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MBG Program Sparks New Businesses and Drives Local Economy

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By Dhita Karuniawati, Contributor, Indonesian Strategic Information Studies Institute

The Free Nutritious Meals Program (MBG) is one of the strategic breakthroughs of the administration of President Prabowo Subianto and Vice President Gibran Rakabuming Raka. It serves as a concrete symbol of the government’s commitment to improving the quality of human resources while also strengthening people’s economy. The program not only focuses on fulfilling the nutritional needs of Indonesia’s children but also has wide-ranging impacts, including the emergence of new businesses in the food, agriculture, and MSME sectors, and boosting local economies across various regions.

By the end of 2025, the President aims to reach 82.9 million beneficiaries across all 38 provinces. As of October 2025, the program has already reached around 40 million people across 38 provinces and 509 districts/cities, showing rapid progress.

The Ministry of State Apparatus Utilization and Bureaucratic Reform (PANRB) continues to strengthen the governance of the MBG Program to ensure that its benefits are genuinely felt by the public. Through the preparation of a Draft Presidential Regulation on MBG Governance and a Draft Presidential Regulation on the Organizational Structure and Work Procedures (SOTK) of the National Nutrition Agency (BGN), PANRB ensures that this national priority program runs effectively, in an integrated manner, and with measurable impact.

Minister of PANRB Rini Widyantini explained that this initiative is part of the government’s efforts to accelerate the implementation of cross-ministry policies, so that MBG is executed in a measured and collaborative manner.

Minister Rini stated that the draft Presidential Regulation on MBG Governance is being prepared as a main instrument to regulate inter-agency integration from planning to supervision. Through this regulation, MBG governance will not only manage the mechanism of providing nutritious meals but also strengthen supporting systems, such as infrastructure, partnerships, and cross-sector coordination.

PANRB also pushes for strengthening the National Nutrition Agency (BGN) as the main implementing body with a strategic mandate in providing and distributing nutritious meals. One of its focuses is to empower the National Nutrition Fulfillment Service Offices (KPPG) to truly become the frontline of MBG implementation in the regions.

Since its launch in the first year of the Prabowo-Gibran administration, MBG has reached millions of schoolchildren across Indonesia, from urban areas to remote villages. Behind the distribution of nutritious meals, there is a thriving local economic ecosystem: farmers supplying ingredients, MSMEs processing products, and community kitchens and culinary logistics receiving new opportunities.

Imam W. Zarkasyi, Director of PT Kediri Lebih Makmur (KLM AGRO), explained that MBG, as a “quick win” program, is designed to ensure every Indonesian child, especially from underprivileged families, receives adequate nutrition. Behind this social mission lies significant economic potential that can mobilize millions of local entrepreneurs.

Imam added that if the program is managed strategically, it can create a new economic ecosystem involving farmers, MSMEs, community kitchens, and young innovators. These “MBG-preneurs” are not merely food providers but also key players in the value chain across agriculture, food production, logistics, and technology.

With a target of 80 million nutritious meals per day, MBG requires a massive logistics network. Each community kitchen serves an average of 3,000 meals per day, with ingredient costs of around IDR 10,000 per meal. This means a single kitchen handles IDR 30 million per day, or over half a billion rupiah per month. With 10,000 kitchens nationwide, the economic circulation generated reaches approximately IDR 5 trillion per month.

The economic impact is direct for the community. Money circulates through productive transactions, with ingredients purchased from local farmers, processed in community kitchens, and labor sourced from the surrounding environment. This model strengthens regional economies without relying on subsidies. The emergence of MBG-preneurs creates significant social and economic opportunities. Local farmers, culinary MSMEs, and food technology innovators become integral parts of the MBG supply chain. This concept aligns with global social entrepreneurship trends, promoting sustainable economic growth while improving the quality of life.

The Free Nutritious Meals Program demonstrates that social policy can run alongside economic empowerment. This approach reflects a new national development paradigm that not only focuses on macroeconomic growth but also ensures equitable benefits reach the lowest layers of society.

By expanding the involvement of local actors and strengthening the food value chain, MBG becomes a resilient and inclusive driver of people’s economy. Moving forward, if managed transparently, adaptively, and sustainably, MBG has the potential to become a model for social-economic policy, balancing welfare, self-reliance, and national resilience.

Through MBG, the government not only feeds the younger generation but also fosters a vibrant, productive, and independent local economic ecosystem—a concrete step toward a “Golden Indonesia 2045.”

*) The author is a Contributor to the Indonesian Strategic Information Studies Institute

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