New law boosts Bali lo­cal prod­ucts


The Nation - - ASEANPLUS -

IN A BID to sup­port lo­cal farm­ers, the Bali provin­cial ad­min­is­tra­tion has is­sued a reg­u­la­tion that re­quires the use of lo­cal agri­cul­tural prod­ucts in all of the is­land’s ho­tels, restau­rants and ca­ter­ing ser­vices. The reg­u­la­tion also ob­li­gates su­per­mar­kets to pro­vide more lo­cal prod­ucts.

Aside from agri­cul­tural prod­ucts, Bali Gu­ber­na­to­rial Reg­u­la­tion No. 99/2018, which was signed by Bali Gover­nor Wayan Koster and en­acted on De­cem­ber 28, 2018, stip­u­lates for the com­pul­sory use of lo­cal fish­ery and in­dus­try prod­ucts.

“This is a New Year present from me to farm­ers, fish­er­men and lo­cal in­dus­tries in Bali, to make them more happy and pros­per­ous,” Wayan said dur­ing an event dis­sem­i­nat­ing in­for­ma­tion on the new reg­u­la­tion at Pen­gotan vil­lage in Ban­gli re­gency, Bali, on Mon­day.

The reg­u­la­tion stip­u­lates that at least 30 per cent of agri­cul­tural, live­stock and fish­ery prod­ucts used by ho­tels, restau­rants and ca­ter­ing ser­vices must com­prise lo­cal prod­ucts. Ho­tels and restau­rants must also use lo­cal prod­ucts for at least 10 per cent of the vol­ume needed for meat pro­cess­ing.

The reg­u­la­tion also stip­u­lates that at least 60 per cent of agri­cul­tural and live­stock prod­ucts of­fered by su­per­mar­kets must come from lo­cal farm­ers. Su­per­mar­kets that of­fer fish­ery prod­ucts must have at least 30 per cent of their prod­ucts sourced from lo­cal fish­er­men.

The reg­u­la­tion also obliges ho­tels, restau­rants, ca­ter­ing ser­vices and su­per­mar­kets to work in part­ner­ship with farm­ers, mi­cro, small and medium en­ter­prises, co­op­er­a­tives and other re­lated or­gan­i­sa­tions.

The new reg­u­la­tion also states that the price of lo­cal agri­cul­tural prod­ucts bought from farm­ers must be at least 20 per cent higher than the farm­ers’ pro­duc­tion cost.

To sup­port lo­cal farm­ers, the ad­min­is­tra­tion also obliges cash trans­ac­tions only. For non­cash trans­ac­tions, the prod­ucts must be bought through a provin­cial ad­min­is­tra­tion-owned com­pany (Perusda), which will serve as an agent to con­nect farm­ers with ho­tels, restau­rants, ca­ter­ing ser­vices, as well as su­per­mar­kets. All pay­ments to Perusda should be com­pleted within a month.

Wayan em­pha­sised that the reg­u­la­tion was made to sup­port sus­tain­abil­ity in lo­cal prod­uct mar­ket­ing. “We should all par­tic­i­pate in tak­ing real ac­tion to im­ple­ment this reg­u­la­tion,” he added.

“To those who are do­ing their busi­ness in Bali, please take re­spon­si­bil­ity to de­velop Bali, not just de­velop [busi­ness] in Bali,” Wayan said.

Ida Ba­gus Purwa Side­men, the ex­ec­u­tive di­rec­tor of In­done­sian Ho­tels and Restau­rants As­so­ci­a­tion Bali chap­ter, warmly wel­comed the new reg­u­la­tion, say­ing that most ho­tels and restau­rants across Bali have al­ready used lo­cal agri­cul­tural prod­ucts.

“All ho­tels across Bali have for many years mostly used lo­cal agri­cul­tural prod­ucts. More than 90 per cent of our needs are ful­filled by lo­cal prod­ucts. We only im­port prod­ucts that are not avail­able here, such as kiwi fruit,” Purwa said.

He added that most ho­tels and restau­rants, how­ever, do not buy prod­ucts di­rectly from farm­ers and in­stead pro­cure them through lo­cal sup­pli­ers who could of­fer in­stal­ment plans for pay­ment.

“It’s not easy to buy prod­ucts di­rectly from farm­ers as they can’t pro­vide some prod­ucts at the same time. That’s why buy­ing from sup­pli­ers is much eas­ier,” he added.

Purwa as­sured that all ho­tels and restau­rants across Bali will obey the reg­u­la­tion.

“I’m op­ti­mistic that ho­tels and restau­rants would not face dif­fi­cul­ties in obey­ing the reg­u­la­tion. We hope the gov­ern­ment can im­ple­ment it [well] to boost the sus­tain­abil­ity of lo­cal agri­cul­tural prod­ucts,” he said.

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