JAKARTA | Executive Vice President of the International Business Division of PT Bank Rakyat Indonesia (Persero) Tbk or BRI, Dany Cahya Rukmana, hopes that the presence of a credit guarantee company can encourage the expansion of BRI's warehouse receipt credit.
BRI's warehouse receipt credit is a facility provided against warehouse receipt collateral. The main target of this credit is farmers or cooperatives who want to expand their businesses using agricultural goods as collateral, such as paddy, rice, corn, coffee, cocoa, pepper, rubber, chocolate, and others.
"This is the process where, when farmers harvest, they have two choices: first, sell everything to reduce their loans from BRI, or store it in a warehouse, register it, and use it as collateral at BRI," he said.
Currently, BRI has 30 branches serving warehouse receipt credit. Specifically for the sugar commodity under the warehouse receipt scheme, the credit has reached IDR 278 billion.
He acknowledged that there are still several challenges in implementing the warehouse receipt scheme, mainly the costs that burden debtors. "For example, administrative fees for storage in warehouses, insurance premiums, and warehouse receipt interest. If these costs can be covered by price increases in the market, it could serve as an incentive for farmers to store their goods in warehouses. The calculations must be clear," he said.
Other challenges include the need for commodity price information, commodity standardization, market certainty, the availability of special warehouses for perishable commodities, and the relatively low optimal production capacity per producer. "Hopefully, with Jamkrindo, it will be easier to access warehouse receipt credit," he added.
Jamkrindo President Director Diding S. Anwar stated that for Jamkrindo, the warehouse receipt system guarantee is a business opportunity. "Through LPP-SRG (Warehouse Receipt System Guarantee Implementing Institution), it is hoped that commodity prices can be stabilized in the future," he said.
As is known, Perum Jamkrindo is currently the state-owned enterprise entrusted as the warehouse receipt system guarantee institution (LPP-SRG) under Government Regulation No. 1 of 2016 to maintain commodity price stability. (Source: Infobank.com)