Horticulture, Rp 17.61 Trillion Opportunity

Central Bureau of Statistics noted, in the period from January to October 2011, the import value of fruits, vegetables, processed products of fruits and vegetables, and beverages and food products processed through the Rp 17.61 trillion. Rose 37.47 percent compared with same period in 2010.

This is certainly alarming. Furthermore according to the realization of other food commodities imported through November 2011 are also on the rise. Realization of rice imports 2.1 million tons valued at
Rp 10.6 trillion (an exchange rate of Rp 9175 per U.S. dollar), 2.9 tonnes of maize (Rp 8.61 trillion), 1.7 million tons of soybean (Rp 9.38 trillion), as well as wheat and meslin 4.72 million tonnes (Rp 17.02 trillion).

Not to mention the 0.55 million tons of wheat flour (Rp 2.10 trillion), 0.17 million tons of sugar (Rp 1.23 trillion), 1.89 million tons of sugar cane (Rp 11.96 trillion), and similar meat ox 80 089 tonnes (Rp 2.3 trillion). No more imported beef, salt, and milk.

Especially for imported fruits and vegetables, the government could certainly argue and say the fruit and vegetable imports contributed only 5 percent of total national consumption. However, keep in mind, the data about the production in Indonesia is still questionable.

Thus, the market share of fruit and vegetable imports are 5 percent is also a doubt. When looking into shopping centers, both in cities and district towns, fruit and vegetable imports dominate the shanties in the palm. From apples, oranges, bananas, durians, to other imported fruit products. Also carrots, potatoes, garlic, onions, and tomatoes. If the data is correct, maybe the market share of imported fruits and vegetables are translucent 30 percent?

That should be noted, the national vegetable production only grew thin. In contrast, most of the fall fruit production.

Production is not satisfactory due to the lack of design development of national fruit and vegetable commodities.

Without intending to downplay the role of the Ministry of Agriculture, the centers of production of fruits and vegetables did not increase significantly. Even if there is government work, only one or two. Moreover, society itself is developing, with all the limitations.

Increase fruit and vegetable production is actually not difficult. Moreover, for these two commodities, may enter the private sector. In contrast to food crops, in which private sector involvement is very limited.

If the government would seriously increase the production and release of import dependence, the government invited private residence to invest. Wide open market opportunity, both for domestic and export markets. Fruit wholesale market prices in Jakarta and Singapore, for example, could be the difference of 30 percent. Not to mention the opportunity to export to China, India, Japan, and Australia.

Entrepreneurs who are not tempted by the opportunity. However, despite its great potential, many entrepreneurs are not interested in investing.

The problem is classical, ie, poor road infrastructure, both intercity roads and in gardens, lack of electricity infrastructure, high transport costs, the difficulty of finding land and take care of licensing, extortion happens everywhere, poor stock management, and the unavailability of large-scale storage , complete with cold room.

If the private sector to do it all, certainly do not want to, let alone the public. Governments should facilitate it, including supporting the provision of warehouse and refrigeration space, while improving transport. Do not just focus on the regular programs that do not bring results.

Free trade provides many opportunities and challenges.