Coordinating Minister for Food Affairs Zulkifli Hasan emphasized that the establishment of the Red and White Kopdes is a concrete step by the government to promote village economic independence. He stated that President Prabowo Subianto has placed special emphasis on strengthening cooperatives as a driving force for the economy at the grassroots level. “The President’s goal is to create centers of economic growth in villages. So, the Red and White Kopdes or Sub-district Cooperative, in addition to cutting the long supply chain from the central government, can also act as offtakers, or buyers of products,” said Zulkifli Hasan at a press conference in Jakarta.
Through their role as offtakers, village cooperatives are expected to maintain price stability for farmers’ and livestock farmers’ produce. In practice, the Red and White Village Cooperative will absorb community harvests at more competitive prices than middlemen. “If there is production in the village that doesn’t match our set price, the Village Cooperative can take over. For example, if the market price for unhusked rice is lower, the Village Cooperative can buy it. It becomes an offtaker,” he explained.
In line with this, the Ministry of Cooperatives also emphasized the importance of access to financing as a key factor in strengthening the capacity of the Red and White Village Cooperative. The Deputy for Talent Development and Cooperative Competitiveness at the Ministry, Destry Anna Sari, stated that cooperatives play a vital role in expanding access to capital for rural communities. “I hope this forum can also be used as a network to learn from the experiences of cooperative actors who have accessed various financing schemes,” she said at a forum in Bandung.
The government has also prepared various supporting programs, including business incubation through the Revolving Fund Management Institute (LPDB) to increase the capacity of cooperatives. These efforts are expected to encourage the development of village potential into sustainable economic added value. “The village has potential to be transformed into added value and developed collaboratively within the Red and White Village Cooperatives (Kopdes Merah Putih) ecosystem for the common good,” Destry concluded.
With these strategic steps, it is hoped that Kopdes Merah Putih will not only drive the local economy but also contribute significantly to inclusive and equitable national economic growth.