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๐Ÿ‡ฎ๐Ÿ‡ฉ Indonesia /Economy & Trade

Bulog Prioritizes Warehouse Expansion in Three Provinces to Store Rice Surplus

From Republika · (11h ago) Indonesian Positive tone

Translated from Indonesian, summarized and contextualized by DistantNews.

TLDR

  • Bulog is prioritizing warehouse expansion in East Java, Central Java, and West Java to accommodate a surge in rice production.
  • The state-owned company plans to lease warehouses as a temporary measure while awaiting permanent construction, aiming to add approximately 1 million tons of storage capacity.
  • This expansion is driven by a rapid increase in rice production, necessitating additional storage beyond Bulog's existing 2 million-ton capacity.

Republika notes Bulog's strategic focus on bolstering warehouse capacity in key provincesโ€”East Java, Central Java, and West Javaโ€”to manage the significant increase in national rice production. This proactive measure, involving both leasing existing facilities and planning for new, technologically advanced warehouses, underscores the government's commitment to ensuring food security and efficient distribution.

The expansion is underway. For large warehouses like those in East Java, Central Java, and West Java, it has started to achieve additional capacity of around 1 million tons.

โ€” Ahmad Rizal RamdhaniDirector Utama Perum Bulog explaining the urgency and scale of the warehouse expansion project.

The expansion, aiming to add a crucial 1 million tons of storage, is a direct response to the rapid growth in rice output, which has outpaced current storage capabilities. This initiative reflects a sound understanding of supply chain management, ensuring that the bumper harvests can be stored effectively, thereby stabilizing prices and availability for the Indonesian populace.

Warehouse leasing will continue to increase. We previously reserved 2 million tons. Because production is increasing rapidly, we are adding around 1 million tons for warehouse leasing.

โ€” Ahmad Rizal RamdhaniDirector Utama Perum Bulog detailing the need for additional storage due to increased rice production.

Furthermore, the integration of modern storage technologies, capable of extending rice shelf life up to two years, signals a forward-thinking approach. As highlighted by Minister Zulkifli Hasan, this technological advancement is key to minimizing post-harvest losses and maximizing the value of our agricultural output. Republika views this as a critical step towards not only meeting immediate needs but also building a more resilient and sustainable food system for Indonesia's future.

This warehouse will follow technological developments. The Head of BRIN conveyed that rice can last up to two years with the technology applied in the warehouse.

โ€” Zulkifli HasanCoordinating Minister for Food discussing the integration of modern technology in new storage facilities.
DistantNews Editorial

Originally published by Republika in Indonesian. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.