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Government Guarantees Stability of Cooking Oil Stocks During Ramadan

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The government guarantees the stability of cooking oil stocks during Ramadan. This step was taken through changes to the cooking oil policy and strict supervision of its distribution to the public.

The month of Ramadan is a moment in which food demand increases, moreover sales in the food and beverage sector also increase, so that food stocks, including cooking oil, must be in a stable condition.

The Ministry of Industry has ensured and promised safe cooking oil stocks during Ramadan. The Director General of Argo Industry at the Ministry of Industry, Putu Juli Ardika, said that currently bulk cooking oil was being rolled out in stages. Putu said that his party is trying, before Ramadan and Eid al-Fitr, bulk cooking oil has reached the community, which is still on its way. Regarding the implementation of the new rules, the Ministry of Industry is in the process of realizing it. Currently, the government is trying to change its approach.

The government completely overhauled policies related to bulk palm cooking oil (MGS), from a trade-based policy to an industry-based policy. This was done because the trade-based bulk MGS policy proved ineffective in maintaining supply. The price of MGS for the community, micro and small businesses is also unstable.

With industry-based policies, the government hopes to better regulate raw materials, production and distribution of bulk MGS. That way, the supply is always available at a price that matches the highest retail price.

This industry-based policy is also strengthened by the use of digital technology for the Bulk Cooking Oil Information System (Simirah). This system is expected to tighten management and supervision.

This industry-based MGS policy is stipulated through the regulation of the minister of industry (Permenperin) No. 8 of 2022 concerning the Provision of Bulk Cooking Oil for the needs of the community, micro-enterprises and small businesses within the framework of financing by the Palm Oil Plantation Fund Management Agency (BPDPKS).

The Minister of Industry regulates the business processes of the subsidy MGS program starting from registration, production, distribution, payment of subsidy claims, prohibitions and supervision. At the registration stage, all palm cooking oil industry companies are required to register to participate in the program. There are 81 industrial companies that are required to follow and participate in this program.

The Ministry of Industry requires all MGS industries to register through SIINas (National Industrial Information System). The Ministry of Industry also emphasized that industrial companies that do not register will be subject to sanctions.

Meanwhile, National Police Chief General Listyo Sigit Prabowo briefly reviewed the availability and sales price of bulk cooking oil at the Wonokromo Market, East Java. He did this check together with the East Java Forkopimda.

Sigit also asked the distributors to immediately distribute the basic ingredients to meet the needs of the community.

However, from his review and direct dialogue with dozens of traders at Wonokromo Market, Sigit said, bulk cooking oil stocks from distributors have been distributed to traders.

Sigit said, “I asked the traders that the average stock is sufficient for one week’s needs and the hope from traders that in the next week the distribution of bulk oil in Wonokromo Market will be sent back. Because of that, his party asked the distributors for help, what the traders expected could be fulfilled. Maybe less than a week can be filled again needs. Especially before Ramadan, of course, the need for oil will increase because there is a need for the fasting month.”

Furthermore, the former Head of the Criminal Investigation Unit of the National Police also emphasized that it is hoped that producers and distributors can accelerate the production and distribution of bulk cooking oil to the public when entering the holy month of Ramadan.

In order to ensure the availability and selling prices are in accordance with the highest retail price (HET) set by the Government, Sigit instructed all his staff to carry out surveillance and monitoring related to the bulk cooking oil.

The public’s interest in shopping in order to welcome the month of Ramadan is indeed increasing, of course people need to be wise in shopping. So that food stocks are maintained.

The government and the authorities must act objectively if it is found that the perpetrators have cheated by taking advantage of the situation for their own benefit. Of course, strict supervision is needed, especially for cooking oil subsidized by the government.

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