The National Food Agency (Bapanas) has announced a strategic initiative to distribute affordable rice under the Food Supply and Price Stabilization (SPHP) program in regions where medium rice prices exceed the retail price ceiling. This move aims to tackle the issue of high rice prices in specific regions, particularly in areas like Maluku and Papua, which are categorized as red regions due to their elevated prices compared to other parts of the country.
I Gusti Ketut Astawa, the Deputy of food availability and stabilization at Bapanas, emphasized that the success of the SPHP rice program hinges on its effectiveness in reducing prices in the distribution areas rather than solely focusing on the volume of rice distributed. Astawa proposed a strategic approach to double the supply of rice to regions like Papua, where the current allocation does not meet the high demand, with the belief that this effort can contribute to lowering the consistently high rice prices in these regions.
Moving forward, Bapanas plans to implement stricter measures to ensure compliance with the retail price ceiling for SPHP rice. Sellers found selling rice above the set price of Rp12,500 (approximately US$0.77) per kilogram will face sanctions, as this rice is provided by the government with mandatory price regulations in place to protect consumers from price manipulation.
Ensuring Fair Distribution and Price Stability
Astawa emphasized the importance of equal distribution of SPHP rice across regions to maintain price stability and prevent market distortions. However, starting in 2025, the practice of distributing rice in equal amounts to each region will be discontinued to optimize the impact of the program and address the specific needs of regions with higher rice prices.
Government’s Commitment to Food Security
The distribution of SPHP rice is part of the government’s broader efforts to enhance food security and reduce the burden of high rice prices on consumers. Astawa stressed the need for all stakeholders, including retailers and sellers, to adhere to the established rules and regulations governing the distribution and pricing of SPHP rice to ensure fair and transparent practices in the market.
As Indonesia continues to pursue initiatives to boost rice production through water-efficient farming practices and modernizing agriculture to empower farmers, the government remains steadfast in its commitment to achieving food security and ensuring affordable access to essential food items like rice for all its citizens.
