Bulog: Increased North Sumatra Rice Prices Impact Of El Nino

Regional Leader of Perum Bulog Regional, North Sumatra Regional Office (North Sumatra) Arif Mandu said the increase in rice prices in North Sumatra occurred as a result of El Nino's phenomenon which caused drought in several regions in Indonesia.

"This increase in rice prices is the influence of El Nino," said Arif in Medan, quoted by ANTARA, Monday, August 21.

The toughest impact from El Nino is currently not happening in North Sumatra which is still experiencing rain.

However, the drought that hit other areas, for example on the island of Java, made the price of rice there even higher and it affected rice prices nationally.

"When the price of rice in Java goes up, at the North Sumatra farmer level it is also the same. It is impossible for Java to rise, in North Sumatra the price has dropped. El Nino even makes the price of rice at the international level also increase," said Arif.

The average price of medium rice in North Sumatra is still above the highest retail price (HET). Based on data from the National Food Agency, this Monday, the average price of medium rice in North Sumatra is IDR 12,530 per kilogram.

The latest HET of medium rice for the North Sumatra region is IDR 11,500 per kilogram, according to the Regulation of the National Food Agency Number 7 of 2023 concerning the Highest Retail Price of Rice.

Perum Bulog North Sumatra targets to be able to distribute a total of 55 thousand tons of rice from government rice reserves (CBP) by 2023 to control rice stocks and prices.

As of August 16, 2023, they have distributed 51,001.76 tons of rice or about 92.73 percent of the target.

However, in the midst of a high price, North Sumatra Bulog Perum ensures that North Sumatra's rice reserves are still safe.

As of August 21, 2023 morning, North Sumatra's Bulog Perum had 42,341.33 tons of government rice reserves (CBP), then 136.46 tons of commercial rice and two tons of rice supplies outside the warehouse.

"The rice stock in North Sumatra is still under control," said Arif.