Two Weeks After the Distribution of SPHP Rice, Rice Prices Remain Unaffected

JAKARTA, KOMPAS – The price of rice has yet to decrease despite the implementation of the Food Supply and Price Stabilization program, or SPHP, which has been in effect for two weeks. The number of regions experiencing an increase in rice prices continues to rise.

The cause is that the volume of SPHP rice distributed is still very low compared to the monthly distribution target. Therefore, Perum Bulog is urged to increase and intensify the distribution of rice for the market operation.

This was raised during the Regional Inflation Control Coordination Meeting held by the Ministry of Home Affairs in a hybrid format in Jakarta, Tuesday (29/7/2025). The meeting, attended by representatives from regional governments and ministries/agencies in the food sector, was led by Secretary General of the Ministry of Home Affairs Tomsi Tohir Balaw.

Based on data from the Food Price Panel of the National Food Agency (Bapanas), as of July 29, 2025, the national average price of medium rice at the consumer level is Rp 14,333 per kilogram (kg). This rice price is 14.66 percent above the national average highest retail price (HET) for medium rice, which is Rp 12,500 per kg.

Furthermore, the Central Statistics Agency (BPS) indicated that as of the fourth week of July 2025, there were 219 districts/cities experiencing an increase in rice prices. This number of areas has increased from the second and third weeks, which recorded 178 and 205 areas, respectively.

From July 14, 2025 to July 29, 2025, the realization of SPHP rice distribution was only 4,496.62 tons.

To mitigate the rise in rice prices, the government through Bulog will distribute 1.3 million tons of SPHP rice gradually from July to December 2025. However, from July 14, 2025, to July 29, 2025, the actual distribution realized was only 4,496.62 tons.

Tomsi assessed that the SPHP rice distributed is still too little. The amount is significantly below the distribution target, which averages 200,000 tons per month. Meanwhile, Bulog has a very large stock of rice, amounting to 4.2 million tons.

"It is no wonder that rice prices have not decreased after two weeks of the SPHP rice market operation was launched. I urge Bulog to immediately coordinate with local governments to intensify large-scale market operations," said Tomsi.

Deputy III for Agriculture at the Presidential Staff Office (KSP) Edy Priyono also expressed a similar opinion. He even requested that Bulog increase the volume of SPHP rice distributed for market operations.

"Distribution needs to prioritize areas with high rice prices, so that it can curb price increases, especially for medium-grade rice," he said.

Edy also stated that the Presidential Staff Office (KSP) fully understands that the increase in rice prices above the Highest Retail Price (HET) is triggered by the high price of unhusked rice at the farmer level. Nevertheless, this increase in rice prices still needs to be mitigated to avoid burdening consumers.

In response to this, the Head of the Operational Procurement and Public Service Division of Bulog, Rini Andrida, acknowledged that the SPHP rice distributed in the last two weeks amounted to only 4,496.62 tons, or 0.34 percent of the distribution target of 1.3 million tons of rice for July-December 2025. The rice has been distributed in almost all regions of Indonesia, except for Papua.

The SPHP rice is distributed through various channels, such as traditional markets, affordable food movements organized by local governments, and food kiosks partnered with Bulog. Specifically for the red and white village/urban cooperatives, Bulog has not yet distributed.

According to Rini, the distribution of SPHP rice is still not optimal due to the ongoing adjustment to the new distribution pattern. In this distribution process, a phased verification is required to achieve good governance in accordance with the demands of the Audit Board.

"One of them is that SPHP rice distribution shops must be verified by the relevant agencies," he said.

Rini assured that after the adjustment process of the new distribution pattern is completed, the distribution of SPHP rice will certainly be more massive. Moreover, the government rice reserves managed by Bulog are currently very substantial, amounting to 4.2 million tons.

The government also decided that the highest retail price for rice would be adjusted to a single price. There would no longer be premium and medium rice classifications.

During the meeting, a new government policy regarding rice was also revealed, which was decided in a coordination meeting at the Food Coordinating Ministry on July 25, 2025. This policy includes guarantees for rice availability, as well as classification and adjustment of the rice HET.

The Deputy for Food Availability and Stabilization of Bapanas, I Gusti Ketut Astawa, explained that in handling the case of mixed rice, the Food Task Force of the Indonesian National Police emphasizes the principle of ultimum remidium (criminal law should be a last resort in law enforcement). Based on this principle, rice producers are urged not to withdraw rice from the market.

However, they are requested to adjust the prices according to the specifications of the rice and to improve the quality of rice production. In addition, the stock that is currently available in warehouses and retail sales locations and markets must continue to be distributed and sold to consumers in accordance with the applicable regulations and rules.

"This policy aims to anticipate the potential shortage of rice supply in traditional and modern retail markets. Consumers will also be able to obtain rice at more affordable prices after rice producers lower the prices according to their specifications," he said.

In addition, Ketut continued, the government also decided that the highest retail price (HET) for rice will be adjusted to a single price. There will no longer be classifications for premium and medium rice. There will only be regular/general rice and special rice.

"Therefore, Bapanas will coordinate with relevant stakeholders to formulate policies for adjusting the HET of rice and the quality classes of rice," he said.