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National Salt Condition Period 2011-2016
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The Indonesian government has finally set a maximum import quota of 226,000 tons of consumable salt for 2017. The import will be handled by PT Garam, a state-owned enterprise in the salt production sector. This imported salt is planned to be sold at a price lower than the domestic market price. Currently, the average price of salt reaches Rp 1.4-1.5 million per ton. This price is significantly higher than the average price under normal conditions, which is Rp 400,000 per ton.
Since 2011, high national salt demand has not been met by domestic production. In fact, in 2016, national salt production fell to its lowest level at 200,000 tons. This was due to high rainfall intensity in almost all domestic salt production areas. This figure is far below the production target of 3.1 million tons. Meanwhile, domestic salt needs reach 3.4 million tons. This led to a surge in salt imports to 3 million tons.
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