Jakarta – Prices for staple foods at several traditional markets in Jakarta remain high, despite the central government's decision on Friday to postpone increasing subsidized fuel prices.
Shoppers who have been looking to buy staples such sugar, for example, have had to pay an additional Rp 1,000 (11 US cents) to Rp 2,000 more per kilogram over the past two weeks. The price of rice, of which Indonesians consume 139 kilograms per capita a year, has also increased.
"As of today, the price of rice remains high. For example, the lowest quality of rice sells for about Rp 7,000 to Rp 8,500 per kilogram," Tina, a rice vendor, said on Saturday at the Palmerah traditional market in Central Jakarta.
Tina said that she had raised her prices to pass on an increase levied on her by suppliers in Cirebon, West Java; and Sragen, Central Java; who feared that their sales would be disrupted by demonstrations against the planned fuel-price hike.
"Probably, by next week, the price of rice will decrease, after the government decided to postpone the increase of subsidized fuel prices. There should be no more demonstrations in the near future that might frighten our suppliers."
Besides, Tina said, rice prices were also likely to decrease given that local vendors currently had large stockpiles, since farmers were in the middle of the harvest when the price of the lowest-quality rice typically bottomed out at around Rp 6,000.
Another seller at the Palmerah traditional market, Yono, said that the prices for sugar and cooking oil remained around Rp 12,000 per kilogram or liter, respectively.
Yono, however, said that the prices of staples would likely rise, despite the delayed increase in subsidized fuel prices.
Similar high prices were also observed at the Kebon Jati traditional market in Tanah Abang, Central Jakarta.
Tini Sriyati, 40, a faithful costumer of the market, said that staple food prices had risen over the last two weeks.
"Even though the government has decided not to raise the prices of subsidized fuel yet, staple prices remain high," Tini said. "I should ask my husband to raise my monthly budget," she quipped.
Tini said that she had been stockpiling staple foods for the last two weeks fearing that prices would skyrocket if lawmakers at the House of Representatives agreed to raise fuel prices on April 1, under the government's original timetable.
However, there may be no relief for shoppers in Jakarta, despite the government's decision to delay the increase. According to some vendors, it was not usual for staple food prices to go down after they went up.
Karyono, 43, a vendor at the Kebon Jati traditional market for over 20 years, said that staple food prices soared in 2008, when the government last adjusted the price of subsidized fuel. "Even when the government lowered the prices of subsidized fuel, the prices of staples remained high," he said.
Suparno, 59, a long-time vendor at the Slipi Jaya traditional market in West Jakarta, offered a tongue-in-cheek explanation for the price inelasticity of staple foods. "Why should sellers lower their prices? People love to have lots of money, don't they?" he said. (riz)