By Wiratama Ardianto
Stabilizing food prices—particularly rice—remains a top priority for the Indonesian government in ensuring national food security and the welfare of its people. Amid fluctuating supply and demand dynamics, the government is set to launch a massive market operation to stabilize prices and ensure the availability of affordable rice for all Indonesians. This strategic move is a swift response to the potential for price hikes triggered by imbalances in production and consumption, especially ahead of the year’s end.
Minister of Agriculture Andi Amran Sulaiman confirmed that the government is ready to carry out a nationwide market operation. This statement was made following a limited cabinet meeting with President Prabowo Subianto at the Presidential Palace. During the meeting, the President emphasized several key aspects related to national rice production, ranging from the availability of fertilizers and seeds, improvements to irrigation systems, to the efficiency of post-harvest distribution. The government aims to ensure the entire food supply chain runs smoothly to support stable pricing.
According to data from Statistics Indonesia (BPS), national rice production as of July 2025 has increased by 14 percent compared to the same period last year. This growth serves as a crucial foundation in maintaining domestic rice supply. Currently, national rice stocks stand at 4.2 million tons—the highest figure in recent years. Of this total, the government has allocated 1.5 million tons of rice, consisting of 1.3 million tons for the Food Supply and Price Stabilization (SPHP) program and 365 thousand tons for social assistance.
Another concrete step prepared by the government is the distribution of rice through the SPHP Cheap Food Movement, to be held at over 5,000 locations across Indonesia. The public will be able to purchase quality rice at Rp12,500 per kilogram, which aligns with the government’s Highest Retail Price (HET) for the Java region. This affordable price point is expected to help maintain people’s purchasing power amid global economic challenges and curb inflation.
Coordinating Minister for Food Affairs Zulkifli Hasan also stressed the urgency of accelerating this market operation. He explained that Indonesia is currently entering the gadu harvest season, which historically yields lower production volumes than the main harvest season in March to May. This leads to higher demand than supply, creating upward pressure on prices and potentially driving inflation.
As an intervention measure, Zulkifli Hasan instructed state logistics agency Perum Bulog to flood the market with SPHP rice. However, he also underlined the importance of tight oversight to prevent misuse, such as rice adulteration. Distribution of SPHP rice must be transparent and consistent in its original form so that the benefits can directly reach lower-income groups—the primary target of the program.
Perum Bulog, as the agency responsible for SPHP rice distribution, has affirmed its commitment to ensuring the program runs optimally. Bulog President Director Ahmad Rizal Ramdhani stated that his organization is collaborating with various strategic partners, including PT Pos Indonesia, PT Pupuk Indonesia, ID Food, and PT Perkebunan Nusantara III, with support from other government institutions. This cross-sector collaboration aims to expedite distribution to even the most remote areas, including Indonesia’s outermost, frontier, and underdeveloped (3T) regions.
Beyond short-term measures, the government has also prepared long-term strategies to strengthen national food resilience. The Minister of Agriculture noted that agricultural intensification and extensification programs will continue to be expanded. These include efforts to modernize agriculture, establish new rice fields in areas such as Merauke, South Kalimantan, Central Kalimantan, and South Sumatra, as well as revitalize irrigation systems. This approach is expected to sustainably increase agricultural productivity, reduce reliance on imports, and anticipate global supply chain disruptions.
With the synergy of both short- and long-term policies, the government is confident that Indonesia’s food security is in a safe position. The Minister of Agriculture remains optimistic that rice stocks will be maintained at a minimum of 2.5 to 3 million tons by the end of the year, ensuring availability of this staple food for the entire population.
The rice market operation policy is not just an economic tool, but also a manifestation of the state’s presence in protecting the people’s right to sufficient, affordable, and high-quality food. In a global climate filled with uncertainty, such proactive steps are concrete proof that the government is not standing idle in the face of food challenges.
The success of this program certainly requires active participation from all parties—central and regional governments, businesses, and the public as consumers. Effective oversight, targeted distribution, and public education are key to ensuring the operation’s success. The public is also encouraged to be prudent in purchasing and consuming rice to help maintain price stability.
Through collaboration and shared commitment, Indonesia can overcome food price pressures and safeguard the well-being of its citizens. This large-scale market operation marks the first step in ensuring that rice, as a staple need, remains accessible and affordable for all levels of society. The government is demonstrating its seriousness in maintaining economic and social stability while also strengthening the foundations of food resilience for a more independent and sovereign future.
The author is a national food policy observer.
