boosting-local-economy-with-free-nutritious-meal-program

President Prabowo Subianto’s groundbreaking Free Nutritious Meals (MBG) program is not only a visionary initiative to nurture a brilliant generation through balanced nutrition but also a powerful catalyst for local economic growth and community welfare. Launched simultaneously in 26 provinces on January 6, 2025, this program has set forth four key objectives: preparing superior resources, lowering stunting rates, alleviating poverty, and fostering community economic growth to achieve the vision of Golden Indonesia 2045.

Beneficiaries of the MBG program include toddlers, schoolchildren, pregnant women, breastfeeding mothers, and even students in Islamic boarding schools. With a staggering budget of Rp71 trillion (US$4.2 billion) allocated by the government, the program aims to establish public kitchens managed by local micro, small, and medium enterprises (MSMEs) or cooperatives in the provinces where it is implemented.

The MBG program is not only about feeding the hungry but also about creating a sustainable local economic generator. By engaging local residents in providing raw materials for public kitchens, this initiative is set to boost the regional economy significantly. At least 937 public kitchens are expected to be operational by January 2025, procuring food ingredients like fruit, vegetables, eggs, milk, meat, fish, and rice from local merchants.

Local Economic Impact

These public kitchens are not just about serving meals; they are about transforming local economies. By sourcing ingredients locally and hiring staff primarily from the community, these kitchens create a ripple effect that leads to increased labor absorption. The demand for food orders is projected to necessitate the hiring of additional cooks, food delivery couriers, and food packaging assistants, providing new job opportunities for many.

According to Eliza Mardian from the Center of Reform on Economic (CORE) Indonesia, the MBG program can generate a multiplier effect for local communities, enhancing the welfare of producers and increasing job absorption. The involvement of housewives and other community members in the public kitchen operations further contributes to this positive impact on the local economy.

The Role of Cooperatives

Cooperatives play a crucial role in the success of the MBG program by connecting local farmers, fishermen, and livestock farmers with raw material suppliers. Minister of Cooperatives Budi Arie Setiadi emphasized the importance of cooperatives in standardizing kitchen operations and ensuring compliance with regulations. Currently, 1,336 cooperatives are engaged in the program, with expectations for this number to grow in the future.

Tender Supervision

With a substantial budget allocated for the MBG program, competitive tendering and rigorous supervision are essential to prevent monopolistic practices and ensure healthy business competition that benefits local communities economically. The Business Competition Supervisory Commission (KPPU) will oversee the tendering process, logistics, distribution, and prices offered by vendors to maintain fair practices.

In conclusion, the MBG program goes beyond providing free meals; it is a comprehensive initiative that revitalizes local economies, creates new job opportunities, and improves community welfare. By fostering partnerships with MSMEs, cooperatives, and local vendors, this program not only addresses nutritional needs but also boosts economic growth and social well-being. It’s a win-win solution for all stakeholders involved.