Monday, 14 January 2019

Using local agricultural products now mandatory for Bali hotels, restaurants


Bali / Sun, January 13, 2019 / 03:03 pm

Colorful fish and vegetables sold at Bali's Ubud market. (Shutterstock/File)
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 Dec. 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 percent 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 percent of the volume needed for meat processing.

The regulation also stipulates that at least 60 percent of agricultural and livestock products offered by supermarkets must come from local farmers. Supermarkets that offer fishery products must have at least 30 percent 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 organizations.

Read also: Why we need to eat seafood and take a nap in Bali

The new regulation also states that the price of local agricultural products bought from farmers must be at least 20 percent 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 emphasized 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 percent 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 installment 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. (kes)

Welcome To 2019: Declining Stocks, A Falling Dollar And Rising Gold / Silver Prices

Jan. 8, 2019 5:10 AM ET

Stock prices have become synonymous with economic growth and prosperity.

In truth, the stock market is nothing more than a reflection of the inflation/currency devaluation caused by the Fed’s money printing and lascivious enablement of rampant credit creation.

If the stock market was "big fat ugly bubble" in 2016, what is it now?

The stock market has become the United States’ “sacred cow.” For some reason, stock prices have become synonymous with economic growth and prosperity. In truth, the stock market is nothing more than a reflection of the inflation/currency devaluation caused by the Fed’s money printing and lascivious enablement of rampant credit creation. 99% of all households have not experienced the rising prosperity and wealth of the upper 1%. The Fed’s own wealth distribution statistics support this assertion.

It’s been amusing to watch Trump transition from tagging the previous Administration with creating a “big fat ugly stock bubble” - with the Dow at 17,000 - to threats of firing the Fed Chairman for “allowing” the stock market to decline, with the Dow falling from 26,000 to 23,000. If the stock market was big fat ugly bubble in 2016, what is it now?

If the Fed pulls back from its interest rate “nudges” and liquidity tightening policy, the dollar will sell off, gold will elevate in price rapidly and the Trump government will find it significantly more difficult to finance its massive deficit-spending fiscal policy. Welcome to 2019...

SBTV, produced by Silver Bullion in Singapore, invited me onto their podcast to discuss the Fed, the economy and, of course, gold and silver:

Sunday, 13 January 2019

China Posts Record Trade Totals for 2018

Photographer: Qilai Shen/Bloomberg

Chinese trade slumped in December, with the unexpected fall in both exports and imports showing that the effects of the trade war and economic slowdown are becoming clear.

Exports in dollar terms fell 4.4 percent from a year earlier, while imports dropped 7.6 percent. Both were the worst result since 2016, and were much worse than expected.
For the whole of 2018, the picture was rosier - exports rose by 9.9 percent in 2018 in dollar terms to $2.48 trillion, while imports surged 15.8 percent last year, leaving a trade surplus of $351.8 billion, the customs administration said Monday.
Key Insights
"Markets should focus on the exports as it’s directly linked to China’s industrial production, employment and GDP," said Lu Ting, Chief China economist at Nomura Holdings Inc. in Hong Kong. "A sharp contraction of exports could point to a much weaker IP growth and a rapidly rising unemployment rate, he said, before the monthly data was released but after the annual data was announced.
Negotiators from China and the U.S. expressed optimism after mid-level talks wrapped in Beijing last week, bringing some temporary relief to global investors. Chinese Vice Premier Liu He is scheduled to visit the U.S. for the next round of talks in late January, but a pathway to a lasting resolution remains unclear
"While we don’t expect China and the U.S. to reach a grand deal before March 2019, we see 50 percent chance of some progress and further delays in additional tariffs," UBS economists Ning Zhang and WangTao wrote in a recent note. "That said, due to persistent threat of higher tariffs and other related uncertainties, the positive impact of further tariff delays on overall economic growth will be limited."
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China’s policy makers have rolled out measures to support the domestic economy including more accommodative monetary and fiscal policies, as evidence mounts of the worsening slowdown
Stabilizing trade is one of the goals the leadership set for 2019, on top of supporting employment, investment and the finance sector