Buying and Selling Practices Between Importers Make Garlic Prices High

JAKARTA, KOMPAS – Until the approach of Eid al-Fitr 2025, the price of garlic remains high and tends to increase. One of the causes is the trading practices of garlic between importers who have obtained recommendations and import approvals and those who have not yet acquired such documents.

Based on data from the Market Monitoring and Basic Needs System of the Ministry of Trade (Kemendag), as of March 24, 2025, the national average price of Honan garlic was Rp 46,000 per kilogram (kg), an increase of 3.84 percent on a monthly basis. This price is far above the government's consumer-level reference sales price (HAP) set at Rp 38,000 per kg.

The price of garlic in several areas has reached above IDR 50,000 per kg.

In fact, the price of garlic in several regions has exceeded Rp 50,000 per kilogram. Some examples include Rp 60,000 per kilogram in Nabire and Rp 55,000 per kilogram in Manokwari.

Meanwhile, in Jakarta, the price per kilogram ranges from Rp 51,000 to Rp 54,333. In East Jakarta, the price is Rp 54,333 per kilogram. In Central Jakarta, the price is Rp 53,333 per kilogram. In North Jakarta and West Jakarta, the prices are Rp 51,667 per kilogram and Rp 51,000 per kilogram, respectively.

Garlic importer Jaya Sartika, Tuesday (25/3/2025), stated that, in fact, the price of garlic has been gradually increasing since 2024. The main factor is not the weakening of the rupiah exchange rate or the rise in garlic prices in China, but the large number of new garlic importers.

Of the 87 companies that received recommendations for importing horticultural products (RIPH) from the Ministry of Agriculture in 2025, the majority are new importers. They only began their operations in 2024 and early 2025.

"We, as long-time importers, have not yet received the RIPH and PI, forcing us to purchase garlic from importers who possess those documents," he stated when contacted from Jakarta.

Jaya admitted that currently, the price of imported garlic upon arrival at ports in Indonesia has been set at Rp 31,500 per kilogram. He, along with four other importers who do not hold RIPH and PI, purchased the garlic at Rp 32,500–Rp 33,000 per kilogram.

After deducting depreciation, transportation, and storage costs, the price of the onion is around Rp40,000-Rp42,000 per kg. That price is only in the warehouse of the importer who bought the garlic from another importer.

"At the distributor and trader level, the selling price will definitely be higher than IDR 42,000 per kg," he said.

Jaya also revealed that new garlic importers often have difficulty obtaining garlic directly from the main supplier in China. This makes them have to buy it from other parties under the main supplier.

It is not surprising that the onions they get are priced higher. In addition, there are also new importers who transact or rent PI to old importers. "I hope this problem can be solved," said Jaya.

Meanwhile, the Ministry of Trade admitted that the realization of garlic imports is still low. This is because importers are delaying imports for various reasons.

Expert Staff of the Minister of Trade for Business Climate and Market Security, Tommy Andana revealed, the Ministry of Trade has issued 39 PIs with a total allocation of garlic imports in 2025 of 226,101 tons. However, the realization is only 15.61 percent or 35,292 tons.

This is because many importers are still taking a wait and see approach. Some are considering the government's massive market operations, including garlic commodities.

"There are also those who complain about the weather and shipping constraints from China and the weakening of the rupiah against the US dollar," he said at the Regional Inflation Control Meeting held by the Ministry of Home Affairs in a hybrid manner in Jakarta on March 24, 2025.

Tommy asserted that the Ministry of Trade has summoned and reprimanded importers to immediately realize the import of garlic. After arriving in Indonesia, the commodity must be distributed immediately.