August 20, 2025 | 07:44 pm
TEMPO.CO, Jakarta - Indonesian Trade Minister Budi Santoso addressed the recent surge in rice prices at modern retail outlets, saying the problem stemmed from flaws in the distribution chain that pushed prices higher. He pledged tighter supervision to resolve the issue.
“As seen yesterday, stocks in modern retail fell, which shows that the distribution system needs improvement,” Budi said at the Grha Mandiri Building, Central Jakarta, on Wednesday, August 20, 2025.
Budi expressed optimism that prices would eventually ease as distribution under the Food Supply and Price Stabilization (SPHP) program is realized.
“Some prices have already started to decline, and we continue to monitor the trend. The SPHP program is running, though not yet at 100 percent,” he said.
Working with the National Food Agency, Budi stressed that the government is pushing for the full implementation of SPHP rice distribution to curb rising prices of this essential commodity.
Data from the National Food Agency’s price panel at 03:11 PM WIB today showed that medium rice prices in zones 1, 2, and 3 remain above the government’s highest retail price (HET).
In zone 1, the HET is Rp12,500 per kilogram, but the national average reached Rp13,873 per kg. In zone 2, the HET is Rp13,100 per kg while the average stood at Rp 14,553 per kg. In zone 3, the average price was Rp16,431 per kg, higher than the Rp13,500 per kg ceiling.
Earlier, House Commission IV member Daniel Johan questioned why rice prices remain high despite abundant stock in Perum Bulog’s warehouses. The Ombudsman also revealed findings of imported rice from last year that had started to spoil.
Daniel called this situation an irony that exposed weaknesses in Indonesia’s food governance. “It is very ironic that people struggle with expensive rice while stockpiles sit in warehouses and deteriorate in quality.
This wastes the budget and neglects the people’s right to affordable food,” he said in a written statement on Friday, August 15, 2025.
He urged stricter monitoring of food quality and emphasized that distribution must be carried out swiftly and efficiently. According to him, Bulog and the government need a responsive stock-release strategy, especially for food aid and market operations.
Daniel also underlined the importance of quality control to protect consumers.
“Rice is bought with the people’s money, so it must be returned to the people. Do not let the quality drop, the stock go to waste, and the people still be unable to buy it,” he said.
Annisa Febiola contributed to the writing of this article.
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