Indonesia sees higher rice

Indonesia's statistics bureau said on Monday that rice, corn and soyabean output would increase this year, at a time of rising food prices and concerns over whether the country will need to secure expensive imports. The statistics bureau said it expects rice output to increase by 1.22 million tonnes to 58.27 million tonnes of unmilled rice in 2008, thanks to an increase in harvested areas.
The outlook is the first preliminary forecast for this year. Indonesia's statistics bureau makes three projections on a quarterly basis every year. The figure is below the government's target of 59.9 million tonnes of unmilled rice for this year. "Rice output is expected to increase because of rising harvested areas and improving yield in rice fields in Java and other regions," Pietojo, the bureau's deputy for production statistics, told reporters.
The government has said it may not need to import rice this year as production will be sufficient to meet domestic demand amid increasing global anxiety over limited rice supplies.
Southeast Asia's biggest economy has been struggling to increase rice production, the main staple for its population of 226 million people, because it lacks good quality seeds and sufficient fertiliser, and faces intense competition for land.
The statistic bureau also said corn production is expected to increase 4.4 percent to 13.88 million tonnes this year, from 13.29 million tonnes in 2007 due to an increase in harvested areas. Soyabean output is expected to jump 18 percent to 698,940 tonnes this year, from 592,380 tonnes in 2007.