Bulog Launches Three New Breakthroughs to Curb Rice Price Hikes

JAKARTA, KOMPAS – The distribution of Stabilization of Food Supply and Prices or SPHP rice by Perum Bulog is considered still not optimal, resulting in a slow decrease in rice prices. Therefore, Bulog is striving to expand the distribution channels for SPHP rice through three new breakthroughs.

Bulog mandates the distribution of 5 tons of rice per day from each Bulog warehouse and will distribute SPHP rice through modern retail networks. In addition, Bulog will designate traditional market traders as permanent distributors of SPHP rice.

This was raised during the Regional Inflation Control Coordination Meeting held by the Ministry of Home Affairs in a hybrid format in Jakarta, Monday (11/8/2025). The meeting, attended by representatives from relevant ministries/agencies related to food and local governments, was led by Minister of Home Affairs Muhammad Tito Karnavian.

Tito stated that the number of regions experiencing an increase in rice prices has decreased from 233 districts/cities at the end of July 2025 to 191 districts/cities on August 1, 2025. This indicates that the efforts of the National Food Agency (Bapanas) and Bulog to lower rice prices are beginning to succeed.

However, these efforts need to be accelerated and carried out more massively so that the decrease in rice prices is more evenly distributed throughout Indonesia. This is considering that the realization of the distribution of SPHP rice is still low, with only 279 regencies/cities out of 514 regencies/cities implementing the affordable food movement (GPM).

"The regional government (pemda) must assist Bulog in accelerating and intensifying the distribution of SPHP rice. This can be achieved not only through GPM but also through red and white village/sub-district cooperatives that are already prepared, traditional markets, and outlets of local businesses fostered by the pemda," he stated.

The realization of SPHP rice distribution is still low and only 279 districts/cities out of 514 districts/cities have implemented the cheap food movement.

The Acting Deputy II of the Presidential Staff Office for Economic and Food Affairs, Edy Priyono, also expressed a similar sentiment. Although prices have begun to decline in several regions, the price of medium rice remains above the highest retail price (HET) set by the government based on zoning.

As of August 8, 2025, the disparity in medium rice prices nationwide remains high, reaching 20.26 percent. This means that the price difference between one region and another is still very significant.

"There are still areas where the price of medium rice ranges from Rp 30,000 to Rp 50,000 per kg. These areas are primarily in zone 3, namely Papua and Maluku," said Edy.

To that end, Edy requested that Bapanas and Bulog expedite and intensify the distribution of SPHP rice. One of the targets is to lower rice prices in areas with the highest rice prices, particularly in zone 3.

In the coordination meeting, the Director of Supply Chain and Public Services of Bulog, Mokhamad Suyamto, acknowledged that the distribution of SPHP rice is still not optimal. From the beginning of July 2025 until August 11, 2025, the realization has only reached 16,742.55 tons or 1.27 percent of the 1.3 million tons of SPHP rice that is to be distributed throughout July-December 2025.

The SPHP rice has been distributed through Bulog partner outlets and Bapanas; several traditional markets; as well as GPM organized by the government, police, and military in each region. In addition, the rice has begun to be distributed to several red and white village/urban cooperatives and modern retail outlets.

"To expedite and intensify its distribution, Bulog branches in each region have been instructed to release 5 tons of rice per day from 504 Bulog warehouses. They will circulate to distribute the rice to several points that have not yet been served by the existing distribution channels," he said.

According to Suyamto, Bulog is also expanding the distribution channels for SPHP rice in 29 traditional markets in DKI Jakarta. The Bulog team in the DKI Jakarta region has been assisting several traders in each market for a month to establish them as permanent retailers of SPHP rice.

In addition, Bulog has also collaborated with modern retailers in the distribution of SPHP rice since early August 2025. Throughout last week, only 12 modern retail outlets began selling Bulog's SPHP rice.

"Next, the distribution of rice through modern retail will be intensified. Currently, the demand for SPHP rice from modern retail that has been received by Perum Bulog amounts to 100,592 tons," he said.

As of August 11, 2025, Bulog's rice stock amounts to 3.95 million tons. This stock consists of 3.93 million tons of government rice reserves and 12,545 tons of commercial rice.

In addition to SPHP rice, Bulog has also distributed rice assistance to 18.3 million underprivileged families. From a distribution target of 365,000 tons, the realization has reached 351,093 tons or approximately 89 percent.