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Government continues to intervene in markets to stabilize prices

Jakarta Post - June 4, 2019

Jakarta – The government continues to intervene in the market to keep the prices of major commodities stable ahead of the Idul Fitri holiday, which falls on Wednesday.

Budi Waseo, the president director of Bulog, the state-owned logistics firm, said on Sunday that operations had been implemented all over the country to sell the main commodities for below market prices.

He said the government has distributed 225,000 tons of medium rice from its reserves in recent months: 1,000 to 2,000 tons per day on average.

The government was also ready to distribute more rice (15,000 tons per day) when the price jumps because of insufficient supplies to the market, Budi added.

Based on Bulog monitoring, rice prices were stable during Ramadan, one kilogram costing Rp 11,494 (81 US cents) in May and Rp 11,491 in June.

"The effort to stabilize the price of medium rice was a success because it was distributed simultaneously all over the country and was supported by all stakeholders, particularly the local governments, relevant agencies, food task forces and market players," Budi said in a press statement.

Apart from rice, Bulog has also been offering sugar, cooking oil, wheat flour and frozen buffalo meat during the market operations, Budi said, adding that people started to buy the frozen buffalo meat because it was cheaper than beef. The government imported the buffalo meat from India.

He revealed that 2.2 million tons of rice were stored in warehouses all over the country and it was available for distribution at any time, including during natural disasters. (bbn)

Source: https://www.thejakartapost.com/news/2019/06/04/government-continues-to-intervene-in-markets-to-stabilize-prices.html