JAKARTA – The Presidential Regulation of the Republic of Indonesia (Perpres) which was signed by President Joko Widodo a while ago will be used to regulate the type, amount, implementation, assignment and funding of Government Food Reserves (CPP).
(Read: To Maintain Food Stability, President Jokowi Signs Presidential Decree No. 125 Year 2022)
After the signing, Chief of National Food Agency (NFA) Arief Prasetyo Adi immediately prepared procedures for procuring CPP in a strategic way, involving several institutions and ministries.
“The CPP will be fulfilled through the purchase of domestic production, including the purchase of BULOG stock and Food SOEs by referring to the Reference Purchase Price (HAP) or Government Purchase Price (HPP) set by the NFA,” said Arief in a statement received by The Editor a while ago.
With this regulation, Arief said, if a commodity price is found to be below the HAP or HPP, the purchase is made with reference to the HAP and HPP.
Meanwhile, if the opposite occurs, price flexibility will be given for a certain period of time. This is a form of the government’s alignment with farmers, ranchers, fishermen, and consumers.
In organizing the CPP, he continued, NFA will optimize the role of BULOG and SOE engaged in the food sector, as well as coordinate with private parties and associations in comprehensive national food management.
Especially for the implementation of the first stage of CPP which includes rice, corn and soybeans, the government, Arief said, will assign BULOG.
“Through this Perpres, BULOG can also distribute CPP for the needs of low-income communities for rice, the animal feed industry for corn, tofu and tempeh craftsmen for soybeans, and other needs as assigned,” he said.
Arief said that his party would accelerate in parallel to strengthen coordination with various food stakeholders so that technical regulations could be prepared immediately.
Efforts to implement the CPP, said Arief, are currently in line with the direction of the President Joko Widodo to ensure the stability of food availability and prices throughout Indonesia, as well as encourage increased production, ensure domestic food sufficiency, and at the same time contribute to world food sufficiency.
