Collective Brand-Based Red and White Cooperatives Ready to Become Local Economic Drivers

Jakarta – The government continues to accelerate the development of the Red and White Village Cooperatives (Kopdes Merah Putih) as integrated service centers at the village level. In addition to driving the local economy, these cooperatives are also designed to provide healthcare services through clinics and drug stores, expanding public access to basic services that have been unequally distributed.

“We will soon inaugurate 1,000 Red and White Cooperatives. Probably in two or three weeks,” said President Prabowo Subianto.

President Prabowo emphasized that the development of the Red and White Kopdes is not just a concept, but a tangible and integrated physical entity. The facilities provided include not only clinics and drug stores, but also warehouses, cold storage, operational vehicles, and even drying equipment to support economic and distribution activities.

“This cooperative is real, not fictitious. Look back at the history of the world; have 25,000 or 30,000 been built in one year?” said President Prabowo.

Furthermore, the government ensures that the Red and White Kopdes also plays a role in maintaining village economic stability, particularly in the food sector. The cooperative will act as an offtaker, or guarantor, for the purchase of community produce, ensuring stable commodity prices and ensuring farmers are not disadvantaged by market fluctuations.

“If there is production in the village that doesn’t meet our set price, the Kopdes can take over. For example, if unhusked rice is priced below Rp 6,500 in the market, the Kopdes can buy it. It becomes the offtaker,” explained Coordinating Minister for Food Affairs Zulkifli Hasan.

Furthermore, this cooperative will also be a crucial instrument in the distribution of social assistance, ensuring it is more targeted. With a structured membership system, the distribution of assistance such as the Family Hope Program (PKH), rice, and scholarships can be monitored more closely and transparently at the village level.

“PKH assistance must be targeted precisely, not based on proximity to the village head, but on truly deserving recipients. That will be the Kopdes’ role,” said Zulkifli.

Furthermore, the Red and White Kopdes is also designed as a distribution center for subsidized goods such as fertilizer and LPG. The integration of economic, social, and health services within a single institution is considered a strategic step to improve the welfare of village communities as a whole.

“Government assistance and subsidized goods will be distributed through the Merah Putih Village Cooperative. So, its purpose is very strategic,” said Zulkifli.