JAKARTA, [IFN] -- The price of gas for industry to be favoring domestic industry, said Industry Minister Saleh Husin while visiting fertilizer producer PT PKG in Gresik, East Java.
"In addition to the producer gas as stakeholders, we also continue to fight for policies that gas prices more friendly for users to other ministries," Saleh said in a written statement.
To that end, he continued, the Ministry of Industry urged stakeholders gas energy to notice the strategic position of this petrochemical industry.
According to him, the needs of the petrochemical industry to the gas supply has gained the attention of government, moreover, are petrochemical fertilizer that sustain agricultural production.
The price of gas in Indonesia, which is more expensive than abroad, he added, have often questioned the industry and potential investors.
According to him, these conditions do not favor the development of domestic industry. Ends, affecting investment attractiveness and weaken competitiveness.
"The choice here, if we maintain the high gas prices we did get in revenues in the future," he described.
However, revenue was only enjoyed a little party, especially the gas producers.
"Well, if we want to lower gas prices, the revenue is falling behind, which means after the industrial users of gas began production. But, it should be noted, the more the beneficiaries of cheap gas prices," said Minister of Industry.
The subsequent impacts lead to the increasing number of jobs, increasing purchasing power, strong competitiveness and earn foreign country of export sales.
"So I choose the latter. The price of gas is more affordable, and more parties enjoy industrial development. Including the production of fertilizer needed sustain the agricultural sector for the sake of food security," he said.
Fertilizer is a priority for the agricultural industry which accounts for 20 percent of the success of the increase in agricultural production.
Fertilizers also contributes 15-30 per cent in the cost structure of rice farming. So far, the national urea production capacity is 8 million tons / year, while the needs of 9 million tons / year.
"In addition to the producer gas as stakeholders, we also continue to fight for policies that gas prices more friendly for users to other ministries," Saleh said in a written statement.
To that end, he continued, the Ministry of Industry urged stakeholders gas energy to notice the strategic position of this petrochemical industry.
According to him, the needs of the petrochemical industry to the gas supply has gained the attention of government, moreover, are petrochemical fertilizer that sustain agricultural production.
The price of gas in Indonesia, which is more expensive than abroad, he added, have often questioned the industry and potential investors.
According to him, these conditions do not favor the development of domestic industry. Ends, affecting investment attractiveness and weaken competitiveness.
"The choice here, if we maintain the high gas prices we did get in revenues in the future," he described.
However, revenue was only enjoyed a little party, especially the gas producers.
"Well, if we want to lower gas prices, the revenue is falling behind, which means after the industrial users of gas began production. But, it should be noted, the more the beneficiaries of cheap gas prices," said Minister of Industry.
The subsequent impacts lead to the increasing number of jobs, increasing purchasing power, strong competitiveness and earn foreign country of export sales.
"So I choose the latter. The price of gas is more affordable, and more parties enjoy industrial development. Including the production of fertilizer needed sustain the agricultural sector for the sake of food security," he said.
Fertilizer is a priority for the agricultural industry which accounts for 20 percent of the success of the increase in agricultural production.
Fertilizers also contributes 15-30 per cent in the cost structure of rice farming. So far, the national urea production capacity is 8 million tons / year, while the needs of 9 million tons / year.
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