TEMPO.CO, Jakarta - Indonesian Coordinating Minister for the Food, Zulkifli Hasan, reiterated that Red-and-White Cooperative is not a supermarket. This statement addresses the misconception about the purpose of the cooperative.
"This cooperative is an infrastructure of the government to distribute subsidized goods and government aid," he said after a meeting on the Draft Regulation for the President's Governance of the Implementation of KDKMP (Red-and-White Cooperative), at the Office of the Coordinating Ministry for Food Affairs, Jakarta, on Tuesday, July 28, 2026.
Zulkifli stated that the function of the Red-and-White Cooperative is twofold. First, it serves as government infrastructure for distributing subsidized goods and aid. Second, it acts as an offtaker, absorbing agricultural products such as rice.
Furthermore, the cooperative will purchase farmers' Post-Harvest Dry Grain (GKP) at the Government Purchase Price (HPP) currently set at Rp6,500 per kilogram. "Of course, the most fundamental thing to be carried out is this," he said.
Zulkifli mentioned that if a cooperative operates well, its function could develop into a tourist or thematic village. However, he did not specify when this stage will commence.
The government targets 35,334 cooperative units to be fully operational this year. Of this total, the final target for operational cooperatives is 80,000 units.
Currently, Red-and-White Cooperative continues to face criticism from various parties. This is because each unit implements sales similar to those of existing retailers, and some are located in problematic areas.
Read: Prabowo Optimistic Cooperative Revival Will Boost Indonesia's Economy
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