New Oil and Gas Regulations Issued, Strengthening the Role of State-Owned Enterprises and Sanctions for Violations

Local governments are granted the authority to impose administrative sanctions on Minyakita retailers who violate the new regulations governing the management of cooking oil for the public.

15 Des 2025 13:03 WIB · English

By Hendriyo Widi

This article has been translated using AI. See original.

JAKARTA, KOMPAS – The Ministry of Trade has issued new regulations regarding packaged palm oil and the management of community cooking oil, particularly Minyakita. The regulation is in the form of Minister of Trade Regulation Number 43 of 2025. In this regulation, the roles of Perum Bulog and ID Food are strengthened. Local governments are also granted the authority to impose sanctions.

Minyakita is a simple packaged cooking oil from the People's Cooking Oil program (MGR). Its supply comes from exporters of various palm oil derivative products that are bound by the domestic market obligation (DMO) policy for Minyakita.

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This regulation will come into effect 14 days after its promulgation, namely on December 26, 2025.

The governance of MGR was initially regulated by the Minister of Trade Regulation (Permendag) Number 18 of 2024. Subsequently, this regulation was replaced by Permendag No 43/2025 concerning Packaged Palm Oil and the Governance of People's Cooking Oil.

The new Minister of Trade Regulation was signed by Minister Budi Santoso on September 9, 2025, and was promulgated on December 12, 2025. This regulation will take effect 14 days after its promulgation, specifically on December 26, 2025.

A screenshot of the Secretary of the Directorate General of Domestic Trade at the Ministry of Trade, Bambang Wisnubroto, explaining the new distribution flow of Minyakita. The presentation took place during the Regional Inflation Control Coordination Meeting held by the Ministry of Home Affairs in a hybrid format in Jakarta, Monday (15/12/2025).

The Secretary of the Directorate General of Domestic Trade at the Ministry of Trade, Bambang Wisnubroto, on Monday (15/12/2025), stated that the new ministerial regulation requires exporters of certain palm oil derivative products to supply Minyakita to Bulog and ID Food. The amount is set at 35 percent of the realization of the DMO Minyakita for each exporter.

"Thus, Bulog and ID Food will have a sufficient stock of Minyakita," he stated during the Regional Inflation Control Coordination Meeting held by the Ministry of Home Affairs in a hybrid format in Jakarta.

The Ministry of Trade recorded that, so far, the supply of Minyakita from the DMO results to Bulog and ID Food is around 8 percent or 14,262 tons. Through this new regulation, the stock of Minyakita for both state-owned enterprises can reach approximately 63,000 tons or at least 35 percent of the average DMO Minyakita in 2025, which is 178,000 tons.

According to Bambang, the main focus of the distribution of Minyakita by Bulog and ID Food is traditional markets. However, these two state-owned companies can also distribute Minyakita to their partners and grocery stores.

"However, Minyakita must be distributed directly to retailers, thus cutting the distribution chain of Minyakita. In this way, the price of Minyakita at the consumer level can align with the HET (highest retail price), which is Rp 15,700 per liter," he said.

Workers from the Minyakita producer were caught tampering with bottles of oil that served as evidence in the Cipondoh area, Tangerang City, Banten, Thursday (20/3/2025). The production facility of the cooking oil producer was sealed by the police and the government because the company reduced the quantity of Minyakita, which should be 1 liter, to less than 1 liter or around 800 milliliters.

Sanction mechanism

Bambang also stated that the new ministerial regulation also governs the strengthening of distribution supervision and the imposition of sanctions. The supervision of distribution and the imposition of sanctions will be coordinated by the Directorate General of Consumer Protection and Trade Order (PKTN) of the Ministry of Trade.

Regulation and the imposition of sanctions are necessary to minimize violations and provide a deterrent effect for business actors who violate the ministerial regulation. These sanctions include administrative penalties, such as the revocation of the use of the Minyakita brand, the suspension of export approval issuance, and the freezing of accounts in the Bulk Cooking Oil Information System (Simirah).

