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View all search resultsFood prices climb as free meals resume nationwide
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Residents purchase vegetables on July 16 during a government-sponsored affordable food market in Panyileukan, Bandung, West Java. Organized by the Bandung Food Security and Agriculture Agency (DKPP), the program offers staple food items at below-market prices to help stabilize supplies and curb inflation in the city. (Antara/Raisan Al Farisi)
F
ood prices are climbing again as the government's free nutritious meal program resumes nationwide, squeezing household budgets and traders' profits alike, in what analysts say underscores long-standing structural weaknesses in Indonesia's food supply chain.
The latest price increases coincided with the reopening of nearly 30,000 designated kitchens this week as students returned to school after a three-week holiday, ending a temporary suspension of the program.
The pause came after months of governance challenges, including a high-profile corruption investigation and a series of food poisoning incidents related to the flagship initiative of President Prabowo Subianto.
With procurement for the program resuming, reports from across the country have pointed to rising prices for a range of commodities, including rice, vegetables, spices, eggs and broiler chicken.
Broiler chicken posted the sharpest increase among major food items, with prices rising more than 4 percent in a week, from an average of Rp 20,878 (US$1.17) per kilogram last week to Rp 21,736 on Tuesday, according to Statistics Indonesia (BPS).
Read also: Free meals operators protest BGN moratorium on new kitchens
Meanwhile, National Food Agency (Bapanas) data showed egg prices ranging from Rp 20,300 to Rp 28,200 per kg this week, with North Sulawesi recording the country's highest prices, above the government's retail reference price.
