Corn price in Indonesia increases due to logistics cost

03.04.2017

Some corn producing regions in Indonesia are now in the harvesting period. However, the price of corn in March escalated from USD 0.30 per kg in February to USD 0.34 at feedmill level, according to the Feed Industry & Veterinary Division of the Indonesian Chamber of Commerce & Industry. Tony J Kristianto, Chairman of the National Corn Council said the price increase was caused by logistic costs since many feedmills are located far from the corn farms.

“Most corn is produced outside Java while the buyers are from Java,” he said. According to him, the government should consider developing corn farms close to feedmills as they are the main buyers of the harvest.


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