"In fact, the Minister of Trade Regulation also gives regional governments the authority to impose certain administrative sanctions on retailers in their areas," he said.

Regulation of the Minister of Trade No. 43/2025 also contains provisions for changes in domestic selling prices (DPO) and the Highest Retail Price (HET) of Minyakita. Both types of prices can be adjusted based on coordination meetings of the Coordinating Ministry for Food Affairs, and then established by the Minister of Trade.

The determination of the DPO and HET prices must take into account several factors, namely raw material costs, production costs, packaging costs, distribution costs, margins, and other related expenses. For the time being, there has been no change in the DPO and HET prices of Minyakita.

The DPO price of Minyakita from the producer to D1 is set at Rp 13,500 per liter. The selling price of Minyakita from D1 to D2 and from D2 to retailers is priced at Rp 14,000 per liter and Rp 14,500 per liter, respectively. The HET of Minyakita at the consumer level is set at Rp 15,700 per liter.

Minyakita sales banners must be installed in every traditional market and simple packaged oil vendor under the People's Cooking Oil program.

The Secretary General of the Ministry of Home Affairs, Tomsi Tohir Balaw, welcomed the issuance of Permendag No 43/2025. Therefore, Bulog and ID Food are requested to promptly respond to the new regulation by increasing the stock of Minyakita to meet the needs for Christmas and New Year 2025/2026 as well as Ramadan and Eid 2026.

Each regional government was also asked to increase oversight of Minyakita. This oversight would not only cover prices but also Minyakita stocks.

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Check the stock of Minyakita at every private distributor in the region. Visit their storage warehouses. Are they releasing the stock to the market or are they holding it back?

"Check the stock of Minyakita at every private distributor in the region. Visit their storage warehouses. Are they releasing the stock to the market or are they holding it back," said Tomsi.

As of the second week of December 2025, the national average price of Minyakita at the consumer level remains above the Highest Retail Price (HET). The number of regions experiencing an increase in the price of cooking oil, including Minyakita, has also risen. 80-117

Soldiers from the 25th Siwah Brigade and the 111th Infantry Battalion Karma Bhakti delivered aid transported by helicopter at Paya Bedi Field, Rantau, Kuala Simpang, Aceh Tamiang, Aceh, Thursday (4/12/2025). More than a week after the ecological disaster in Sumatra, assistance from various parties has begun to arrive.

The Deputy for Distribution Statistics and Services of the Central Statistics Agency (BPS), Pudji Ismartini, stated that the national average price of Minyakita at the consumer level in the second week of December 2025 reached Rp 17,387 per liter. This price increased by 0.62 percent compared to November 2025.

The price of Minyakita is still above the government's stipulated HET for Minyakita at the consumer level, which is Rp 15,700 per liter. In addition, the number of regencies/cities experiencing an increase in the price of Minyakita has risen from 83 regions to 117 regions.

"Several regions that experienced the highest increase in Minyakita prices are Banda Aceh with a price change index (IPH) of 19.39 percent, Aceh Singkil 10.39 percent, Kediri 10.18 percent, East Lombok (9.98 percent), and Aceh Besar 9.24 percent," he said.

The Head of the Institutional Relations Division of Bulog, Epi Sulandari, stated that Bulog has provided cooking oil stocks in the regions affected by disasters in Aceh, North Sumatra, and West Sumatra. In Aceh, Bulog has supplied a total of 859,628 liters of cooking oil.

In North Sumatra and West Sumatra, the reserves of Buog cooking oil are 403,456 liters and 87,340 liters, respectively. The majority of these cooking oil reserves will be used for the Food Assistance program for low-income families.

"Currently, several Bulog warehouses affected by the disaster can now be used to stock and distribute food reserves, including rice and cooking oil," he said.


Credits

Writer:

Hendriyo Widi
 | 

Editor:

FX Laksana Agung Saputra