High market price of Indonesia's liquid sugar as opposed to the government-arranged threshold

The current average price of liquid white sugar in the Indonesian market is still at a high price level of IDR 15.800/Kg, which is considerably higher than the national threshold at IDR 12.500/Kg. The high average price of this commodity has been mostly attributed to the high import cost of crystal sugar which is the basic ingredient for liquid sugar. Hence, this has disabled the national manufacturers to meet the price point that was set by the central government. Moreover, the price is expected to experience an upward trajectory in the coming month, as the demand for liquid sugar is projected to go up during the national holidays. The government and national industry are faced with the challenge of how to improve the national production of sugarcane, as it is deemed to be the best way to keep the price of liquid sugar at its threshold point.