TEMPO.CO, Jakarta - Coordinating Minister for Food Security Zulkifli Hasan, also known as Zulhas, responded to the increasing price of garlic due to the absence of import realization. He stated that the Ministry of Trade (Kemendag) has issued the approval for the import of 300,000 tons of horticultural products.
"The approval for 300,000 tons has been granted, which is a considerable amount. It should have been 500,000 tons per year," said Zulhas after a limited coordination meeting at the Coordinating Ministry for Food Security office, Jakarta, on Wednesday, February 26, 2025.
Zulhas mentioned that the import permit for that amount was issued within just two months. However, when asked whether the import permit had been realized, he did not respond.
Three importers interviewed by Tempo stated that most of the issued import permits were aimed at new companies. From the information obtained by Tempo, a total of 26 out of 87 businesses have obtained the import permit.
On the other hand, longstanding importers were not allocated any import quotas. These importers are currently unable to even apply for a horticultural product import recommendation (RIPH) from the Ministry of Agriculture (Kementan). Despite having been involved in the garlic import business for years and having fulfilled the obligations required by Kementan.
When asked about the allegations regarding new companies receiving the import permit, Minister of Trade Budi Santoso claimed that he did not remember to whom the import permits were issued. "I don't remember, but, but the import permits have been issued," he said to Tempo on Wednesday, February 26, 2025.
In Jakarta, according to data from Jakarta Food Info, the price of horticultural products has now reached Rp46,747 per kilogram, surpassing the highest retail price (HET) of Rp38,000 per kilogram.
This year, Kemendag reported that import approval for garlic amounted to 226,101 tons. However, only 21 thousand tons of this import permit is expected to be realized in March.
The delay in realizing garlic imports is suspected to have caused an increase in the price of horticultural products. Based on the National Food Prices Panel (Bapanas) today, the price of garlic bulbs at the consumer level has reached Rp42,393 per kilogram, exceeding the highest retail price of Rp38,000 per kilogram. In Eastern Indonesia, with a highest retail price (HET) of Rp40,000 per kilogram, the price is Rp53,161 per kilogram.
Tommy Andana, Expert Staff in Business Climate and Market Security at the Ministry of Trade (Kemendag), admitted to having coordinated with relevant directorates in the ministry to urge businesses to expedite the import realization.
"Kemendag has urged the import permit holders to expedite the realization, and this has already been realized for sugar, and there has also been realization for garlic," said Tommy in a Coordination Meeting for Inflation Control at the Ministry of Home Affairs (Kemendag) held online on Monday, February 24, 2025.
Tommy hoped that businesses would promptly realize the imports and distribute them in the market. From the import permit holders, he reported that 21,000 tons of imported garlic will enter in March. Subsequently, there will be an additional 14,600 tons in April 2025.
In order to maintain the supply and price of food commodities, he hoped to collaborate with local governments. If there is a scarcity or high price of imported commodities in a region, he would coordinate with the relevant directorates to urge the permit holders to promptly realize and distribute the imports.
In his presentation, Tommy reported that his ministry had monitored the availability of garlic at the Kramat Jati Wholesale Market, Jakarta, last week. There was a 40 percent decrease in demand compared to two years ago. "It is suspected that there is a decrease in the purchasing power of the community," wrote Tommy in his presentation.
Regarding the importers' delay in realization, Tommy reported that they are still in a 'wait and see' position due to the policy of allocating 20 percent of the garlic distribution for operation during the fasting month and Eid al-Fitr.
Tommy also reported that the price of garlic at the importer level in Indonesia is currently in the range of Rp29,000 to Rp32,000 per kilogram for the honan type. For the kating type, the price is Rp33,500 to Rp35,000 per kilogram.
In response to this report, Secretary General of the Ministry of Home Affairs (Kemendagri) Tomsi Tohir stated that based on experience, imported garlic does enter Indonesia. However, he warned that the time between entry, unloading, and distribution could take more than a month. "As a result, by the time of Ramadan and Eid al-Fitr, the prices have dropped," said Tomsi.
According to Tomsi, this pattern repeats almost every year. He remembered that the price of garlic once soared to Rp120,000 per kilogram. Therefore, he asked Kemendag to communicate regarding unloading time to be fast and in line with the demand. "Almost every year I have sat here, it is the same, but the prices drop after Eid," said Tomsi.
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