g domestic demand, the government will more than double the import volume of fruit and vegetables in 2014 from last year.Trade Ministry director-general for foreign trade Bachrul Chairi confirmed that the government would allow the import of 17 horticulture products, including apples, mangoes, oranges, potatoes, chilies and shallots, tentatively totaling 600,000 tons in the first half of 2014, up 130.8 percent from 260,000 tons in the same period last year.
As of Dec. 30, importers proposed permits to source overseas 817,250 tons, comprising 599,996 tons of fruit, 134,970 tons of vegetables and 82,284 tons of chilies and shallots.
“We will be strict with importers. They must realize at least 80 percent of their approved import volumes, otherwise we will revoke their permits,” Bachrul said. He said the ministry would allow importers to lower the import volume they earlier proposed until early January.
Raw foods, particularly certain horticulture products such as shallots and chilies, as well as meat, have been the key contributors to inflation in Southeast Asia’s biggest economy, which is most often tackled through imports.
Last year witnessed an irregular rise in inflationary pressure following a stricter horticulture import policy introduced by the government, which it then relaxed.
