August 16, 2025 | 08:14 pm
TEMPO.CO, Jakarta - Minister of Trade Budi Santoso said over 80 percent of domestic food products are filling up the shelves of modern retail across Indonesia. He mentioned that this achievement marks a significant leap compared to a few years back when local products struggled to penetrate modern retail networks.
"In the past, our local products had difficulty entering the market. Now, modern retail is actually opening the doors wide because the quality and competitiveness of MSMEs (micro, small, and medium enterprises) have improved," said Budi Santoso after attending the Celebration of Indonesian Modern Retail Day at Taman Anggrek Mall on Friday, August 15, 2025.
The Minister of Trade explained that this success is not solely due to the government or existing regulations, but the improvement of MSMES capabilities.
"They can survive and sell in the market because their products are indeed good, of high quality, and in demand," said Budi Santoso, adding that the improvements were made under the intensive guidance of several ministries and agencies.
This Member of the National Mandate Party (PAN) considers the partnership between MSMEs and modern retail as tangible proof that local food products are able to compete in an increasingly competitive market. "Market demand is growing, and MSMEs are ready to respond," he said.
Budi Santoso further emphasized that this achievement should serve as motivation for MSME players to continue maintaining product quality, strengthening their brands, and ensuring consistent supply. According to him, consistency is the key to maintaining a stronghold over the markets.
In line with the Minister of Trade, Deputy for Micro Business Affairs of the Ministry of Cooperatives and MSMEs Riza Damanik revealed that there are around 29 million MSMEs in the food sector, the majority of which are located in rural areas. They produce agricultural, fishery, livestock, and plantation products.
Riza mentioned that the biggest challenge for MSMEs in the food sector has been limited market access. "This is quite a complex issue. Businesses in rural areas produce quality products, but their access to modern markets is not always easy," said Riza.
However, Riza further stated that various solutions are now available, including strategic partnerships with modern retail. "Modern retail has become a partner in developing MSMEs' food products so they can be closer to consumers," he said.
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