Indonesia to Import 2.1 Million Tons of Raw Sugar

Indonesia, Southeast Asia’s largest sugar buyer, will allow refiners to import 2.1 million metric tons of raw variety in 2012, according to Deputy Trade Minister Bayu Krisnamurthi.

Indonesian refiners bought about 2.06 million tons of the sweetener this year, below the 2.4 million-ton quota set by the government, Krisnamurthi said.

Indonesia’s sugar industry is regulated by the government, which sets import quotas. Households buy sugar made from cane grown by local farmers, while industrial users import refined sugar directly, or buy from domestic processors, which import raw sugar.

The country’s white sugar output next year may rise to 2.7 million tons from 2.23 million tons this year, Agus Hasanuddin Rachman, director of seasonal crops at the Agriculture Ministry, said Dec. 23.

source: bloomberg