Government to Hold Massive Market Operations Starting Next Week

JAKARTA, KOMPAS – The government will conduct large-scale market operations throughout Indonesia starting next week to anticipate the surge in food prices during Ramadan-Eid 2025. The targeted food commodities include rice, cooking oil, garlic, meat, and sugar.

Minister of Agriculture Andi Amran Sulaiman stated this in accordance with the Limited Coordination Meeting on Stabilizing Food Stock and Prices during Ramadan-Eid 2025 at the Ministry of Agriculture, Jakarta, Wednesday (19/2/2025). The meeting was attended by representatives of ministries/agencies and business actors in the food sector.

According to Amran, the market operations for several staple foods are not only held in Jakarta but also massively across Indonesia. The government's food stock is still strong and secure to conduct these market operations.

"The government's current rice stock, for example, has reached 2 million tons. We have also prepared a stock of Minyakita amounting to 70,000 tons," he said.

On February 12, 2025, the National Food Agency (Bapanas) has facilitated cooperation between Bulog and ID Food with the Indonesian Vegetable Oil Industry Association (GIMNI). Bulog is able to stock 50,000 tons of Minyakita and 20,000 tons of ID Food no later than February 19, 2025 (Kompas, 2/12/2025).

Amran explained that the market operation will be coordinated by the Head of Bapanas and carried out by Perum Bulog, ID Food, and PT Pos Indonesia. PT Pos is involved because it has 4,800 offices reaching remote villages, thus being able to distribute food supplies throughout Indonesia.

The President has requested business actors to sell staple foods according to the highest retail price (HET) and the reference selling price (HAP) at the consumer level as determined by the government.

Amran also conveyed the orders of President Prabowo Subianto. The President requested business actors to sell staple foods according to the highest retail price (HET) and the reference selling price (HAP) at the consumer level set by the government.

"Business actors who violate the price provisions will be prosecuted by the Indonesian Police Food Task Force. The sanction is in the form of closing the business premises," he said.

Meanwhile, President Director of PT Pos Indonesia Faizal Rochmad Djoemadi said, Pos Indonesia will soon map the location of market operations and organize the distribution process so that market operations run conducively. In the initial stage, namely next week, market operations through Pos Indonesia will be held in major cities in Java.

"After that, the market operation will be expanded to other cities in Java and outside Java. We will also request that staple foods distributed in the market operation not be resold," he said.

Based on Bapanas Food Price Panel data, as of February 19, 2025, the national average price of medium rice at the consumer level was IDR 13,631 per kilogram (kg) or 9.05 percent above the HET for medium rice. The national average price of garlic at the consumer level was IDR 42,837 per kg or 12.73 percent above the HAP.

The average price of sugar consumption at the consumer level is IDR 18,363 per kg or 4.93 percent above HAP. Meanwhile, the average price of fresh beef is IDR 134,749 per kg or 3.52 percent above HAP.

Referring to data from the Ministry of Trade's (Kemendag) Market and Basic Needs Monitoring System, as of February 19, 2025, the national average price of Minyakita was IDR 17,200 per liter or 8.72 percent above the HET. The price of simple packaged cooking oil under the People's Cooking Oil program has been creeping up since June 2024. From June 2024 to February 19, 2025, the price of Minyakita has increased by 6.17 percent.

Meanwhile, based on the National Food Balance Projection for January-December 2025 updated by Bapanas as of January 2025, the stock of the majority of national food is relatively safe. Only the stock of beef and buffalo, as well as garlic, is limited.

Stocks of beef and buffalo meat in early 2025 were 65,652 tons, while monthly needs were 63,914 tons. Meanwhile, stocks of garlic in early 2025 were 53,484 tons, while monthly needs were 54,478 tons.

To increase the stock of the three commodities, the Ministry of Trade has issued an import permit for 117,000 tons of beef and buffalo. The Ministry of Trade has also issued an import permit for 117,612 tons of garlic.

Throughout January 2025, the Central Statistics Agency noted that Indonesia had imported 308,780 tons of industrial raw sugar and 18,220 tons of beef. The Ministry of Trade stated that as of February 17, 2025, the realization of garlic imports was still zero percent (Kompas, 2/17/2025).