Government Distributes Cheap Rice, Targets Price Drop Within Two Weeks
Main Takeaways
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JAKARTA, Investortrust.id – The Indonesian government has begun distributing 1.3 million tons of subsidized rice across the country in an effort to stabilize prices, with Minister of Agriculture Andi Amran Sulaiman expressing confidence that the intervention will lower market prices within one to two weeks.
“We’ve prepared 1.3 million tons of rice. I’m confident prices will start coming down in one to two weeks,” said Minister Amran in a statement on Sunday, July 20.
The rice distribution is part of the government’s Stabilisasi Pasokan dan Harga Pangan (SPHP) program, or Food Supply and Price Stabilization, aimed at easing pressure on consumers amid rising rice prices and quality concerns.
Amran, who visited the distribution effort in Majene, West Sulawesi, emphasized that the government has intensified its crackdown on irregularities in the rice market, including cases of rice adulteration involving false labeling of quality and inflated prices.
“We’ve received direct letters from producers stating they’ve lowered the price of premium rice packages by Rp1,000. We urge all rice businesses across Indonesia to respect the retail price ceiling and ensure that premium rice meets premium standards, and medium rice meets medium standards. We’re starting a new chapter,” he said.
The National Police Involvement
The ministry is also coordinating with law enforcement to ensure compliance. Amran stressed that rice producers must operate fairly and avoid actions that harm the public.
“Last night I spoke with the National Police Chief. Out of 212 rice brands under review, 25 have been investigated, and we’re planning to investigate 40 to 50 more in rapid succession. I call on all rice entrepreneurs to maintain market stability. You can profit, but this market must not be manipulated,” Amran asserted.
He also reiterated that the government will take firm action against those violating food safety and pricing regulations, citing previous crackdowns on counterfeit fertilizers and cooking oil as examples of the administration’s resolve.
“Any company that refuses to follow the rules will be prosecuted. This is President Prabowo’s directive. We must protect calm in the market and safeguard our national food supply while other countries are struggling with shortages,” said Amran.