The impact of global warming is real on our dining tables, as most Indonesians love eating two soybean based foods, tofu and tempeh (fermented soybean cake -Ed). Tofu and tempeh recently disappeared from the market following a strike by tempe and tofu producers to protest the price hike of soybean.

At present the soybean price reaches 8,000 IDR per kg, or an increase of 30 percent from 6,000 IDR per kg previously. The price hike was triggered by a drop in US soybean production this year due to the prevailing drought conditions there. Around 60 percent of Indonesia`s soybean imports are from the United States.

Trade Minister Gita Wirjawan reportedly said in Pasuruan, East Java, Tuesday that the domestic consumption of soybean reaches 2.6 million tons annually, while the national production of soybean is only 6,000 tons/year. "So, we have to import soybean to meet the shortage," Wirjawan said.

Strikes to protest the govt

Hery Budiarto, a producer of tofu and tempe (soybean cake) in Pasuruan, said the soybean price has increased over the past several days from 6,800 IDR per kg to 7,500 IDR per kg now. He has to raise the price of his products, for instance, tofu from 500 IDR per piece to 650 IDR. Due to the price hike, the tofu and tempe sales have decreased by around 40 percent, he said.

To protest the price hike, tofu and tempe producers in Jakarta, Bogor, Tangerang, Bekasi, and Bandung decided to halt production for three days, which started on Wednesday (July 25). The strike was aimed as a protest against the government, which has failed to control soybean prices, and also to inform the public that the traders had no option but to increase the prices of tofu and tempe, since the soybean price increased significantly.

In Tangerang, Banten Province, around 5,000 producers of tofu and tempe (soybean cake) in Tangerang, Banten Province, halt tofu and tempe production starting Wednesday. Chairman of the Tangerang Tofu and Tempe Cooperatives Asep Hidayat urged the government to return the soybean price to the previous one, or otherwise many tofu and tempe producers could go bankrupt due to the price hike. The government, he said, should monitor the prices of not only basic necessities such as rice, sugar, eggs and cooking oil, but also soybean because tempe and tofu are consumed by most Indonesian people, especially on Java Island.

Tofu and tempe producers and sellers in Bogor City, West Java, also joined the three-day strike called by Primkopti (the Association of Indonesian Tempe and Tofu Cooperatives). Several Primkopti members inspected the Anyar, Merdeka and Warung Jambu traditional markets in Bogor to make sure that all tofu and tempe traders complied with the strike call.

Tofu and tempe (soybean cake) producers in Pekalongan, Central Java Province, threatened to join the strike. Bambang Sujatmiko, the chairman of the Association of Pekalongan tofu and tempe producers, said here Wednesday that around 30 members of the association are considering to stop production temporarily because soybean is hard to find and very expensive.

Sutaryo, the second chairman the Association of Indonesian Tofu and Tempe Producers Cooperatives (Gakoptindo) said on Tuesday that "The producers will not mind a price hike if it`s in stages. But what is happening now, the price hike is not normal. The agriculture minister should have supported the government`s policy to improve the welfare of farmers and protect the interests of producers and consumers."

He urged the government to exempt soybean imports from tax and create an instrument to stabilize soybean prices. He also asked the government to help realize self-reliance in soybean production in the long run.

"Depending on soybean imports is risky. However, the government has hardly done anything to reach soybean production self-reliance by 2014," he said.

The tempe and tofu producers` strike and "scream" were quite successful to force the government to listen to their demands, as Agriculture Minister Suswono finally announced the government will waive soybean import duty in an effort to reduce the imported soybean prices.

"I think this is in response to the emergency situation, due to the soybean price hike," the minister said after attending a limited coordination meeting on food security in Jakarta on Wednesday.

"The reduction of soybean import duty from 5 percent to 0 percent is temporary and will apply until the end of this year at the latest. Later, a tariff team led by the finance ministry will decide on the rate," Suswono added.

In fact, the country needs at least 500,000 hectares of land to plant soybean in order to meet domestic demand, but farmers prefer to grow maize because it is more profitable. "Our problem regarding soybean is land-related. From the beginning, I have always said we need at least 500,000 hectares of additional farmland in order to be self-sufficient in soybean," Suswono stated. "The country has 7.2 million hectares of land that is yet to be used.

"BUMN has helped improve the country`s food security by producing rice and sugar and developing cattle husbandry so far," Dahlan said on Wednesday. State enterprises are now also being encouraged to produce soybean in the wake of a shortage in supply of soybean, he said.

Ikuti Whatsapp Channel Republika