between large and small grinders] competition will continue to occur unless the production of grain increases. The key is there,” he said.